Uber and Lyft Accident(s) in Las Vegas: Whose Insurance Pays?

If you were injured in a Las Vegas Uber or Lyft accident, you may be entitled to compensation for your physical injuries and emotional trauma. Navigating the complex maze of insurance companies and coverage limits, however, can be challenging. To ensure that your rights are protected, contact a Las Vegas rideshare attorney at Paul Padda Law by calling (800) 712-0000 to schedule your free consultation and discuss your legal options.

Why Uber and Lyft Accidents Are Different in Las Vegas

Litigating Uber and Lyft accident claims in Las Vegas can be especially challenging because rideshare collisions typically involve a complex insurance structure that depends on whether the driver was logged into the app, waiting for a ride request, en route to a passenger, or actively transporting someone. Each of these phases potentially triggers different insurance coverage and/or different coverage limits. Both the driver’s personal policy and the rideshare company’s commercial policy may have liability exposure which can lead to disputes over which insurer is responsible. This confusion can cause delays in investigating, negotiating, and litigating a claim.

Understanding Uber & Lyft’s “Periods” of Coverage

When a Transportation Network Company (TNC) vehicle (Uber or Lyft) is involved in a collision, navigating the various potential insurance coverage levels can be challenging. Which insurance policy is responsible for providing coverage, and what level of coverage is available, will depend on which “period” applies, as follows:

• Period 0: The Uber or Lyft app is completely off, and the driver’s personal liability insurance coverage applies.
• Period 1: The app is on, but no passenger is in the vehicle, in which case limited TNC coverage applies.
• Period 2: A ride has been accepted, and the driver is en route to the passenger. TNC coverage applies
• Period 3: A passenger is in the vehicle, and the highest TNC coverage limits apply.

What Insurance Applies During Each Coverage Period

Nevada state law dictates what insurance coverage levels are required during the various periods for a rideshare (TNC) vehicle. During Period 0, a driver’s own personal auto policy must meet Nevada’s standard minimum liability limits of at least $25,000 per person for bodily injury, $50,000 per accident for bodily injury, and $20,000 for property damage.

During Period 1, both the driver’s personal insurance and the company’s contingent coverage must provide at least $50,000 per person and $100,000 per accident in liability for bodily injury, plus $25,000 in property damage.

Once the driver moves into Periods 2 and 3, Nevada law requires the TNC to provide commercial liability coverage of at least $1 million per accident for bodily injury, death, and property damage. In addition, Uninsured/Underinsured Motorist (UM/UIM) coverage is typically active, which can be important if another vehicle is at fault and that driver is uninsured or lacks sufficient coverage to fully compensate you for all your injuries.

Common Causes of Uber and Lyft Accidents in Las Vegas

Las Vegas is a busy, tourism-driven city with rideshare drivers often working extended hours along the Strip. Long hours of driving can lead to driver fatigue, slowing reaction time, impairing judgment, and leading to collisions. Between the casino lights, lively visitors, and the need to navigate the app, driver distraction is another common cause of accidents for rideshare vehicles in Las Vegas. In addition, constant congestion, ongoing road construction, and confusing hotel pick-up zones, can also contribute to crashes in Las Vegas.

Who Can File a Claim After a Vegas Rideshare Accident?

If you suffered injuries in a Las Vegas rideshare accident, you may be entitled to pursue compensation. Passengers riding in an Uber or Lyft vehicle can file claims for injuries caused by their driver or by another motorist. Drivers of other vehicles struck by a rideshare car may also pursue claims, as can pedestrians and cyclists who were injured in crosswalks, hotel driveways, or congested tourist corridors. Along with the possibility of multiple at-fault parties, a rideshare accident often involves multiple potential insurers. Consequently, the issue of fault in a rideshare accident is frequently disputed, highlighting the importance of having an experienced Las Vegas Uber accident lawyer on your side.

How Insurance Companies Try to Avoid Paying

Insurance companies employ various strategies to try and reduce or avoid liability in rideshare accidents. One common tactic involves disputing whether the Uber or Lyft driver had the app activated at the time of the crash, which directly affects which insurance policy applies. The insurance company may also intentionally delay confirmation regarding the driver’s ride status to slow the claims process and pressure an injured victim into accepting less compensation than they deserve despite the availability of high policy limits. 

Why a Las Vegas Rideshare Accident Lawyer Matters

If you were injured in a Las Vegas rideshare accident, having an experienced attorney on your side is crucial to ensure that you identify the correct coverage period as well as all available insurance policies. To ensure that you are fully compensated for your physical, emotional, and financial injuries, contact a Las Vegas Uber accident lawyer at Paul Padda Law by calling (800) 712-0000 to schedule your free consultation.