Uber and Lyft Accident Lawyer

There are a few different auto accident scenarios that can occur in connection with Lyft or Uber drivers. One such type involves a passenger being driven by a rideshare driver who causes a wreck by hitting another motor vehicle. A second accident scenario occurs when a separate vehicle hits a Lyft or Uber that is carrying a passenger. The third is an accident in which a Lyft or Uber driver with no passenger collides with another vehicle.

Regardless of which one of these three examples occurs, when an individual is in an auto accident caused by another person’s negligence, the victim may be eligible for financial compensation. These funds are designed to cover damages such as injuries, medical expenses, pain and suffering, and lost income.

Individuals who drive for rideshare companies are not considered to be employees. Instead, they are operating in the capacity of independent contractors who have a contract to perform services for the companies. The money received by the drivers is based on a non-employment relationship. As self-employed individuals, they are doing work for Uber or Lyft, but are not “working for” the companies.

An independent contractor status keeps the drivers responsible for only themselves. Thus, the rideshare companies are not accepting any responsibility for auto accidents that occur. Lyft and Uber consider this stance to be a good business model that helps ensure they will not be held liable for irresponsible and reckless drivers. Due to this business model, individuals who attempt suing rideshare companies find it quite difficult and challenging.

However, individuals who are injured by the negligence of a Lyft or Uber driver can still hold the driver legally responsible. The rideshare drivers are accountable for their own behavior on the road. The company is not.

At the point where an accident victim attempts to sue a rideshare company for careless, reckless and negligent behavior on the part of the driver, things can become quite complicated. If, in fact, the driver’s behavior is egregious enough, there may be a chance of the victim recovering a greater settlement from the company, particularly if the driver intentionally harmed the passenger. Behaviors like unwanted sexual assault fall into this category. Remember, though, that the driver is not an employee but rather an independent contractor.

The whole corporate arrangement between drivers and the rideshare companies for which they drive creates a very controversial subject. By claiming that the drivers are not employees, Lyft and Uber manage to escape a large weight of responsibility and legal liability. Court cases have been filed to challenge this matter.

For example, Lyft and Uber give perks in the form of extra compensation to drivers instead of carrying legal liability for the drivers’ actions. Independent contractors do not appear on company payroll records like employees do, so it becomes harder for accident victims to sue the companies when a driver causes an accident. Some states have begun considering legislation to force Lyft and Uber to make their rideshare drivers employees in order to remedy this dilemma.

Even though these rideshare companies have their own insurance policies besides any coverage the drivers personally carry, there is no easy way to recover damages from the companies when an accident happens. Look carefully at the situation. There is an insurance company administering a policy that has been purchased by a rideshare company to cover an independent contractor driver. Isn’t it obvious that the insurer will look for loopholes to keep from paying out money to accident victims for injuries or damages caused by the rideshare driver?

The driver’s insurance company is another set of challenges a victim has to deal with. A common practice by most insurers is to offer the least amount possible to accident victims right upfront in an effort to quickly settle claims for a very low amount. Many accident victims find themselves strapped for cash after missing work, dealing with mounting bills, and trying to stay afloat financially. In this negative environment, they are often willing to accept a much lower amount of compensation than they deserve. On top of this, giant insurance companies frequently try to totally deny claims to avoid paying any compensation to victims even if the rideshare driver caused the accident.