For auto accidents, it is important to understand who is responsible and how to get help. This is especially true if you are injured while riding in an Uber, Lyft, or taxi. The process for getting compensation is different for each. Knowing these differences is key to protecting your rights. In this blog post, we will explain how personal injury claims work for rideshare apps compared to traditional taxis.
Who Is Responsible After an Accident?
After a transportation accident, who is responsible for your injuries? The answer depends heavily on whether you were in a taxi or a rideshare. For Uber vs. taxi, the core difference lies in the driver’s employment status. Taxi drivers are usually direct employees of their company. Under the concept of vicarious liability, the cab company is frequently liable for any negligence caused by its driver during work hours.
Also, in the case of rideshare drivers, they are classified as independent contractors. The liability of companies like Uber or Lyft is not automatic and is more complex. Their responsibility typically depends on the driver’s specific status within the app at the time of the crash, such as whether they were waiting for a request or actively on a trip with a passenger.
The Important Role of Insurance Coverage
Let us understand some practical differences between the insurance that covers your ride. Taxi companies must carry continuous commercial insurance. This clear policy covers passengers at all times, simplifying a claim.
For rideshare apps, insurance is complex and changes with the driver’s app status. The insurance coverage for Uber vs. taxi services is fundamentally different. A rideshare claim first requires determining which of these phases applied:
- App Off: When the driver’s rideshare app is turned off, only their personal automobile insurance policy provides any coverage for an accident.
- App On, No Passenger: When the driver has the app on but is not matched with a passenger, the rideshare platform provides limited contingent liability coverage, which may only apply after the driver’s personal insurance is exhausted.
- En Route or On Trip: When the driver is enroute to pick up a passenger or is actively on a trip, the rideshare platform’s commercial insurance policy becomes the primary source of coverage for a claim.
Here, identifying the correct phase is the important first step in a rideshare injury claim.
How the Claims Process Differs for Apps vs. Taxis
The way to get compensation varies greatly between taxi and rideshare accidents. Below is a step-by-step comparison of the claims process.
Starting a Claim
Taxi: You file the claim directly with the taxi company’s commercial auto insurance provider.
Rideshare: You must initiate the claim through the rideshare company’s app or website. They then manage it with their insurer.
Investigating the Claim
Taxi: The investigation centers on proving the taxi driver’s negligence caused the accident.
Rideshare: Investigators must first prove the driver was in an active period on the app. This adds a complex initial step.
Negotiating a Settlement
Taxi: Your attorney negotiates with an adjuster from the taxi’s insurance company.
Rideshare: You often face a specialized corporate team defending the platform’s policies, which can make settlement talks more difficult.
Going to Court
Taxi: The lawsuit typically names the taxi driver and the cab company as defendants.
Rideshare: Determining the correct defendant is complex. It may be the driver, the company, or both, based on app status and local law.
Conclusion
When it comes to personal injury claims, the process for taxis and rideshares is not the same. The key differences are in insurance coverage and who is held responsible. If you are injured in either type of accident, it is important to get legal advice quickly. A lawyer can help you navigate the specific rules and work to protect your right to fair compensation.