Ridesharing programs are a good way for car owners to make a little bit of extra cash, but too often, Uber drivers are unaware of how the company’s insurance works. This can lead to complications if the driver is in a car accident and suffers injury as a result.
How Does Uber Insurance Protect Drivers from Injury?
Uber’s insurance works differently depending on what a driver is doing at the time of the accident. If an Uber driver is offline when an accident happens, then Uber’s insurance does not cover injuries. When a driver accepts a trip up through its conclusion, Uber provides a commercial auto insurance policy with $1 million of liability per incident. An additional $1 million is offered to all occupants of the vehicle for uninsured/underinsured injury coverage.
If a driver is available, but is not driving passengers, the driver’s personal insurance is largely responsible for covering property damage and personal injury. However, drivers can request contingent liability coverage from Uber of $50,000 per injury and up to $25,000 for property damage. This is only available if the damages exceed the driver’s personal insurance.
You might ask – why doesn’t Uber cover injuries for their drivers in all capacities, even when they are not driving passengers? Shouldn’t companies be responsible for injuries sustained by their employees on the job? Yes, they should – but Uber drivers are not considered employees. Drivers are considered independent contractors and, as such, Uber can deny liability for injuries to its drivers.