Uber and other similar services are becoming quite popular. However, the laws are having some difficulty keeping up with the liability for such vehicles when they are involved in accidents. The confusion extends to drivers and passengers in Tennessee and Kentucky who may not know exactly what happens if their Uber vehicle gets into a crash.
Uber’s policies, insurance and requirements
Uber has its own company insurance to protect it and its drivers from liability due to accidents. However, the company requires all drivers to have individual policies of at least the minimum required by their state’s laws.
If an accident occurs, it is the requirement for drivers involved to submit an accident report. Drivers should assess passengers and call for medical help if needed, along with contacting the proper authorities, before contacting Uber. When Uber is contacted, the company emails the driver an accident report. Once filled out and returned, the report is then sent to the insurance company for evaluation. Drivers may have to pay a deductible for insurance payments.
Passengers are not required to report an accident but will be contacted once the driver reports it. A company representative will usually call the passenger to get accident information.
In most cases, passengers are covered by the Uber driver’s insurance, according to WVLT 8. If a driver is in compliance with Uber’s insurance requirements, then passengers are safe, but if they are not covered, then passengers may face trouble. This may also be an issue if the driver does not inform his or her insurance provider that he or she works for a rideshare company. Drivers must tell insurance providers about the commercial use of their vehicles or the insurance company has every right to deny any claims made on the policy.
Most insurance companies offer rideshare insurance. For example, State Farm’s rideshare insurance works as an extension of a personal insurance policy. The rideshare policy is in effect when the insured is driving for a rideshare company. The rideshare policy is not in effect when the insured person is not driving for the company. Typically, this type of policy will cover damages to the vehicle and other vehicles, along with injuries sustained in an accident. It is more expensive than a personal coverage policy but provides adequate protection for the driver and passengers.
Being involved in an auto accident is never fun and trying to figure out what happens afterward with insurance and payments can be confusing. However, things are complicated when a rideshare service, such as Uber, is involved. If you have been in a rideshare accident, please consider contacting Bart Durham Injury Law.