NATIONAL—Uber requires all of their drivers to have car insurance, and provides supplemental insurance coverage, but only while the app is on.
According to Uber, here’s how it works:
Drivers are covered by their own insurance when they are offline. As soon as a driver accepts a trip, until it concludes, they are protected by a commercial automobile insurance policy with $1 million of liability per incident.
In addition, Uber’s policy offers $1 million uninsured/underinsured motorist bodily injury coverage to all occupants of the rideshare vehicle in the event another motorist causes an accident without adequate insurance (i.e. a hit-and-run).
If a ride-sharing driver’s own policy includes comprehensive and collision insurance, Uber’s policy covers physical damage to the vehicle that occurs during a trip up to its actual cash value, with a $1,000 deductible.
During the time that a ride-sharing driver is available but between trips, most personal auto insurance will provide coverage. However, if the driver does not have applicable coverage, Uber maintains a policy that covers the driver’s liability for bodily injury up to $50,000/individual/accident with a total of $100,000/accident and up to $25,000 for property damage.
Three (3) Different Uber Accident Scenarios
Today, there are three (3) scenarios that Uber uses in determining liability:
SCENARIO 1 – OFFLINE: The driver is using his vehicle for personal purposes and is not available to pick up passengers.
If an Uber driver is not available to pick up passengers he is covered by his personal auto insurance. Liability and coverage limits are determined by the individual policy and state law.
SCENARIO 2 – BETWEEN TRIPS: The driver is available to pick up passengers (i.e., has the app “on” and is waiting for a request), but is not carrying a passenger at the time of the crash.
If the driver is available, but not carrying a passenger, the accident is primarily covered the driver’s own personal insurance company. However, Uber provides additional contingent liability coverage of $50,000 per injury (up to $100,000) and up to $25,000 in property damage. This contingent liability coverage must be requested, and is only available if the driver’s personal insurance doesn’t cover all the damages.
SCENARIO 3 – DURING TRIP: The driver has accepted a trip (i.e., has app “on,” accepted a trip request and is on the way to a pick up a passenger) or is carrying an Uber passenger.
If an accident occurs while the driver is carrying a passenger, the passenger and driver are covered under Uber’s one million dollar liability coverage policy. Uber also provides one million dollars of uninsured/underinsured insurance coverage for accidents with uninsured or underinsured drivers.
Driving For Uber Could Invalidate Your Personal Auto Insurance Policy
Your personal auto insurance policy may not provide coverage for you if you drive for a service like Uber. This is because personal car insurance policies have a list of exclusions, and they often include “driving-for-hire,” or a variation thereof. If you are driving for Uber or a similar service, you should check with your insurance company to confirm whether your policy covers this “commercial driving.” If it does not, you will want to consider purchasing supplemental commercial auto insurance, though for many part-time drivers, this may not be financially feasible.
If you or a loved one has been injured while driving or riding in an Uber, you may be entitled to compensation for medical expenses, lost wages and more. However, you need an experienced personal injury attorney with a track record of taking on big insurance companies. Call TRIPP LAW FIRM – Personal Injury Law at (727)398-2900 in Pinellas/Pasco County, (863)666-0380 in Polk County, and (407)850-8680 in Orange/Osceola/Seminole County, for an immediate, confidential case evaluation. There is NO Fee and NO Costs if we do not obtain a Recovery for YOU!
At the TRIPP LAW FIRM, we have the necessary experience to protect you and your family’s legal rights and pursue the appropriate damages. Don’t hesitate to call us. We answer our phones 24/7/365. The injury law team and staff private investigators at the TRIPP LAW FIRM are ready on a moment’s notice.
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¹ Thinking of Driving with Uber? This Is What You Need to Know, UBER NEWSROOM (Jun. 30, 2016), available at https://newsroom.uber.com/227972/.