Navigating the aftermath of an Uber or Lyft accident in New Jersey demands clarity on liability. Understanding insurance coverage based on the driver’s status is vital. This article will help you learn how to protect your rights and seek compensation effectively.
Who is liable in an Uber/Lyft accident in New Jersey? Liability in New Jersey rideshare accidents depends on the driver’s status; the rideshare company typically covers accidents when the driver is available, en route, or on a trip.
Regardless of how great the reviews are for your Uber or Lyft driver, no one is perfect, and there is always a risk that you may end up in a vehicle accident. If you are injured while on a rideshare trip, it is important to know your legal options. You must also know how to determine who is liable in an Uber/Lyft accident in New Jersey. You should not have to bear the financial burden of painful and expensive injuries that you are not responsible for. Contact us today to have your case reviewed.
Uber and Lyft drivers do not receive special safety training unlike bus drivers or commercial carriers. Their respective companies classify them as independent contractors rather than employees. Therefore, they cannot be trained by the company without re-classification. Rideshare drivers do not have to obtain a commercial driver’s license (CDL), though they are arguably held to a higher standard of care when driving. Regulations differ by state.
Both Uber and Lyft have struggled to avoid re-classification of their drivers. Both companies also track accidents and have policies in place to remove drivers who have repeated serious accidents. Unfortunately, the public cannot access this information, so you may still be rolling the dice when it comes to your driver.
New Jersey is a no-fault state. That means that your insurance will help pay a portion of the accident expenses regardless of who was responsible for the accident. New Jersey requires all drivers to carry personal injury protection insurance (PIP). This may seem simple enough, but some nuances related to liability in a NJ rideshare accident can cause complications for your claim.
Normally, your medical expenses would be paid for by the other driver’s PIP insurance. But the insurance company does not have this obligation in New Jersey if the driver is driving for work.
The minimum amount a driver must carry is $15,000, but drivers can purchase up to $250,000. In this circumstance, the driver must have applied for a Ride Sharing Endorsement as part of their insurance policy. If they do not have this coverage, or the driver’s insurance refuses to pay for your injuries for any other reason, you may have to seek compensation from Uber or Lyft insurance. This is also true if the cost of your injuries exceeds the insurance policy coverage limits.
Uber or Lyft Insurance Claim
Ridesharing is becoming an increasingly popular way to travel. Worldwide, the ridesharing industry is expected to grow by more than 115 percent between 2021 and 2026. The market value is expected to amount to around 185 billion dollars in 2026. Because of the prevalence of Uber and Lyft users across New Jersey, a law passed in 2017 mandated that passengers injured in a rideshare accident would have medical coverage that covered $1.5 million in medical bills. Even if the driver does not have auto insurance, the rideshare company does.
Is Uber Liable for Accidents?
Uber may be liable for accidents involving their drivers, depending on the driver’s status at the time. If the driver is available, en route, or actively transporting a passenger, Uber’s insurance typically covers the accident. However, if the driver is offline, their personal insurance applies, and Uber is not liable.
Determining Who Is Liable in an Uber/Lyft Accident in New Jersey
The timing of the accident can impact the determination of liability for your claim because the engaged status of the rideshare driver changes the amount of insurance coverage available.
Offline Driver
When the driver is in their vehicle but not using the app, they have only their own personal insurance, and the rideshare company is not liable for any accidents.
Available Driver
An available Uber or Lyft driver is in their vehicle with the rideshare app on and waiting for a passenger to accept a ride. In this situation, the company covers liability in a NJ rideshare accident.
En Route
The rideshare driver has accepted a ride on the app and is on their way to pick up the passenger. While the driver is en route to the passenger, the company’s full insurance policy provides coverage for an accident.
On a Trip
If the Uber or Lyft driver is actively driving a rideshare passenger to their destination, they have the benefit of the company’s full insurance policy.
Do You Need an Uber/Lyft Accident Attorney?
Depending on your accident’s circumstances, you could be dealing with multiple insurance companies trying to determine who is liable in an Uber/Lyft accident in New Jersey. Many insurance companies quickly offer settlements that are less than the true value of your claim in the hope that you will accept them quickly without asking questions.
The team at Glugeth & Pierguidi, P.C. understands how important it is to settle for no less than what you deserve. Over the last three decades, we have obtained millions of dollars for accident victims in Hoboken and the surrounding areas. Uber and Lyft face cases like yours quite often and know how to receive a favorable result when the accident victim lacks experienced legal representation.
Contact us today for your free case consultation, and let us help you get the compensation you deserve.
David Pierguidi and Jared Glugeth understand how hard it may be for you and your family following an accident resulting from someone’s negligent actions. Get the medical treatment you need right away and then call our law firm at any time of day for answers to your questions.
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