Driving for Uber or Lyft can expose you to serious risks on Texas roads. If another driver causes a collision while you are working, recovering compensation may be more complicated than in a typical car accident. Multiple insurance policies may be involved, and determining which coverage applies often depends on your status in the rideshare app at the time of the crash.
Because rideshare drivers are generally classified as independent contractors rather than employees, traditional workers’ compensation benefits are typically unavailable. Instead, your recovery may depend on the at-fault driver’s insurance, the applicable rideshare insurance policy, your own insurance coverage, or a combination of these sources.
Insurance Coverage for Injured Rideshare Drivers
Texas regulates transportation network companies (TNCs), including Uber and Lyft, through Chapter 1954 of the Texas Insurance Code. The available insurance coverage varies depending on whether you were:
- Logged out of the app
- Logged in and waiting for a ride request
- Driving to pick up a passenger
- Transporting a passenger
When you have accepted a ride request or are actively transporting a passenger, the rideshare company’s commercial liability insurance generally provides up to $1 million in third-party liability coverage for covered claims arising from the trip.
The specific insurance available in any case depends on the facts of the collision, the applicable policy language, and who is legally responsible for the accident.
What If Another Driver Caused the Crash?
If another motorist caused the collision, that driver’s liability insurance is generally the first source of compensation for your injuries and property damage.
Unfortunately, many Texas drivers carry only the minimum liability insurance required by law. When those limits are insufficient—or if the at-fault driver is uninsured or cannot be identified after a hit-and-run—additional insurance coverage may be available depending on the terms of the applicable rideshare policy and any other insurance that applies.
An attorney can evaluate all potential sources of recovery and determine which policies may provide coverage under the circumstances.
Personal Auto Insurance Considerations
Many personal automobile insurance policies contain exclusions or limitations for commercial or rideshare use unless the driver has purchased a rideshare endorsement. Whether a personal insurer may deny coverage depends on the specific policy language, the driver’s activities at the time of the accident, and other facts unique to the claim.
Reviewing all applicable insurance policies is an important part of protecting your legal rights after a rideshare accident.
Documenting Lost Income as a Rideshare Driver
Unlike employees who receive regular paychecks, rideshare drivers often need additional documentation to prove lost income.
Evidence that may help establish your financial losses includes:
- Uber or Lyft earnings statements
- Weekly or monthly payout summaries
- IRS Forms 1099
- Tax returns
- Trip history and driving records
- Incentive and bonus payment history
- Business expense documentation
Accurately documenting these records can help demonstrate both past lost income and, when appropriate, diminished future earning capacity.
Why Legal Representation Matters
Rideshare accident claims often involve complicated insurance issues and multiple parties. Identifying the correct insurance coverage, preserving electronic evidence, and calculating the full value of your damages can have a significant impact on the outcome of your case.
At Hildebrand & Wilson, LLP, we represent Uber and Lyft drivers throughout Pearland, Houston, Harris County, Brazoria County, Fort Bend County, and surrounding Texas communities. We investigate rideshare accidents, identify available insurance coverage, and fight to recover compensation for medical expenses, lost income, property damage, pain and suffering, and other damages permitted under Texas law.
If you were injured while driving for Uber or Lyft, contact Hildebrand & Wilson, LLP today for a free consultation to discuss your legal rights and your options for pursuing compensation.