If you were involved in an UBER accident as a passenger, you need not worry. You are covered for up-to $1,000,000.00. This number is NOT accurate because if the driver was AT fault the coverage is significantly more, I will discuss this in depth at the end of this post.
Periodic coverage is how UBER determines the amount of insurance provided to drivers. Depending on which phase you fall into that will determine your coverage.
PERIOD 0– this is when you are not on the app, not paired with a passenger and not on the way to collect a passenger. At this point only your own insurance will be applicable.
PERIOD 1– when your app is on, but you have not been paired with a passenger. UBER will only afford limited coverage in this scenario. Typically, $50,000.00 is bodily injury coverage and $25,000.00 is property damage coverage. No uninsured or underinsured motorist coverage is afforded. Additionally, the entire policy is $100,000.00. That amount is to be divided if multiple persons are involved in the accident.
Period 2 & 3– this is available when you are on the way to pick up a passenger. Under the following coverage you will be given $1,000,000.00 in coverage and the same limits in underinsured and uninsured coverage.
Always make sure you document when you are on the app or on the way to pick up a passenger. It will make a large difference in the amount of insurance coverage afforded to you.
In certain situations, you will have an accident happen and the ride is subsequently canceled. In such cases the rideshare company may attempt to deny your coverage, or they will not afford you coverage under the correct period. You must make sure that this is documented and challenge this position immediately.
While UBER indicates they carry $1,000,000.00 in coverage for drivers and passengers, they are only telling half of the story. If you were a passenger and the driver was AT FAULT, you would technically be able to pursue UBER for significantly more. In various discovery correspondences it has been disclosed that UBER carries insurance far more than the underlying $1,000,000.00 coverage. However, to access that money, you would need to seek direct recovery from UBER. You would also need to illustrate that the driver was at fault for the incident.
Regardless, accessing the driver directly is not something the carrier would permit. Additionally, many attorneys and law firms are not interested in doing the extra leg work. Instead, they will routinely settle the case for the either policy limits or far below that amount. DO NOT ACCEPT SUCH SETTLMENTS. Remember lawyers get paid when they settle your case. Often, they are NOT interested in fighting for more money because it means more work. We make sure to turn every stone and seek the highest possible resolution for your case. Call anytime 24/7 to discuss your case. You can text me at 310-770-7309.