What Insurance Covers Lyft Drivers?

Passengers of the ride-sharing service like the convenience of being able to get places without having a car. They may cost less than a taxi service and be more available. But Lyft drivers get into accidents, and if you’re the passenger, you’ll want to know if insurance will cover your injuries and losses.

Lyft drivers could be involved in many accidents, and passengers aren’t the only ones who could be injured. A Lyft driver could strike a pedestrian, another driver, a bicyclist, or a motorcyclist. Anyone coming into contact with the vehicle could potentially be an accident victim and file an insurance claim.

What is Lyft?

Lyft works through a smartphone app. You see which drivers are in the area, state where you want to go, and wait to see if any drivers are interested. If one is, you get picked up, transported, and you pay the driver through the app.

Lyft is the second-largest ride-sharing app after Uber, with about 30% of the US market, though many drivers use both apps. Lyft earns a commission from each ride arranged through its app.

Lyft has about two million drivers in its worldwide network, according to Ridester. They’re considered contractors, not company employees. Their system had about 18.73 million active users by the end of last year.

What is Lyft’s Insurance Coverage?

Since drivers aren’t Lyft employees, their cars aren’t covered like traditional commercial vehicles. Drivers may buy their own commercial coverage, but at the minimum, they must have personal vehicle insurance. Lyft provides coverage beyond what a non-Lyft driver would usually have, and it comes into effect when:

• The app is on
• The driver is traveling to pick up or transport a passenger

The Lyft website states that when the app’s on and a driver’s waiting for a customer, there is coverage for up to:

• $50,000 per person for bodily injury
• $100,000 per accident for bodily injury
• $25,000 per accident for property damage

If the driver’s in an accident while driving to pick up a passenger or the passenger’s in the vehicle, coverage increase to up to:

• $1,000,000 for liability
• Uninsured/underinsured bodily injury coverage insures the driver and passengers in a covered accident caused by another driver who lacks insurance or has coverage insufficient to cover the losses

With the app on and a passenger in the car, the maximum insurance coverage increases from $100,000 to $1,000,000 per accident. This is probably better coverage than what a friend may have if they drove you as a favor in their personal vehicle and suffered an accident. It’s comparable to commercial vehicle coverage if a business owns the car.

How Do I Make a Claim on Lyft’s Insurance?

Before you reach that point, get medical attention so you can be diagnosed and start treatment. The earlier you do this, the better.

You could file a claim through the Lyft app if you’re a passenger. If you’re another party injured in a crash, the driver should give you contact information to report the accident and seek coverage.

Whatever method you use, limit what you say when reporting the accident. If you’re a passenger, you should face fewer challenges to obtain a recovery because, unless you were distracting the driver or doing something dangerous, you didn’t have a role in causing the accident.

You must take reasonable measures to mitigate your damages, though. That means using your seatbelt, reducing lost time at work, and following appropriate instructions and advice from healthcare providers.

If the Lyft vehicle struck you in another car, or you were a pedestrian, bicyclist, or motorcyclist, their insurance company will also try to put as much blame for the accident on you as possible. If you’re more at fault than the Lyft driver, they’ll deny your claim.

You should give them your contact information, the basic facts about the accident, and your injuries. Tell them you’re speaking to an attorney and will call them back. Schechter, Shaffer, & Harris, LLP can deal with the insurance company, so you won’t have to. You can focus on your life while our attorneys defend your rights and seek the best possible settlement for your case.

Schechter, Shaffer & Harris, LLP Can Help You Negotiate a Settlement For Your Lyft Accident

Our attorneys are experienced at helping car accident victims, including those in or struck by Lyft vehicles. Contact us today to set up your free consultation where we’ll discuss your accident, how Texas law may apply and your best options for obtaining compensation.