If you have been injured in an accident involving an Uber or Lyft driver, there are different rules at play than there are in other types of car crash cases. You may be limited in who you can seek compensation from, but you would still be entitled to money for your injuries. You would need the help of an experienced car accident lawyer to help you navigate a complex legal system because you are still dealing with an insurance company.
Rideshare Drivers Are Independent Contractors
Companies like Uber and Lyft try to have it both ways, and every one of them is skewed to their own benefit. The rideshare driver must fork over a percentage of every trip that they provide, no matter what. In exchange for providing the platform and support for drivers, Uber and Lyft generally take 25 to 30% of the driver's compensation for each ride.
Even though Uber and Lyft profit from these drivers, they do everything in their power to avoid classifying them as employees because it would mean that the ridesharing companies have certain legal obligations. Not only would they need to provide workers' compensation insurance, but they would also be subject to minimum wage laws. Therefore, Uber and Lyft drivers are not employees of the company. Rather, they are considered independent contractors who work for themselves and have a legal relationship with the rideshare companies.
The Company Is Typically Not Liable for the Rideshare Driver’s Actions
In the gig economy, you do not have the same legal ability to sue the company. The fact that the driver is an independent contractor means that they are working for themselves, with an arm's length relationship with Uber and Lyft. Thus, you cannot file a direct lawsuit against Uber and Lyft for accident injuries.
Generally, the only time that you can sue the rideshare companies is when you can prove that they fail to conduct the proper checks on the drivers or terminate the relationship when the driver has proven to be dangerous in some way. For example, passengers are able to sue Uber and Lyft when they are assaulted by a driver.
You Can Still File a Claim Against the Insurance Policy
Uber and Lyft simply cannot throw up their hands and say that you are not entitled to any compensation when you have been injured in an accident. One of the conditions for their permission to do business in each individual state is that they provide a general liability insurance policy for their drivers. There may be up to $1 million in coverage for injuries on a per-accident basis.
To get this money, you would need to file a claim against the insurance policy in which you prove liability for the accident. You would still need to negotiate settlement compensation just as you would in any other type of car accident. If you cannot reach an agreement with the insurance company, you have the legal ability to file a lawsuit against the rideshare driver, which the insurance company would need to defend.
No matter what status the driver has, you always have legal options that would allow you to pursue financial compensation. You would need the help of an experienced Rideshare accident attorney to help you learn more about what can be a complex and complicated system.
Contact the Edison Uber and Lyft Accident Lawyers at Lombardi & Lombardi, P.A.
If you have been injured in a rideshare accident, whether you were a passenger in the car or a driver of another vehicle, get legal help from the Edison Uber and Lyft accident lawyers at Lombardi & Lombardi, P.A. Schedule a free initial consultation by calling us today at 732-906-1500 or contacting us online. We have offices in Brick, Freehold, and Edison, New Jersey, and we serve clients throughout the state, including Point Pleasant.
