When a collision involves a rideshare vehicle, it can be confusing to know who is responsible for covering the damages. In Los Angeles and throughout California, whether Lyft pays for an accident depends on what the driver was doing at the time of the crash and what insurance coverage applies.
Insurance Based on Driver Status
Lyft’s insurance protection is tied to the driver’s activity in the app. If the driver is offline and not using the platform, Lyft’s policy does not apply and the driver’s personal auto insurance is responsible. If the driver is logged into the app but has not yet accepted a ride, Lyft provides limited liability coverage for injuries or property damage to others. If the driver is on the way to pick up a passenger or has a rider in the vehicle, Lyft’s full one million dollar liability policy and uninsured or underinsured motorist coverage become active.
Company Liability Beyond Insurance
Although Lyft classifies its drivers as independent contractors, the company can still be held accountable in certain situations. For example, if Lyft failed to properly screen a driver with a history of reckless behavior or ignored repeated safety complaints, it may be directly liable for damages in addition to the insurance coverage already available.
Steps to Take After a Lyft Accident
If you are involved in an accident with a Lyft vehicle, the first step is to confirm whether the driver was logged into the app and whether they were waiting for or transporting a passenger. This detail determines which insurance applies. You should also gather as much information as possible from the scene, seek immediate medical care, and report the incident to the proper authorities. Filing the correct claim is crucial to recovering the compensation you deserve.
Final Thoughts
Lyft does provide insurance coverage in certain circumstances, but the level of protection depends on the driver’s status at the time of the crash. In some cases, the company itself may be held liable for negligence in hiring or supervision.
At Hillstone Law, our team understands how complicated rideshare accident claims can be. If you or a loved one has been injured in a Lyft-related crash, we are here to protect your rights and fight for the compensation you deserve.
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