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Determining Responsibility In A Ride-Share Incident In Alabama

On Behalf of | Apr 18, 2023 | Motor Vehicle Accidents |

Ride-sharing services like Uber and Lyft have become increasingly popular in Alabama, providing convenient transportation options for many residents and visitors. However, when a ride-share incident occurs, determining who is responsible can be a complicated process.

Understanding the different parties involved and their potential liabilities can help those affected by a ride-share incident navigate the situation more effectively.

Ride-Share Driver Responsibility

In Alabama, the state considers ride-share drivers independent contractors rather than employees of the ride-sharing company. Therefore, the driver’s personal auto insurance policy may come into play when determining responsibility in a ride-share incident. If the police find the driver to be at fault for the incident, their personal insurance policy may cover the damages up to the policy limits.

However, it is essential to note that not all personal auto insurance policies cover ride-share driving. In such cases, the ride-share company’s insurance policy may provide coverage.

Ride-Share Company Insurance Policies

Both Uber and Lyft have insurance policies in place to cover incidents that occur while a driver is using their app. These policies have various coverage levels depending on the driver’s status at the time of the incident:

  1. If the driver is not logged into the app, the ride-share company’s insurance does not apply and the driver’s personal insurance is responsible for any damages.
  2. If the driver has logged into the app but has not accepted a ride request, the ride-share company provides limited liability coverage for any incident in which the driver is at fault.
  3. If the driver has accepted a ride request or has a passenger in their vehicle, the ride-share company’s insurance provides coverage up to $1 million in liability and additional coverage for uninsured or underinsured motorists.

By understanding these factors and the role of insurance policies, those affected by a ride-share incident can navigate the situation more effectively and pursue the appropriate compensation for their damages.