Brian White | July 18, 2023 | Uber & Lyft Accidents
If you get into an Uber accident, who pays for your medical bills and other damages? The insurance company for the rideshare driver? Uber? Uber’s insurance company?
Texas law has sought to provide a clear answer to this question. However, Uber’s (and its insurance company’s) liability for your accident will depend on the status of the rideshare driver at the time of the accident. In fact, this will determine the Uber insurance policy applicable in any injury claim that arises from the accident.
Transportation Network Companies in Texas
Under Texas Transportation Code Section 2402.001, a transportation network company (TNC) is defined as “a corporation, partnership, sole proprietorship, or other entity that, for compensation, enables a passenger to prearrange with a driver, exclusively through the entity’s digital network, a digitally prearranged ride” Uber and other rideshare companies (such as Lyft) are considered transportation network companies.
Does Uber Have Insurance for Drivers?
Under Texas law regarding TNCs, Uber must maintain automobile insurance on behalf of its drivers. However, the Uber accident policy varies based on whether the driver was transporting a passenger at the time of the accident.
Sec. 1954.051. Insurance Requirements During Prearranged Rides
The highest Uber car insurance policy applies in situations where an Uber driver is transporting a rideshare passenger in a prearranged ride.
In these cases, Uber must provide the following coverage:
- $1 Million for death, bodily injury, and property damage per incident
- Uninsured motorist coverage, and
- Contingent collision coverage.
This Uber insurance for drivers also applies when an Uber driver has accepted a ride request and is en route to pick up a passenger.
Sec. 1954.042. Insurance Requirements Between Prearranged Rides
A lower Uber insurance driver policy applies when a driver is not engaged in a prearranged ride but is logged into the company’s digital network or app in anticipation of a ride request.
In these situations, Uber (and/or the rideshare driver) must maintain the following insurance coverage:
- $50,000 per person in bodily injury
- $100,00 per accident in bodily injury, and
- $25,000 in property damage per accident
There are other coverage limits that may apply after an Uber accident as well.
Underinsured/Uninsured Motorist Coverage (UM)
Texas requires Uber to maintain underinsured/uninsured motorist coverage for drivers that are logged into its app and/or are transporting passengers during a prearranged ride. This coverage applies when an Uber driver is in an accident that (1) was not their fault, and (2) the at-fault driver is underinsured or does not have insurance at all.
For example, suppose an Uber driver is transporting a passenger and gets into an accident with a driver who does not carry insurance. In this case, Uber’s UM policy will provide compensation for the rideshare passenger’s injuries and damages. The UM policy would also apply if the injured passenger’s damages exceeded the at-fault driver’s policy limits.
Personal Auto Insurance
If an “Uber driver” is not transporting a passenger and is not logged into an app, the driver’s personal insurance coverage will apply to any accidents they cause.
Texas requires its drivers to carry a minimum amount of liability insurance coverage, including:
- $30,000 per person
- $60,000 per accident
- $25,000 for property damage
Uber bears no liability for a driver who is not logged into its digital network and is not transporting a rideshare passenger. There is no Uber driver accident policy available in these situations.
Summary of Coverages
To summarize, the following rideshare policies apply in accidents involving Uber drivers:
| During Prearranged Rides | $1 Million for death, bodily injury, and property damage per incident |
| Between Prearranged Rides | $50,000 per person in bodily injury/ $100,00 per accident in bodily injury/$25,000 in property damage per accident |
| The Uber Driver’s Personal Policy | $30,000 per person/ $60,000 per accident/ $25,000 for property damage |
Contact an Experienced Uber Accident Lawyer for Help After a Rideshare Accident
Uber car insurance requirements can be confusing. It can be difficult to know whether your accident is covered by an Uber driver accident policy.
An experienced personal injury attorney can help you determine your rights and options after an Uber crash. Your lawyer can gather evidence of the rideshare driver’s status at the time of the crash and identify which policies will apply to your injury claim.
Contact Attorney Brian White Personal Injury Lawyers to schedule a free consultation with an Uber accident lawyer in Houston.
Contact a Houston Car Accident Lawyer to Help You With Your Claim
For more information, contact the Houston car accident law firm of Attorney Brian White Personal Injury Lawyers by calling (713) 500-5000
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Houston, TX 77098
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