Drivers for rideshare companies like Uber and Lyft are considered independent contracts instead of employees. This designation prevents you from filing a lawsuit directly against the rideshare company in most cases. While businesses are often responsible for the negligence of their employees, the same is not true for independent contractors. The good news is that the rideshare company could still be financially responsible for your accident even if you are unable to sue them directly. Rideshare companies offer insurance coverage to drivers under certain circumstances. However, these policies are considered secondary. That means if you are injured by an Uber or Lyft driver in an accident, drivers typically need to first exhaust their personal policy before reaching the rideshare policy. Once the rideshare company’s policy goes into effect, the limits on that policy will depend on the circumstances. The most coverage is available in cases where a rideshare driver was transporting a paying customer at the time of the accident. When a Driver is Not Using the App Drivers that are not transporting customers and are not using the app to seek out new riders are not covered by Uber or Lyft insurance policies. Both companies consider these drivers to be using their vehicles for personal reasons. In these cases, the only option is to seek coverage through the driver’s personal policy. When a Driver is Using the App but Does Not Have a Passenger Any time an Uber or Lyft driver is using the mobile app and actively seeking out a new rider, the company provides some degree of insurance coverage. This coverage is not as robust as when there is a passenger in the vehicle, but it can provide important compensation following a serious accident. In these cases, rideshare insurance coverage maxes out at: $50,000 for bodily injuries per person $100,000 for bodily injuries per accident $25,000 for property damage per accident When a Driver has a Paying Passenger The highest tier of insurance applies any time a driver is in the midst of a ride with a paying customer. This tier of coverage begins the moment the ride is accepted and continues until the passenger is dropped off at their destination. During this time, rideshare companies offer up to $1 million in coverage. This coverage applies not only to bodily injuries but also to property damage as well.