Can I Sue Uber or Lyft After an Accident?

Both passengers and those who share the road with rideshare vehicles are putting their trust in Uber and Lyft to keep them as safe as possible. When an accident involving an Uber or Lyft vehicle happens, it’s often natural to blame the rideshare service. But because of the steps that Uber and Lyft have taken to protect themselves from lawsuits, it is often quite difficult to hold them liable.

Michigan No-Fault Claims

Michigan is a No-Fault state which means that you do not have to prove fault in an accident to receive compensation. If you were injured while riding in an Uber, Lyft, or other rideshare vehicle, you can make a claim through Personal Injury Protection (PIP) insurance, which is included in your own No-Fault Coverage. The policy of a spouse or resident relative may also be used secondarily. Uber and Lyft will only allow you to file through their No-Fault coverage as a passenger if no other options are available.

Uber and Lyft Liability Coverage

If a rideshare driver is at fault for the crash, then their liability insurance will cover pain and suffering compensation, medical expenses, and lost wages that they are legally liable for. Michigan Uber and Lyft drivers are covered by their companies only if they are logged into the app and, even then, at differing levels depending on the stage of the ride. It is also very important to note that this coverage is secondary and meant to supplement a driver’s personal insurance. Drivers have to submit a claim to their own insurance company before going through Uber or Lyft. The following tiers of coverage are available as secondary coverage:

– If the driver had the app on and was waiting for a ride request when the accident happened, the following coverage applies:

• $50,000 in bodily injury per person
• $100,000 in bodily injury per accident
• $25,000 in property damage per accident

– If the driver was enroute to pick up the passenger, the passenger was entering the car, or the driver was transporting the passenger to their destination the following coverage applies:

• $1,000,000 third-party liability
• Uninsured/underinsured motorist bodily injury and/or first-party injury insurance
• Contingent comprehensive and collision (up to actual cash value of car with a $2,500 deductible)

If the driver was not logged into the app, only their personal insurance coverage applies.

Can I sue Uber or Lyft after an accident?

If you are seeking further compensation beyond No-Fault benefits, suing the at fault driver can be a smart path. While it is easy to assume that you can sue Uber and Lyft for an accident caused by one of their drivers, that is not necessarily true. Most rideshare drivers are technically independent contractors and not employees and therefore are liable for their own negligence. Uber and Lyft set their services up this way on purpose to protect themselves from lawsuits. If, however, it is determined that the rideshare driver has an employee/employer relationship with the service, Uber or Lyft may be liable for the driver’s negligence under the “respondeat superior” doctrine.

Injured in a Rideshare Accident? Call Us Today.

 
Any auto-accident can be frustrating and confusing, but dealing with big companies like Uber, Lyft, and their insurers can make rideshare accidents especially difficult. The expert attorneys at the Mike Morse Law Firm can help you through this process and make sure that you get the compensation that you deserve. Call us at 855-Mike-Wins (855-645-3946) or contact us through our website for a free consultation.