Who's Liable in a Rideshare Accident?
Rideshare services like Uber and Lyft are popular forms of transportation that offer convenience and accessibility to millions of residents and visitors in California. However, as ridesharing continues to grow in popularity, the number of related accidents has also increased, leading to complicated questions regarding liability.
Determining who is legally responsible in a rideshare accident can be challenging since multiple parties are often involved, such as the rideshare driver, the rideshare company, third-party drivers, and even passengers. At the Law Offices of Steven Zwick, we are experienced in representing clients who have been injured in rideshare accidents.
In this blog, we provide an overview of rideshare accident liability under California law to help you understand your rights and options after an accident.
Overview of California Rideshare Laws
In 2015, California became the first state to enact specific laws and regulations for rideshare services. These laws hold rideshare companies like Uber and Lyft to a higher standard of safety and accountability compared to traditional taxi services. Some key components of these laws include the following:
Requiring background checks for all drivers.
Requiring drivers to carry liability insurance coverage of at least $1 million when transporting passengers.
Requiring rideshare companies to provide insurance coverage for their drivers, including during times when they are waiting for ride requests.
These laws aim to make sure that both riders and third parties are protected in the event of an accident involving a rideshare vehicle. However, determining liability still depends on the specific circumstances of each accident.
Under California law, rideshare services categorize their drivers as independent contractors rather than employees. This classification is significant because it limits the liability of rideshare companies for the actions of their drivers.
Understanding Rideshare Periods
To ensure some level of accountability, California mandates that ridesharing companies maintain insurance policies that provide coverage under certain conditions. These conditions depend on the rideshare driver's activity at the time of the accident, which is divided into three distinct "periods."
Period 1: The driver has their rideshare app turned on but has not yet accepted a ride request.
Period 2: The driver has accepted a ride request and is en route to pick up the passenger.
Period 3: The driver has a passenger in their vehicle or is actively transporting them.
Insurance coverage requirements vary depending on these periods, which can significantly impact who may be held liable in the event of a rideshare collision.
Who Can Be Held Liable in a Rideshare Accident?
When it comes to determining fault and liability, rideshare accidents are notoriously complicated. Depending on the circumstances of the accident, multiple parties can potentially be involved, making it challenging to determine who is responsible for the damages. However, some of the key parties that may be held liable include the following:
The Rideshare Driver
The rideshare driver can often be held liable if their negligence directly caused the accident. Rideshare drivers have the same responsibilities as any other driver on the road. They must follow traffic laws and exercise reasonable care when operating a vehicle. If a rideshare driver's negligence causes an accident, they may be held liable for resulting injuries and damages.
Some examples of driver negligence include distracted driving, speeding, failing to obey traffic laws, or driving under the influence. Individuals injured in a rideshare accident may file a personal injury claim against the driver’s personal insurance policy or the rideshare company’s insurance policy, depending on the circumstance.
The Rideshare Company
Although rideshare companies such as Uber and Lyft classify their drivers as independent contractors to avoid broad liabilities, California law requires these companies to maintain insurance coverage in the event of a rideshare accident. The available insurance will depend on which period the rideshare driver was operating under.
During Period 1: When a driver is waiting for a ride request, California law requires rideshare companies to provide limited liability coverage of $50,000 per person for bodily injury, $100,000 per accident for bodily injury, and $30,000 for property damage. However, the driver’s personal auto insurance may also play a role in compensation during this time frame.
During Periods 2 and 3: When the driver is en route to pick up a passenger or actively transporting one, the rideshare company is required to provide up to $1 million in liability coverage. Additionally, Uber and Lyft offer uninsured/underinsured motorist coverage to account for accidents caused by third-party drivers without sufficient insurance.
Third-Party Drivers
If a third-party driver caused the accident, they could be held liable for damages. For example, if another driver ran a red light and struck a rideshare vehicle, that driver’s insurance would likely be the primary source of compensation for the injured parties.
However, if the third-party driver is uninsured or underinsured, the rideshare company’s supplementary uninsured/underinsured motorist coverage may apply, provided the accident occurred during Periods 2 or 3.
Other Liable Parties
Liability may also extend to other parties in certain situations. For example, if poor road design or inadequate signage contributed to the accident, a government entity responsible for maintaining the road could be held accountable. Similarly, if a vehicle defect played a role, the manufacturer of the defective vehicle or part may be held liable under product liability laws.
Steps to Take After a Rideshare Accident
If you’ve been injured in a rideshare accident in California, there are certain steps you should take to strengthen your claim and improve your chances of obtaining fair compensation. These steps include the following:
Seek medical attention: Your health and safety should be your top priority. Seek medical assistance immediately even if you don’t feel injured at first. Some injuries may not present symptoms until later and can lead to additional challenges if left untreated.
Call the police: File a police report to document the accident. This report can serve as crucial evidence in determining fault and liability.
Gather evidence: Take photos of the accident scene, vehicle damage, and your injuries. Collect contact information from witnesses and anyone involved in the collision.
Report the accident: Notify the rideshare company of the accident through their app or customer service. Keep evidence of your communication for future reference.
Consult an attorney: Rideshare accidents can be overwhelming. An experienced personal injury attorney can help you assess your case, build a strong legal strategy, and pursue compensation.
How the Law Offices of Steven Zwick Can Help
Dealing with a rideshare accident often requires skilled legal representation. At the Law Offices of Steven Zwick, we have decades of experience representing accident victims throughout Orange County, California. Our team understands the state's intricate rideshare laws and insurance policies, which makes us well-equipped to fight for the compensation you deserve. If you’ve been injured in a rideshare accident, contact us today to schedule a free consultation.
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