Insurance Requirements for Uber and Lyft Drivers in New York State

In New York State, Uber, Lyft, and their drivers must meet specific insurance coverage requirements to ensure protection for all parties involved in an accident. Here’s how the insurance coverage is structured:

Compensation Responsibility After an Uber Accident

While Uber provides a convenient transportation option, getting compensation after an accident can be complex. Previously, determining liability was difficult because Uber drivers are independent contractors and personal insurance policies often excluded commercial driving. However, recent regulations in New York have clarified these responsibilities. Uber is now required to maintain an insurance policy to cover accident victims, which varies based on the driver’s status during the incident.

Scenarios of Driver’s Status and Insurance Coverage

Driver Has Accepted a Ride Request:

When an Uber driver has accepted a ride request or is carrying a passenger, Uber’s comprehensive insurance policy is in effect.

This includes up to $1.25 million for personal injury, death, and property damage.

The coverage extends to:

  • Uber passengers
  • Drivers and passengers in other vehicles
  • Pedestrians
  • Bicyclists

Despite this coverage, proving the Uber driver’s fault is still necessary. Initially, claims should be made with your own insurance under New York’s no-fault law, with Uber’s insurance covering the excess if required.

Driver is Logged into Uber but Hasn’t Accepted a Ride:

Limited insurance coverage applies when the Uber driver is logged into the app but hasn’t yet accepted a ride.

Coverage includes:

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

This insurance covers damages exceeding what other available policies cover.

Driver is Logged Out of Uber:

  • When the driver is logged out of the app, the accident is treated like any other car accident.
  • Each party will seek coverage from their own insurance first.
  • Accident victims can then pursue the at-fault driver for compensation for more serious injuries.

Driver Status and Liability Insurance Coverage

When Providing a Ride or En Route to Pick Up a Passenger:

  • The rideshare company’s auto liability coverage is active.
  • Coverage includes $1.25 million for bodily injury, death, and property damage.
  • Uninsured/underinsured motorist (UM/UIM) coverage is also mandatory.

When Available for Rides but Not Engaged in a Ride:

  • The rideshare company’s auto liability coverage applies.
  • $75,000 for bodily injury or death per person.
  • $150,000 for bodily injury or death per accident.
  • $25,000 for property damage per accident.

When Off Duty:

  • The driver’s personal auto liability coverage applies.
  • $25,000 for bodily injury or death per person.
  • $50,000 for bodily injury or death per accident.
  • $10,000 for property damage per accident.

New York mandates that Uber and Lyft provide $1.25 million in coverage for injuries, deaths, or property damage, including underinsured motorist situations. This policy also includes personal injury protection, which applies regardless of fault.

Third-Party Liability

In some Uber accident cases, another driver, a pedestrian, or even a cyclist may have caused the crash. In such scenarios, you may be entitled to recover compensation from those parties and their insurance companies. This ensures that all potential sources of compensation are explored to cover the damages incurred.

Understanding these insurance requirements and knowing the steps to take in case of an accident with an Uber or Lyft driver in New York State is crucial for protecting your rights and securing the compensation you deserve.

How The Nicotra Law Firm, PC Can Help

If you’ve been involved in a rideshare accident in New York State, The Nicotra Law Firm, PC can provide the expert legal assistance you need. Our experienced attorneys understand the complexities of rideshare accident cases, including the specific insurance requirements and liability issues that can arise with companies like Uber and Lyft. We are committed to thoroughly investigating your case, identifying all liable parties, and ensuring you receive the maximum compensation for your injuries, property damage, and other losses. With our dedicated support, you can navigate the legal challenges confidently, knowing that we are working tirelessly to protect your rights and secure the best possible outcome for your situation.