July 3, 2025
Insurance Coverage in Rideshare Accidents: Understanding the Policies of Uber and Lyft
Whether you’re hailing an Uber to go home from class or booking a Lyft after an enjoyable night in Detroit, rideshare services have become a common part of daily life. This is especially true for young adults and city commuters. So, what steps should you take if you’re involved in an accident while using one of these services?
Who Pays Your Medical Bills? What If the Other Driver is Uninsured?
At Elia & Ponto, we understand how confusing and heartbreaking these situations can be. That’s why we’re breaking down how Uber and Lyft insurance works, the current accident trends in Michigan, and why hiring an experienced personal injury lawyer is crucial if you’ve been injured in a rideshare crash.
Michigan Car Crash Statistics: Why Rideshare Accidents Matter More Than Ever
According to the Michigan State Police, in 2023 alone:
- Over 290,000 vehicle crashes occurred in Michigan
- Nearly 52,000 of those were in Wayne County, the heart of Metro Detroit
- Oakland and Macomb Counties saw 34,000+ and 28,000+ crashes, respectively
- An estimated 20% of Michigan drivers are uninsured
With more people using rideshare services, accidents involving them are becoming more common. Unfortunately, many victims are left unsure about how insurance works or whether they’re covered at all. That’s where our team at Elia and Ponto come in.
When Rideshare Insurance Applies: The 3 Key Periods
Uber and Lyft provide different levels of insurance based on what phase of the ride the driver is in. Here’s how it works:
Period 1: Driver Online, Waiting for a Ride Request
The driver is signed into the app but hasn’t accepted a ride yet.
Uber & Lyft Provide:
- $50,000 bodily injury per person
- $100,000 total injury per accident
- $25,000 property damage
Contingent coverage only — kicks in if the driver’s personal auto insurance denies the claim.
Period 2: Ride Accepted, Driver En Route to Pick You Up
You’ve requested a ride, and the driver is on the way.
Uber & Lyft Provide:
- $1 million in primary third-party liability coverage
This means their insurance is the first to respond if a crash happens — not the driver’s personal policy.
Period 3: Passenger in the Vehicle – Ride in Progress
This is the most secure phase in terms of insurance protection.
Uber & Lyft Provide:
- $1 million third-party liability
- Uninsured/Underinsured motorist coverage (UM/UIM)
- Contingent comprehensive/collision (with a $2,500 deductible)
Even if the at-fault driver has no insurance, Uber and Lyft’s UM/UIM policies ensure your medical bills and losses are covered.
What If the At-Fault Driver Doesn’t Have Enough Insurance?
This is very common in Michigan. As explained in our blog on the importance of auto insurance, being underinsured can leave you on the hook for major medical bills, unless you’re covered by a rideshare company’s policy.
That’s why understanding your insurance coverage, the claims process, and how to prove damages is so important. At Elia & Ponto, we guide clients through this every day.
If You’re in a Rideshare Accident, Do This:
- Document the Scene – Photos, names, car details, and app screenshots
- Report the Incident in the Uber or Lyft app
- Get Medical Help – Even if injuries seem minor
- Call Elia & Ponto – We’ll evaluate your case for free
Why You Need a Lawyer (and Why Clients Choose Elia & Ponto)
Rideshare insurance claims can become complicated very quickly. When you’re injured in an accident involving Uber or Lyft, there may be multiple insurance policies at play. Each with different coverage rules. Liability can be disputed between the rideshare company, the driver, and even your own insurance provider. These complexities often lead to delays, lowball settlements, or outright denials from corporate insurers.
At Elia & Ponto, we understand how overwhelming this process can be. That’s why we step in to handle the legal complexities while you focus on recovery. Our team investigates every detail of your accident to build a strong, evidence-backed case. We negotiate directly with rideshare companies and insurance providers to make sure your voice is heard and your rights are protected.
We also take the time to calculate the full scope of your damages. This includes medical expenses, lost wages, ongoing care needs, and even pain and suffering. Our goal is to ensure you’re not left with unexpected costs or uncompensated losses down the road.
Best of all, we work on a contingency fee basis—meaning you don’t pay us anything unless we win your case. It’s part of our commitment to making legal help accessible when you need it most.
Injured in an Uber or Lyft? Don’t Wait. Call Elia & Ponto Today.
If you’ve been hurt in a rideshare accident, don’t try to navigate the insurance process alone. Contact Elia & Ponto today for a free consultation and let us fight for the compensation you deserve.
Free Consultation. No Pressure. Just Help.
Call 855-75-EPLAW
Live chat available 24/7
