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Who pays for the damage caused in a rideshare crash?

On Behalf of | Mar 30, 2024 | Motor Vehicle Accidents |

Rideshare services are highly convenient. Visitors to a new area do not need to research taxi companies or make an awkward call to a dispatcher to secure a ride. They also don’t need to stand around and wait for a taxi to drive by them spontaneously. Instead, they can order a ride to their exact location with a few taps. Rideshare services make transportation convenient for tourists and those traveling for business. They can also help people who are sick, under the influence or fatigued get where they need to go without endangering others by driving.

Yet, while rideshare services can reduce certain types of traffic risks, they generate numerous other safety concerns. Rideshare vehicles can end up involved in crashes, and passengers could suffer injuries and property damage losses.

Who reimburses a passenger for the economic impacts of a rideshare collision?

Fault is an important consideration

Just because someone was in a rideshare vehicle at the time of a crash does not mean their rideshare driver was to blame. The other vehicle may have run a red light or swerved into a different lane of traffic. If another motorist is the party at fault for a rideshare collision, then the passenger can file an insurance claim against that driver’s policy. In cases involving uninsured drivers or catastrophic losses, people can potentially file a personal injury lawsuit against the driver who caused the rideshare crash.

Several insurance policies could apply

Both of the major rideshare app companies have large corporate insurance policies that apply if one of their drivers causes a crash during a ride. These policies protect passengers from expenses generated when they ride share motorists make some mistake during a trip that causes property damage losses or injuries to passengers.

However, crashes could potentially occur when someone first loads their luggage into the trunk of the rideshare vehicle or before they exit after reaching their destination. Collisions that occur before or after the actual ride are typically eligible for coverage carried by the driver. Standard liability car insurance doesn’t apply when people use their own vehicles for commercial purposes. They usually have to purchase special rideshare policies to protect their passengers from crash expenses.

In scenarios involving severe injuries or passenger fatalities, lawsuits against drivers or rideshare companies might be necessary depending on the circumstances. Understanding the options for financial support after a car wreck may benefit those involved in a serious collision. Rideshare passengers who know the rules for post-crash compensation can work with a skilled legal team to hold the right party accountable for their losses.