Lyft Accident Insurance & How Recovery Works – Guest Post

Rideshare services such as Lyft provide a great convenience at a time when private transportation is becoming increasingly relevant. People all over the United States, from a variety of different social and economic backgrounds, depend on Lyft drivers to help them get around. However, this dependence leaves Lyft and its drivers with an important responsibility to prioritize safety while on the road. When a Lyft driver is responsible for an auto accident, the victim may be able to claim compensation through Lyft’s accident insurance.
But how does Lyft’s insurance work, and how much compensation can accident victims expect? It all comes down to the more minute details of Lyft’s accident insurance policy, which defines the amount of coverage available and when that coverage applies.
If you’ve been in an accident involving a Lyft driver or other rideshare vehicle and need help, contact a rideshare accident lawyer who can help you understand the circumstances of your unique case.
How Lyft Insurance Works
As a rideshare service, Lyft is required to maintain certain amounts of commercial insurance, to account for their own financial responsibility in the event of an accident. Though the exact rideshare insurance requirements vary depending on the state, Lyft tends to maintain consistent policy limits across states, with only a few exceptions. We’ll detail the exact coverage amounts in a bit, but first, let’s discuss the situations in which Lyft’s accident insurance kicks in.
When Lyft Insurance Applies
Lyft’s accident insurance doesn’t necessarily cover all accidents caused by a Lyft driver. Rather, it exists primarily to cover Lyft’s drivers while they are representing the company by providing rideshare services.
In simple terms, this means that even if a Lyft driver is found responsible for an accident, compensation can only be recovered through Lyft’s insurance if the driver was logged into the app at the time of the accident.
If this condition is met, you may be able to pursue compensation for bodily injury and property damage. The exact amounts available can depend on a few factors, including but not limited to:
- The extent of the damage to your person and/or property.
- The amount of negligence from both you and any other involved drivers which may have contributed to the accident.
- How thoroughly your case is handled, and how knowledgeable you or the attorney representing you are.
- The driver’s status while logged into the app (whether or not they were giving someone a ride at the time of the accident).
When Lyft Insurance Doesn’t Apply
If the driver was not logged into the Lyft app as a driver at the time of the accident, then Lyft’s accident insurance likely will not cover your damages. However, you may still be able to pursue compensation through the at-fault driver’s personal liability insurance.
Most U.S. states require drivers to maintain third-party liability insurance above a certain amount. While not logged into the app, the driver typically represents only themselves, and thus it is their personal insurance policy that bears the financial responsibility.
Lyft Insurance Coverage Amounts
The exact limits of Lyft’s accident insurance vary depending on whether the driver was engaged in a ride during the time of the accident. In addition, while they tend to maintain similar policy limits across U.S. states, some state-based rideshare insurance requirements have caused Lyft to make a few exceptions. We will point these out as they become relevant.
In addition, some types of drivers who can be hired through Lyft already have insurance coverage as required through other means, such as livery drivers or drivers licensed under the New York Taxi and Limousine Commission or California’s Transportation Charter Party license. In these cases, Lyft does not provide additional insurance.
When Online & Engaged in a Ride
When drivers are actively transporting a passenger or have accepted a ride request and are picking up a passenger, Lyft bears the greatest amount of financial responsibility. The policy limits for this period are as follows:
Third-Party Bodily Injury & Property Damage
For both bodily injury and property damage caused to any party other than the driver, Lyft maintains a combined single limit of $1,000,000 in the majority of cases.
Exception: In Maryland, when the driver is on their way to pick up a passenger but not yet engaged in a ride, the combined single limit for bodily injury and property damage is $125,000.
Other Coverage
In addition to third-party coverage, Lyft provides drivers with certain types of first-party insurance coverage, including Personal Injury Protection and Uninsured/Underinsured Motorist coverage.
When Online & Not Engaged in a Ride
When drivers are logged into the app and awaiting ride requests, but not currently transporting or picking up a passenger, Lyft still maintains some coverage for accidents. The policy limits in this case are as follows:
Third-Person Bodily Injury
For bodily injury, Lyft maintains a limit of:
- $50,000 per person, or $25,000 per person in Arizona and Nebraska.
- $100,000 per accident, or $50,000 per person in Arizona and Nebraska.
Third-Person Property Damage
For property damage, Lyft maintains a limit of $25,000 per accident, or $20,000 per accident in Arizona and Nebraska.
How to Pursue Recovery
If you’ve been injured in an accident involving a Lyft driver, recovery is possible. However, it’s important to set yourself up for success. Before filing an insurance claim, take the following steps:
- Gather evidence at the accident scene, including photos and videos of the scene.
- Collect contact information, vehicle identification, and insurance details from the at-fault driver, and gather contact information from any witnesses.
- Set up an appointment with a licensed medical provider to help find any undiscovered injuries.
- Contact a Lyft accident lawyer for help compiling and defending your claim.
While understanding Lyft’s accident insurance policies helps prepare you to succeed in your rideshare accident case. However, it is only half the battle. The best way to maximize your potential compensation is to partner with a personal injury attorney, who can apply both years of expertise as well as exclusive legal resources to ensure your claim is the strongest it can be.
Author Bio
Senft Injury Advocates is a national personal injury law firm dedicated to making justice accessible to all. In addition to providing the services of a seasoned Lyft accident attorney, we also support rideshare accident victims by sharing educational resources on personal injury law.






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