With a large rise in ride share transportation in recent years, namely Uber and Lyft, there have been a lot of questions about fault and liability when vehicles being used for transport by these companies become involved in an accident. Who is liable for the damage caused in accident? Is it the “ride-sharing” company, Uber or Lyft? Is it the driver that caused the crash? Do Florida’s “no-fault” laws apply to these accidents? How does insurance work for these companies and their drivers?
Over the past few years, Florida has attempted to provide some clarity to these questions, even going so far as to pass a bill aimed directly at “ride-sharing” companies and drivers. If you were involved in an accident, be it a driver, passenger, or a third party, with a “ride-sharing” car, consider the following if you’re thinking about pursuing claims for financial compensation.
By definition, “ride-sharing” is any means of transportation where multiple people use the same car or vehicle. It’s a lot like carpooling, and in fact, some consider carpooling as a part of the “ride-sharing” definition.
Companies such as Uber and Lyft have developed a business model using technology (mainly cell phone or internet-based applications) which allow drivers to pick up passengers and drive them to a destination for a fee. They’re like taxi drivers, but instead of using the standard yellow cab owned by the company they work for, drivers use their own personal vehicle to transport passengers.
When “ride-sharing” companies were first introduced, there was a tremendous amount of confusion when accidents occurred. If an Uber driver got into an accident, do we still hold Uber liable even though they are not the owner of the car? Do we hold the driver liable? What about insurance requirements? Do we require Uber and Lyft to have similar insurance policies to regular taxis? What about Florida’s “no-fault” law? Does that apply to Uber and Lyft?
In 2017, Governor Rick Scott signed into law a bill designed to give us some clarity when dealing with claims of this manner. The bill defined “ride-sharing” companies as TNCs, or Transportation Network Companies. In short, the bill established that TNCs must carry minimum insurance levels of $50,000 for bodily injury, $100,000 for each TNC accident, and up to $1,000,000 in personal injury per accident.
However, with this insurance policy, the bill established that you cannot sue the TNC directly. This means that if you do get into an accident with an Uber driver, your only option may be to pursue a claim against Uber’s insurance policy. You may not be able to sue Uber or Lyft directly in order to receive financial compensation. That being said, you may still be able to pursue a claim against the at-fault driver—whether it’s the “ride-sharing” driver or a third-party driver—as long as your medical bills exceed $10,000. Florida’s “no-fault” PIP insurance laws still apply, meaning you must still a file a claim with your PIP coverage, if your medical bills are less than $10,000.
So, whether you’re a passenger of a “ride-sharing” service, the driver of the car, or a third party that’s involved, there are several avenues available to you to receive financial compensation for injuries incurred during an accident. While the avenues may be slightly more limited than a standard automobile accident, keep in mind that the insurances carried by “ride-sharing” companies are often extensive and able to cover most accidents.
If you or someone you know were injured in an accident due to the actions of another, please contact our office for a complimentary case evaluation. We would be honored to assist you in your time of need. To speak with an attorney, contact our office directly at (239) 466-1161. Additionally, you may also fill out the form below and a member of our staff will contact you once your inquiry is received.