Published by The Pellegrin Firm July 27, 2019

The new world of Uber and Lyft has given us great new cost-effective ways to get around the New Orleans area. Also, these rideshare services provide hundreds if not thousands of people with a secondary or primary income on a flexible schedule. Uber and Lyft provide a safe way to get around the New Orleans area for partying visitors and residents.

Uber and Lyft vehicles are still exposed to the usual risks and liabilities of driving. State and local policymakers, as well as the companies themselves, have had to work through a maze of issues related to insurance and liability. An accident with or in an Uber or Lyft rideshare vehicle can cause temporary or permanent disability and possibly hundreds of thousands in losses.

New Orleans requires high limit liability insurance on these rideshare vehicles, but the limits of liability and the policy that will apply differs depending on what the vehicle was doing at the time of the accident. For example, the limit of liability will be a lot less if the vehicle driver is on personal business. In other words, just because there is an uber sticker on the car when it hits you, you cannot be guaranteed the vehicle is insured for $1,000,000. The driver may have been on personal business, and thus the driver’s lower personal policy would apply.

There are also shades of gray, such as when the driver is in the pre-trip acceptance period, and thus is available for hire, but not carrying the passenger or on the way to a passenger. Underinsured motorist insurance coverage for passengers and drivers adds another wrinkle.

It can be dangerous to try to navigate these issues without an attorney. You might be leaving significant funds on the table if you take the insurance adjuster’s word for it. A third-party insurance adjuster has almost no duty under the law to an injured party. Their obligations are to the policyholder and the insurance company’s shareholders.

If you’ve been involved in an accident with an Uber or Lyft or been injured while riding as a passenger in one, contact an attorney as quickly as possible.