How Can You Recover Damages if Hurt in a Rideshare Accident?

If you are injured in a rideshare vehicle accident, whether as a passenger in an Uber or Lyft vehicle or as a driver or passenger of another vehicle involved, you may wonder about your legal recourse. Understanding the framework of New York law, including no-fault insurance rules and the specific insurance requirements for rideshare drivers, can help you secure the compensation you deserve.

Under New York’s no-fault insurance law, individuals injured in car accidents must first seek compensation from their own insurance provider, regardless of who was at fault. This coverage typically includes medical expenses, lost wages, and other necessary costs, up to a predetermined limit. However, if your injuries are deemed “serious” under New York law — such as significant disfigurement, bone fractures, or permanent loss of a bodily function — you may pursue additional compensation through a personal injury lawsuit. In such cases, you must prove that the other driver was at fault to recover damages beyond the no-fault benefits, including pain and suffering.

Note that drivers for transportation network companies (TNCs) like Uber and Lyft drivers are classified as independent contractors rather than employees. This means that a TNC is not vicariously liable for the actions of its drivers. However, New York’s Vehicle & Traffic Law § 1693 imposes specific insurance requirements on rideshare drivers, which provide a pathway for injured parties to seek compensation depending on the driver’s status at the time of the accident. There are three possible scenarios:

• The driver is offline (not using the app) — The driver’s personal auto insurance policy is the primary coverage in effect when the rideshare app is off. Rideshare company insurance does not apply during this period, and the coverage requirements are the same as for any private driver in New York.
• The driver is online (using the app but waiting for a ride request) — New York mandates that rideshare companies provide liability insurance covering: $50,000 for bodily injury per person. $100,000 for bodily injury per accident. $25,000 for property damage. 
• The driver is en route to pick up a passenger or has a passenger in the car — Once a ride request is accepted or a passenger is in the vehicle, rideshare companies must provide: $1,250,000 in liability coverage for injuries, property damage, or death caused by the driver. Also, uninsured and underinsured motorist (UM/UIM) coverage.

While rideshare drivers maintain personal auto insurance, many standard policies have clauses that exclude coverage for commercial activities like ridesharing. Some drivers address this gap with a policy rider that extends coverage to commercial use, adding another layer of potential compensation.

In some accidents, fault may be shared between the rideshare driver and another motorist. In such situations, the injured party should file claims against both drivers, with damages apportioned according to each party’s degree of fault. An experienced automobile accident attorney can identify all available sources of coverage and negotiate a fair and comprehensive settlement.

For those injured in rideshare-related accidents on Long Island, the law firm of Jakubowski, Robertson, Maffei, Goldsmith & Tartaglia, LLP, located in St. James, offers dedicated legal representation. Serving clients throughout Long Island, their experienced attorneys can help you pursue the compensation you deserve. Call us at 631-360-0400 or contact us online to arrange a free initial consultation.