Uber and other rideshare drivers have to carry liability insurance just like any other motorist on Texas roads. In addition to the driverâ€™s policy, the rideshare company also provides each driver with an insurance policy that covers property damage as well asÂ bodily injuries to riders and other victims. However, whose insurance pays after an accident in an Uber car is not always clear.
Who pays if I am at fault?
As with other accidents, if you are at fault, your insurance company is responsible for compensation. The state of Texas requires that you carry a minimum amount of liability insurance, including:
- $30,000 for each person hurt, up to $60,000 per accident
- $25,000 coverage for property damage
When you are at fault in an accident with an Uber driver, your liability insurance policy will pay out to the driver to cover the damage to his car, as well as any personal injuries or injuries to passengers.
If you have a collision policy, your insurance company will also cover damage to your car, although you will most likely have to pay a deductible.
Who pays if the Uber driver was at fault?
If the at-fault party in the accident drives for Uber but was not logged onto the app at the time of the accident, the driverâ€™s personal insurance will cover your damage just like in any other car accident. Like any other driver in a personal car, he is responsible for having the state minimum liability insurance to pay for repairs to your vehicle and any personal injuries you suffer.
If he is working, he has both his personal policy as well as the larger policy Uber provides to protect both other drivers and the riders who use the service. In most accidents, Uberâ€™s insurance policy is primary while the driverâ€™s insurance policy serves as the secondary coverage, according to Uberâ€™s website.
Many motorists who are involved in an accident with an Uber driver quickly learn that there is no hard and fast rule regarding which insurance company has to take responsibility. This is especially true when the Uber driver has logged onto the app but has not picked up a rider.
What are Texas lawmakers doing to resolve problems in determining whose insurance pays?
New Texas laws went into effect on January 1, 2016, that address insurance coverage gray areas in accidents when a rideshare driver is at fault. Texas Uber drivers must now have additional liability insurance beyond that required for most motorists. Any time the Uber app is running, they must carry minimum liability coverage that includes:
- $50,000 coverage per injured party, up to $100,000 per accident
- $25,000 coverage for other vehicles damaged in the accident
- $1 million coverage for personal injuries any time an Uber rider is in the car
At the same time, the law requires that Uber and other rideshare companies must cover claims that the driverâ€™s personal insurance company denies. This also applies to cases when the driverâ€™s personal policy is insufficient.
About the Law Office of Julie Johnson
Julie Johnson can help if you suffered personal injuries in an auto accident with an Uber driver in Dallas. Contact us today at 214-290-8001 to discuss your accident with a car accident attorney, and begin to explore your options to get the compensation you deserve.