Ridesharing services like Uber and Lyft have transformed the way people travel, providing convenient and affordable transportation at the tap of a button. However, as rideshare usage has increased, so have accidents involving these services. Whether as a passenger, driver, pedestrian, or another motorist, if you’ve been injured in an Uber or Lyft accident you might be wondering: Can you sue Uber or Lyft for a rideshare accident?
Understanding Liability in Rideshare Accidents
Liability in a rideshare accident is primarily determined through percentages of fault and the main parties that can be held liable are either the rideshare driver, the other driver of the accident, or a third party such as pedestrians, bicyclists, and even vehicle manufacturers. This is largely due to rideshare driver’s statuses as independent contractors, which does not officially make them employees of rideshare companies like Uber or Lyft.
When Can You Sue Uber or Lyft?
While Uber and Lyft typically avoid direct liability for accidents by claiming that their drivers are independent contractors, there are certain scenarios where Uber or Lyft can be sued or where their insurance coverage can help compensate for damages.
1. When the Rideshare Driver Is at Fault
If the Uber or Lyft driver is responsible for the accident, whether you can sue the company depends on the severity and nature of the accident. However in most instances, Uber and Lyft’s liability insurance will be in effect based on their driver’s status at the time of the accident.
For instance, if the driver was not using the Uber or Lyft app at the time of the accident, then the company is not liable. The driver’s personal insurance policy is the only source of compensation. However, if the driver was online and waiting for a ride request, Uber and Lyft provide limited liability coverage for the following:
- $50,000 per person for bodily injury
- $100,000 per accident for bodily injury
- $25,000 for property damage
In the event that a rideshare driver accepts a ride request or has a passenger in the car, Uber and Lyft provide $1 million in liability insurance coverage. This can cover injuries and damages to passengers, pedestrians, or other drivers.
2. When Uber or Lyft Is Negligent
Uber or Lyft can be sued if their own negligence has largely contributed to the accident. This may include:
- Negligent Hiring: If Uber or Lyft failed to properly screen a driver with a history of reckless driving, DUIs, or criminal offenses, they could be held responsible.
- Failure to Suspend Dangerous Drivers: If Uber or Lyft ignored multiple complaints about a dangerous driver and continued to allow them to drive, the company could be held liable for negligence.
- Technology or System Errors: If an issue with the Uber or Lyft app (such as GPS errors, ride requests forcing drivers to make unsafe maneuvers, or system malfunctions) contributed to the accident, the company may be responsible.
What Compensation Can You Recover?
If you are injured in a rideshare accident, you may be entitled to compensation for expenses such as:
- Medical Expenses (hospital bills, surgeries, therapy, rehabilitation)
- Lost Wages (if the injury prevents you from working)
- Pain and Suffering (physical and emotional distress)
- Property Damage (vehicle repairs or replacement)
- Wrongful Death (if a loved one was killed in the accident, their family can sue for funeral costs, lost income, and emotional suffering)
Can You Sue if Uber or Lyft Denies Your Claim?
If Uber or Lyft denies liability or refuses to offer fair compensation, you may file a personal injury lawsuit. However, lawsuits against Uber or Lyft can be complicated due to arbitration agreements that riders accept when using the app.
Some courts have ruled that arbitration clauses prevent passengers from suing in court, requiring them to go through private arbitration instead. Despite this, there are situations where you can bypass arbitration and sue in court, particularly if the arbitration clause is deemed unenforceable, the claim involves gross negligence by Uber or Lyft, or if the case involves a wrongful death.
West Coast Uber and Lyft Accident Lawyers Is Here to Help
While Uber and Lyft try to shield themselves from liability by classifying drivers as independent contractors, they do provide insurance coverage in certain situations. Whether you can sue them directly depends on the circumstances of the accident.
However, if you are involved in a rideshare accident, it is crucial to consult with a personal injury lawyer who specializes in Uber and Lyft cases, as they can help you navigate insurance claims, negotiate settlements, and take legal action if necessary.
At West Coast Uber and Lyft Accident Lawyers, we are a personal injury law firm that handles rideshare cases and with years of experience representing victims of rideshare accidents, our legal team are confident that they can get you the compensation you deserve.
To schedule a free consultation, call (213)-465-8682 today!