Rideshare services like Uber and Lyft have become a normal part of daily life in California. But when an accident happens, the claims process is far more complicated than a typical car crash. Liability depends on the driver’s app status, multiple insurance policies, and California’s unique rideshare regulations.
According to legal analysis from Tulekyan Law, rideshare accidents involve multiple coverage tiers and require determining exactly what the driver was doing at the time of the collision. Another California law firm notes that liability “depends on who caused the accident and which insurance policy was active,” emphasizing that app status is key.
This guide breaks down how California rideshare accident claims work, what insurance applies, and what steps you should take after an Uber or Lyft crash.
How Rideshare Insurance Works in California
Uber and Lyft operate under a tiered insurance system. The coverage available depends entirely on the driver’s status in the app at the moment of the crash.
Below is a clear breakdown based on California rideshare liability explanations from Collier Law Firm.
Insurance Coverage by App Status
Driver’s App StatusInsurance CoverageApp OffDriver’s personal auto insurance applies.App On, Waiting for a RideUber/Lyft provides limited liability coverage: $50,000 per person, $100,000 per accident, $30,000 property damage.Ride Accepted or Passenger in VehicleUber/Lyft provides up to $1 million in liability coverage, plus uninsured/underinsured motorist coverage.
These coverage tiers are consistent across Uber and Lyft and are required under California law.
Who Is Liable in a Rideshare Accident?
Liability depends on who caused the accident and what the rideshare driver was doing. According to Lawyer Monthly’s analysis, rideshare accidents are “not just another car crash” because Uber and Lyft classify drivers as independent contractors, creating a unique liability structure.
Potentially Liable Parties
- The rideshare driver
- Another negligent driver
- Uber or Lyft’s insurance policy
- Vehicle manufacturers (defects)
- Government entities (road hazards)
Because multiple parties may share responsibility, these cases often require a detailed investigation.
Common Causes of Rideshare Accidents
Rideshare collisions often occur due to:
- Distracted driving (navigating the app, searching for passengers)
- Speeding or aggressive driving
- Fatigue from long driving hours
- Inexperienced or poorly trained drivers
- Unsafe pickup or drop‑off locations
These factors are frequently cited in California rideshare accident analyses.
What to Do After an Uber or Lyft Accident
Taking the right steps early can protect your health and strengthen your claim.
- Call 911 and report the accident
- Take photos and videos of the scene
- Get the rideshare driver’s app status
- Collect witness information
- Seek medical attention immediately
- Report the crash to Uber or Lyft through the app
- Speak with a rideshare accident attorney
You can learn more about your rights by visiting Infinity Law Group’s Personal Injury page.
How Uber & Lyft Handle Claims
Uber and Lyft have internal claims departments, but they often:
- Delay responses
- Dispute app status
- Shift blame to other drivers
- Offer low settlements
Because these companies classify drivers as independent contractors, they frequently argue that they are not directly liable — even when their insurance policies apply.
When Uber or Lyft’s $1 Million Policy Applies
The highest level of coverage applies when:
- The driver has accepted a ride, or
- A passenger is in the vehicle
According to multiple California legal sources, this tier includes:
- Up to $1 million in liability coverage
- Uninsured/underinsured motorist coverage
- Contingent comprehensive and collision coverage
This is the most protective tier for injured passengers.
Can You Sue Uber or Lyft Directly?
In most cases, no — because drivers are classified as independent contractors. However, lawsuits may be possible if:
- The company failed to conduct proper background checks
- The app malfunctioned and contributed to the crash
- The company violated California safety regulations
These situations are rare but possible.
Compensation Available in a Rideshare Accident Claim
Victims may be entitled to:
- Medical expenses
- Lost wages
- Future medical care
- Pain and suffering
- Property damage
If the rideshare driver was reckless, punitive damages may also be available.
Frequently Asked Questions
Does Uber or Lyft pay for my injuries automatically?
No. Coverage depends on the driver’s app status and who caused the crash.
What if the other driver was uninsured?
Uber and Lyft provide uninsured/underinsured motorist coverage during active rides.
Do I need a lawyer for a rideshare accident?
Because these cases involve multiple insurance policies, legal representation is highly recommended.
Can I file a claim if I was a pedestrian hit by an Uber or Lyft?
Yes — coverage applies based on the driver’s app status.
Conclusion
Rideshare accidents are more complex than standard car crashes, but California law provides strong protections for injured passengers, drivers, and pedestrians. Understanding how Uber and Lyft insurance works — and taking the right steps early — can make a major difference in your recovery.
If you were injured in an Uber or Lyft accident, the attorneys at Infinity Law Group can help you navigate the process with clarity and confidence. Contact us through our online form for a free consultation.
