Who Will Pay My Bills If I'm Hit by an Uber Driver?

Services such as Uber are available almost everywhere, even in small and rural areas that don’t have taxi cabs. In major cities, these services are an affordable alternative to taxis. While they are convenient and easy to access, consumers should understand the insurance coverage structure for these ride-sharing services. If you’re in an accident as a passenger in an Uber, you may find yourself facing some gaps in coverage.

Is an Uber a Private Vehicle or a Business?

When people drive for Uber, they are driving vehicles that they own as individuals. However, when they are on-duty with Uber, they are considered businesses and must be covered by commercial insurance, just like taxi cabs. Passengers in the Uber vehicle are customers of the business, not friends riding in the car.

Are Accidents Involving Uber Vehicles Covered by Insurance?

The short answer is yes. However, the specific circumstances of your situation affect who pays and how much. Here are a few examples.

• If you are traveling in an Uber while carrying out work-related duties for your employer, you may have coverage through your company’s Workers Compensation insurance. Laws related to this coverage vary from state to state, so you should check with your company’s Human Resources department or your state’s workers’ compensation insurance board to get details. 
• If you are traveling in an Uber and another driver causes an accident, then the other drivers’ insurance may be responsible for paying for your injuries. Uber’s insurance requires you to pursue that avenue first before attempting to recover from Uber. Therefore, it’s essential to get the contact and insurance information from the other driver if you can safely do so at the scene. If the at-fault driver is uninsured, Uber does have uninsured motorist insurance coverage, but it limits recovery for injured passengers to $250,000.
• If you are traveling in an Uber and an accident happens that is the Uber driver’s fault, you may have up to $1 million in coverage to pay for things like medical bills or damage to property.

While it is possible to sue for damages if you get hurt in an accident involving Uber, your suit is against the Uber driver, that individual’s insurance company, or Uber’s insurance. Most cases involving Uber settle without going to court. If you are facing an injury case involving Uber, contact a knowledgeable and experienced car accident lawyer in Rapid City, SD, like from The Law Offices of Clayborne, Loos & Sabers LLP, who understands your state’s laws and procedures.