Does insurance cover rideshare accidents in Nevada?

Whether you’re the driver of a Lyft or Uber car, a rideshare passenger, or the motorist of another vehicle or motorcycle, if you’re involved in an accident involving a rideshare car, you need to know your rights in the state of Nevada. The ins and outs of insurance involving a rideshare vehicle can be complicated.

How Is a Rideshare Service Classified Under the Law?

Toy cars with paper logos of Uber and Lyft put on top
Image via Flickr by stockcatalog via CC BY 2.0

Nevada defines a rideshare company as a Transportation Network Company or TNC. A TNC is considered a company that connects a passenger to a driver using a software application or a digital network. Uber or Lyft are both popular TNCs. A TNC’s platform as a ridesharing service can present some puzzling questions that can confuse those unfamiliar with how insurance works in the case of accidents involving Lyft and Uber drivers.

You may be entitled to compensation via insurance or a personal injury lawsuit if you were involved in a rideshare accident in any of the following circumstances:

  • You were riding as a passenger in a Lyft or Uber you ordered, no matter who was found to be at fault for the collision.
  • You were involved in a collision and hit by a Lyft or Uber driver that was currently providing rideshare with passengers in their car.
  • You were hit by a Lyft or Uber driver who was currently looking for their next passengers for rideshare through Lyft or Uber. This means their driver app was turned on, and they were considered active by seeking a fare at the time.

Who Is Liable?

Liability for a rideshare accident In Nevada rests upon what was happening at the time the crash occurred. Several possible scenarios determine which insurance covers a rideshare accident.

  • The rideshare company’s insurance is responsible if you were the passenger in an Uber or Lyft.
  • If you were in a car hit by a rideshare driver while they had passengers in the car, the rideshare company’s insurance is responsible.
  • If a rideshare driver hits you on their way to pick up passengers, the rideshare company’s gap insurance would be applied if the damage is greater than the rideshare driver’s personal, individual car insurance coverage.
  • If the rideshare driver isn’t actively working at the time of the crash, the driver’s personal car insurance policy is responsible. This means they didn’t have passengers in the car, weren’t looking for passengers, and weren’t on their way to pick up a new passenger.
  • Nevada is an at-fault state, so the at-fault driver’s insurance will cover damages and other claims for expenses incurred due to the accident. This will only be the case if the rideshare driver is the one at fault.
  • Nevada also has rules of comparative negligence, which means payouts by insurance vary on how much at fault each driver was in the case of a rideshare accident where you weren’t the passenger. For example, if you were found to be more than 50% responsible for the collision, you may not be entitled to any compensation whatsoever.

Insurance Coverage According to Phase

Insurance applies differently depending on what phase a rideshare driver is in at the time of an accident.

Phase one is considered when the driver first logs into the app and becomes available to pick up passengers. The coverage limits of the insurance provided by the rideshare company in phase one are higher than those of policies provided by individual driver’s personal insurance but not as high as the coverage limits of the rideshare company’s insurance during phase two and three. Phase two begins when a rider has been matched with a rideshare driver, accepting the request. This phase covers the time from when they accept the ride request until they pick up the passenger.

Phase three is considered the time while driving a passenger to their destination. It spans when the passenger enters the rideshare vehicle until the passenger reaches their destination and is dropped off. Nevada law requires TNCs to carry ample insurance coverage for phase two and phase three of a rideshare trip. Therefore, if the accident occurs during one of these rideshare driver’s active phases, you have a greater chance of a higher payout, as the insurance held by the rideshare company would be considered responsible.

When an auto accident occurs during phase three, Uber or Lyft carries insurance that will cover the driver’s liability. This is good news for rideshare passengers or the operator of another vehicle hit by a rideshare car because most rideshare companies carry insurance limits at much higher rates than a state minimum insurance policy. Uber, for example, provides $1 million in liability coverage. The Nevada state minimum, in comparison, is set at only $15,000 per person for bodily injury, $30,000 per accident for personal injury, and is set at $10,000 for any property damage that occurs during the accident.

Your best bet to recover compensation for damage to your vehicle, injury to yourself or your passengers, or property damage is by pursuing redress from the rideshare company’s insurance policy.

Legal Assistance With Insurance Claims

Insurance companies are well prepared with a cadre of lawyers to avoid paying out the reasonable sums owed to those with an injury or a long-term disability caused by the accident, both of which may result in loss of wages. Likewise, with damage to your vehicle or property when the rideshare driver was at fault, the insurance company will probably fight to hold onto their money.

You need someone who will fight for your rights and for the compensation to which you’re entitled. Retaining a personal injury lawyer is a wise course of action to ensure you’re fairly compensated for any financial loss; vehicle or property damage; medical bills, whether for an injury or long-term disability; lost wages; hardship; or suffering. Being involved in an accident is a setback, but you’ll have the compensation to start moving on and rebuilding your life with the proper legal representation.

If you or a loved one has been involved in an accident with a rideshare vehicle, contact the team at De Castroverde, Personal Injury and Accident Lawyer. We have the experience and knowledge to get you the compensation you deserve. You can reach us online or at 702-803-3048.