Rideshare services like Uber and Lyft have become popular transportation options in Denver and throughout Colorado. However, when accidents happen, determining liability can become a complex matter due to the unique insurance requirements and the independent contractor status of drivers. Whether you are a passenger, a driver, or another motorist involved in an Uber or Lyft accident, understanding who is responsible for covering your damages can go a long way in helping you secure the appropriate compensation.
Understanding Colorado’s Rideshare Insurance Requirements
Colorado law has specific insurance requirements for rideshare drivers that differ from typical personal auto insurance policies. These requirements are divided into three distinct “periods,” which determine which insurance coverage applies during an accident:
- Period 1: App On, No Ride Accepted – When a rideshare driver is logged into the app but has not yet accepted a ride, both Uber and Lyft provide “contingent” liability coverage of up to $50,000 per person for bodily injury, $100,000 per accident for bodily injury, and $25,000 per accident for property damage. This coverage only kicks in if the driver’s personal insurance does not cover the damages.
- Period 2: Ride Accepted, En Route to Pick Up Passenger – Once a driver has accepted a ride request and is on their way to pick up a passenger, Uber and Lyft’s commercial insurance policies offer up to $1 million in liability coverage. This period provides more extensive protection because the driver is considered to be actively working.
- Period 3: Passenger in the Vehicle – While transporting a passenger, both companies maintain their $1 million liability coverage, which includes uninsured/underinsured motorist (UM/UIM) coverage. This ensures that if another driver is at fault and lacks sufficient coverage, Uber or Lyft’s insurance can still provide compensation.
When Are Uber or Lyft Directly Liable?
Although Uber and Lyft typically classify their drivers as independent contractors to limit liability, they may still be held accountable in specific scenarios. For example, if a company failed to conduct proper background checks on a driver or allowed a driver with a history of reckless driving to operate, Uber or Lyft could be directly liable. In Colorado, the state requires rideshare companies to update drivers’ criminal background checks every five years, and certain offenses, like a DUI within the past seven years or any violent felony, disqualify a person from driving for these services.
What If Another Driver Is at Fault?
If another driver is responsible for causing the collision, their insurance should cover your injuries. However, if they are uninsured or underinsured, Uber or Lyft’s $1 million UM/UIM coverage can step in to cover your damages. This safety net applies even in hit-and-run accidents, ensuring that passengers and drivers are not left without compensation options.
Determining Liability in an Uber or Lyft Accident in Colorado
Determining liability in an Uber or Lyft accident depends on the driver’s status in the app at the time of the crash. Here’s a breakdown:
- Not Logged into the App: The driver’s personal insurance is responsible for any damages, and Uber or Lyft are not involved.
- Logged In, No Passenger: Contingent liability coverage provided by the rideshare company applies if the driver’s personal insurance does not suffice.
- Passenger Onboard: The company’s $1 million commercial policy is in effect and provides the highest level of coverage.
Understanding these distinctions is crucial because it determines which insurance policy you need to file a claim against.
How to Protect Your Rights After an Uber or Lyft Accident
If you’re involved in an accident with an Uber or Lyft in Colorado, taking the right steps can make a significant difference in protecting your legal rights and ensuring you receive the compensation you deserve. Follow these steps:
- Call 911: Report the accident and seek immediate medical attention for any injuries.
- Document the Scene: Take photos of the vehicles, injuries, and any other relevant details. Gather contact information from the driver and any witnesses.
- Report the Accident to Uber or Lyft: Use the app to create an official record of the incident.
- Consult an Experienced Rideshare Accident Attorney: Contact a local attorney who specializes in rideshare accidents to help navigate the complexities of the claims process and ensure your rights are protected.
Why You Need Legal Support for Uber and Lyft Accidents in Colorado
Rideshare accident cases often involve multiple insurance companies, each trying to minimize its own liability. Uber and Lyft employ teams of corporate attorneys and insurance adjusters who may attempt to reduce or deny your claim. Having a legal advocate on your side can help ensure that all responsible parties are held accountable and that you receive full compensation for your injuries.
At Fiedler Trial Lawyers, we have extensive experience handling Uber and Lyft accident cases and can help you pursue the compensation you deserve. Whether you’re a passenger, driver, or another motorist injured in a rideshare accident, our team is ready to fight for your rights. Contact us today to schedule a free consultation and discuss your legal options.