A car accident is a stressful and disorienting experience, but when it involves a rideshare vehicle, the path to compensation becomes significantly more complex. The Uber & Lyft insurance coverage in Florida is a maze of overlapping policies, specific legal statutes, and multi-layered liability that can leave accident victims confused and unsure of their rights. Whether you were a passenger, another driver, a pedestrian, or a rideshare driver yourself, understanding this intricate system is the first step toward securing the financial recovery you deserve.
This guide provides a comprehensive overview of Florida’s rideshare insurance laws, breaking down the complex legal framework into clear, actionable information. At Pencheff & Fraley, our experienced Florida personal injury attorneys have a deep understanding of these cases and are committed to helping victims navigate the claims process and fight for the maximum compensation they are owed.
Florida Statute 627.748: The Law Governing Rideshare Insurance
The foundation of rideshare insurance in Florida is a specific piece of legislation that governs how these services operate and what insurance they must provide. Understanding this law is crucial to understanding your rights after an accident.
What is Florida Statute 627.748?
Enacted in 2017, Florida Statute 627.748 provides a statewide regulatory framework for Transportation Network Companies (TNCs), the legal term for companies like Uber and Lyft. This law preempts local regulations, creating a consistent set of rules across the state for insurance requirements, driver background checks, and operational standards.
Key Definitions Under the Law
The statute defines several key terms that are central to understanding how the law applies:
Transportation Network Company (TNC): An entity using a digital network to connect riders to TNC drivers for prearranged rides.
Prearranged Ride: The transportation of a rider, beginning when a driver accepts a request through the app, continuing during transport, and ending when the rider exits the vehicle.
TNC Driver: An individual who uses their vehicle to provide prearranged rides for compensation after connecting with riders through a TNC’s digital network.
The Three Phases of Uber & Lyft Insurance Coverage in Florida
Florida law divides a rideshare driver’s activity into three distinct phases, with different insurance requirements for each. The level of coverage available for your injuries depends entirely on which phase the driver was in at the moment of the accident.
Phase 1: App On, Waiting for a Ride Request
This period begins when a driver logs into the Uber or Lyft app and is available to accept rides but has not yet been matched with a passenger. During this phase, the TNC’s insurance provides limited liability coverage if the driver’s personal auto policy does not apply (which is often the case, as most personal policies exclude commercial driving).
The minimum coverage required by Florida law during Phase 1 is: * $50,000 for bodily injury or death per person * $100,000 for total bodily injury or death per accident * $25,000 for property damage
This phase also requires the driver to have Personal Injury Protection (PIP) and Uninsured/Underinsured Motorist (UM/UIM) coverage that meets Florida’s minimums.
Phase 2 & 3: En Route to Pickup & During the Ride
Once a driver accepts a ride request and is on the way to pick up a passenger (Phase 2), or when the passenger is in the vehicle (Phase 3), the TNC’s full commercial insurance policy is triggered. This coverage is primary, meaning it applies from the first dollar of a claim without requiring a denial from the driver’s personal insurance.
The coverage during these phases is significantly higher: * $1,000,000 for third-party liability, covering death, bodily injury, and property damage. * Personal Injury Protection (PIP) that meets the higher requirements for limousines in Florida. * Uninsured/Underinsured Motorist (UM/UIM) coverage.
App Off: Personal Use Only
When the rideshare app is off, the driver is considered to be using their vehicle for personal reasons. In this case, only the driver’s personal auto insurance policy applies to any accidents that occur. The TNC’s insurance provides no coverage during this time.
Uber vs. Lyft: A Side-by-Side Insurance Comparison
While both Uber and Lyft must comply with Florida’s laws, it’s helpful to see how their advertised policies compare. For accident victims, the practical differences are minimal, as both companies provide the state-mandated coverage.
| Feature | Uber | Lyft |
| Phase 1 Liability | $50k/$100k/$25k | $50k/$100k/$25k |
| Phase 2/3 Liability | $1 Million | $1 Million |
| Contingent Deductible | $2,500 | $2,500 |
| PIP Coverage | Yes | Yes |
| UM/UIM Coverage | Yes | Yes |
| Optional Insurance | Optional Injury Protection | None advertised |
Key Similarities in Coverage
Both Uber and Lyft provide identical primary liability limits during all three phases, as required by Florida law. They also both offer contingent comprehensive and collision coverage for their drivers’ vehicles, which comes with a high $2,500 deductible. This means if a driver’s car is damaged, they must pay the first $2,500 out of pocket before the TNC’s insurance contributes.
Minor Differences to Note
The most notable difference is that Uber actively markets an Optional Injury Protection plan that drivers can purchase for extra medical expense coverage, an option not prominently advertised by Lyft.
How Florida’s No-Fault & PIP System Affects Rideshare Accidents
Florida is a “no-fault” state, which adds another layer of complexity to insurance claims. This system is designed to provide quick access to medical benefits regardless of who caused an accident.
What is Personal Injury Protection (PIP)?
Under Florida Statute 627.736, all owners of motor vehicles in Florida are required to carry a minimum of $10,000 in Personal Injury Protection (PIP). This coverage pays for: * 80% of your initial medical expenses. * 60% of your lost wages. * Up to $5,000 in death benefits.
Your own PIP coverage is the primary source of payment for your medical bills after an accident, regardless of fault.
PIP Coverage for Passengers and Other Drivers
If you are a passenger in an Uber or Lyft, or if you are another driver hit by a rideshare vehicle, your own PIP policy is the first line of defense for your medical bills. You must go through your own insurance first before you can make a claim against the at-fault driver’s liability policy for remaining expenses and other damages like pain and suffering.
PIP Coverage for Rideshare Drivers
For rideshare drivers, PIP coverage depends on the phase. When the app is off, your personal PIP applies. During Phases 1, 2, and 3, the TNC’s insurance policy includes the required PIP coverage, which is essential for covering your own medical expenses.
Understanding Florida’s Comparative Negligence Law
Determining who pays for damages beyond PIP benefits often comes down to proving fault. Florida follows a modified comparative negligence rule.
What is Comparative Negligence?
This legal doctrine means that if you are partially at fault for an accident, your ability to recover damages is reduced by your percentage of fault. For example, if you are found to be 20% at fault for an accident, you can only recover 80% of your total damages. If you are found to be more than 50% at fault, you are barred from recovering any damages at all.
How Comparative Negligence Impacts a Rideshare Accident Claim
Insurance companies may try to use comparative negligence to reduce their payout. They might argue that a passenger distracted the driver, or that another driver was partially to blame. An experienced attorney can fight back against these tactics and work to establish the TNC driver’s full liability.
What to Do Immediately After a Florida Rideshare Accident (Step-by-Step)
The moments after an accident are chaotic, but the actions you take are critical for protecting your health and your legal rights.
- Ensure Safety and Call 911: Move to a safe location if possible and immediately call 911 to report the accident and request medical assistance.
- Seek Immediate Medical Attention: Even if you feel fine, some serious injuries have delayed symptoms. Being evaluated by a medical professional creates a crucial record for your claim.
- Document Everything at the Scene: Take photos and videos of the vehicles, the accident scene, your injuries, and any relevant road conditions. Get contact and insurance information from all drivers involved.
- Report the Accident to Uber or Lyft: Use the app to report the accident. This officially documents the incident with the TNC.
- Do Not Give a Recorded Statement: Do not give a recorded statement to any insurance adjuster—including the TNC’s—without first speaking to an attorney.
- Contact an Experienced Florida Rideshare Accident Lawyer: An attorney can advise you of your rights and handle all communications with the insurance companies on your behalf.
The Claims Process for Uber & Lyft Accidents in Florida
Navigating the claims process can be daunting, but understanding each step can help you know what to expect and how to protect your rights throughout the process.
Initiating the Claim
The first step is to formally notify all relevant insurance companies of your intent to file a claim. This includes your own insurance company (for PIP benefits), the rideshare driver’s personal insurance, and the TNC’s commercial insurance. Your attorney will handle these notifications and ensure that all deadlines are met. In Florida, you must seek medical treatment within 14 days of the accident to preserve your PIP benefits.
The Investigation Phase
Once the claim is filed, the insurance companies will conduct their own investigation to determine liability and the extent of your damages. This may include reviewing the police report, interviewing witnesses, examining medical records, and analyzing the accident scene. The insurance company may also hire accident reconstruction experts or private investigators. Your attorney will conduct a parallel investigation to gather evidence that supports your claim and contradicts any unfavorable findings by the insurer.
Medical Treatment and Documentation
During this phase, it is crucial that you follow all of your doctor’s recommendations and attend all scheduled appointments. Gaps in treatment can be used by the insurance company to argue that your injuries are not as serious as you claim. Keep detailed records of all medical expenses, including bills, prescriptions, and mileage to medical appointments. Your attorney will work with your medical providers to obtain complete records and may consult with medical experts to document the full extent of your injuries and future medical needs.
Demand Letter and Negotiation
Once you have reached maximum medical improvement (MMI), meaning your condition has stabilized and further improvement is unlikely, your attorney will prepare a demand letter. This comprehensive document outlines the facts of the accident, establishes liability, details all of your damages, and demands a specific amount of compensation. The insurance company will typically respond with a counteroffer, and negotiations will begin. This back-and-forth process can take weeks or months, depending on the complexity of the case and the insurer’s willingness to negotiate in good faith.
Settlement or Lawsuit
If negotiations result in a fair settlement offer that adequately compensates you for all of your losses, your attorney will advise you to accept it. Once you sign a settlement agreement and release, you cannot pursue additional compensation later, even if your injuries worsen. If the insurance company refuses to offer a fair settlement, your attorney may recommend filing a lawsuit. This involves drafting and filing a complaint, engaging in the discovery process (exchanging evidence), and potentially going to trial. Most cases settle before trial, but having an attorney who is prepared to litigate sends a strong message to the insurance company that you are serious about getting fair compensation.
Common Challenges and Insurance Company Tactics
Insurance companies are businesses focused on minimizing payouts. Understanding their tactics can help you protect your rights and avoid common pitfalls that could jeopardize your claim.
Disputing the Driver’s Status
One of the most common tactics is for the insurance company to dispute which phase the driver was in at the time of the accident. They may claim the driver was not logged into the app, or that they had already dropped off the passenger, in order to avoid paying out the $1 million policy. This is why it is critical to document the accident scene and obtain the trip information from the app immediately.
Denying Claims Based on Policy Exclusions
Insurance companies will scrutinize every detail of the driver’s personal insurance policy to find exclusions that allow them to deny coverage. For example, if a driver failed to disclose to their personal insurer that they were driving for a TNC, the personal policy may deny coverage during Phase 1. This creates a gap that the TNC’s insurance should fill, but insurers may still try to avoid responsibility.
Lowball Settlement Offers
The first settlement offer from an insurance company is almost always far less than what your claim is actually worth. Adjusters are trained to minimize payouts, and they know that many accident victims are desperate for quick cash to cover medical bills. An experienced attorney knows the true value of your claim and will not accept an inadequate offer.
Requesting Recorded Statements
Insurance adjusters often request recorded statements from accident victims shortly after the crash. They may seem friendly and helpful, but their goal is to get you to say something that can be used against you later. You have no legal obligation to provide a recorded statement without your attorney present.
Delaying the Claims Process
Some insurance companies intentionally delay the claims process, hoping that you will become frustrated and accept a lower settlement. They may request unnecessary documentation, fail to return phone calls, or drag out the investigation. An attorney can keep the process moving forward and hold the insurer accountable.
Coverage Gaps and How to Protect Yourself
Despite the comprehensive insurance requirements under Florida law, there are still potential gaps in coverage that can leave accident victims without adequate compensation.
The Phase 1 Coverage Gap
The most significant gap occurs during Phase 1, when a driver is logged into the app but has not yet accepted a ride. While the TNC’s insurance provides $50,000/$100,000/$25,000 in liability coverage, this is only triggered if the driver’s personal insurance does not apply. Most personal auto policies exclude coverage for commercial activities, creating a gap where neither policy provides protection.
Rideshare drivers can protect themselves by purchasing a rideshare endorsement or a commercial auto policy that covers this gap. Passengers and other drivers, however, are at the mercy of the driver’s insurance situation during this phase.
Underinsured Motorist Situations
While both Uber and Lyft provide $1 million in liability coverage during Phases 2 and 3, catastrophic accidents can result in damages that exceed this amount. If you suffer severe injuries with long-term medical needs, lost earning capacity, and significant pain and suffering, the policy limits may not be sufficient. In these cases, your own Underinsured Motorist (UIM) coverage can provide additional compensation.
Accidents Involving Multiple Vehicles
When a rideshare accident involves multiple vehicles, determining which insurance policies apply and in what order becomes extremely complex. Each driver’s insurance, the TNC’s insurance, and potentially your own UM/UIM coverage may all be in play. An attorney can sort through these layers to ensure you receive the maximum compensation available.
Florida Rideshare Accident Statistics
The rise of TNCs has unfortunately been accompanied by an increase in accidents. While Florida’s official crash data does not yet specifically categorize rideshare accidents, studies provide some insight:
- A 2018 study cited by the American Association for the Advancement of Science found that the rise of ridesharing was associated with a 2-3% increase in total motor vehicle fatalities
- Based on the over 340,000 total crashes in Florida in 2020 reported by the FLHSMV, this could translate to an estimated 10,000 accidents involving rideshare vehicles in the state that year.
Frequently Asked Questions (FAQ)
What is the most important thing to do after an Uber or Lyft accident?
Seek immediate medical attention, even if you don’t think you’re seriously injured. Then, contact a qualified personal injury lawyer before speaking with any insurance companies. Document everything at the scene, including photos, witness information, and the trip details from the app.
Can I sue Uber or Lyft for an accident?
While you typically file a claim against their insurance policy, you can sue the at-fault driver, and by extension, the TNC, if a fair settlement cannot be reached. However, Uber and Lyft are generally not considered the employer of their drivers under Florida law, which limits direct liability in most cases.
How much is my Florida rideshare accident case worth?
This depends on the severity of your injuries, medical costs, lost wages, pain and suffering, and other factors. Cases can range from a few thousand dollars for minor injuries to millions for catastrophic injuries. An attorney can evaluate your case to determine its potential value based on similar cases and your specific circumstances.
What if the at-fault driver was uninsured?
Both Uber and Lyft carry Uninsured/Underinsured Motorist (UM/UIM) coverage to protect you in this scenario. During Phases 2 and 3, the TNC’s UM/UIM coverage will step in to compensate you when the at-fault driver has no insurance or insufficient coverage.
What is “gap coverage” and do I need it in Florida?
Gap coverage, also called rideshare endorsement, is an optional policy that protects rideshare drivers during Phase 1, when their personal auto insurance may not provide coverage. It is highly recommended for all TNC drivers to avoid being personally liable for accidents during this phase.
How long do I have to file a claim in Florida?
Florida’s statute of limitations for personal injury claims is generally two years from the date of the accident. However, it is crucial to act quickly because evidence can disappear, witnesses’ memories fade, and insurance companies may use delays against you.
What if I was a pedestrian or cyclist hit by an Uber or Lyft?
As a pedestrian or cyclist, you are considered a third party and are covered by the TNC’s liability insurance if the driver was in Phase 2 or 3. You can file a claim for your medical expenses, lost wages, pain and suffering, and other damages. Your own PIP coverage will also apply to your initial medical bills.
Does my personal car insurance cover me as a passenger in a rideshare?
If you are injured as a passenger in an Uber or Lyft, your own PIP coverage applies first for your medical bills. However, for damages beyond PIP, you would file a claim against the at-fault driver’s insurance, which would be the TNC’s policy if the rideshare driver was at fault.
What if the Uber or Lyft driver was not at fault for the accident?
If another driver caused the accident, you would file a claim against that driver’s liability insurance. However, the TNC’s insurance may still provide coverage if the at-fault driver is uninsured or underinsured. Your own PIP coverage still applies for your initial medical bills.
Can I get compensation for pain and suffering in a rideshare accident?
Yes, but only if your injuries meet Florida’s “serious injury” threshold under the no-fault law. This includes permanent injury, significant scarring or disfigurement, or significant and permanent loss of an important bodily function. An attorney can help you demonstrate that your injuries qualify.
What if I was partially at fault for the rideshare accident?
Under Florida’s modified comparative negligence rule, you can still recover damages as long as you are 50% or less at fault. However, your compensation will be reduced by your percentage of fault. For example, if you are 30% at fault, you can recover 70% of your total damages.
Do I need a lawyer for a minor rideshare accident?
Even for seemingly minor accidents, it’s wise to at least consult with an attorney. Some injuries have delayed symptoms, and insurance companies may try to minimize your claim. Most personal injury attorneys offer free consultations, so there’s no risk in getting professional advice.
What damages can I recover in a Florida rideshare accident case?
You may be entitled to compensation for medical expenses (past and future), lost wages, loss of earning capacity, property damage, pain and suffering, emotional distress, and in cases of wrongful death, funeral expenses and loss of companionship.
How long does it take to settle a rideshare accident claim in Florida?
This varies widely depending on the complexity of the case, the severity of injuries, and the willingness of the insurance company to negotiate. Simple cases may settle in a few months, while complex cases involving serious injuries may take a year or more, especially if a lawsuit is necessary.
What if the rideshare driver’s insurance denies my claim?
If the driver’s personal insurance denies the claim, the TNC’s insurance should provide coverage if the driver was in Phase 1, 2, or 3. If the TNC’s insurance also denies the claim, an attorney can challenge the denial, gather additional evidence, and if necessary, file a lawsuit to pursue your compensation.
Why You Need a Florida Rideshare Accident Lawyer
The complexities of rideshare insurance law in Florida make it extremely difficult for an unrepresented individual to secure fair compensation. An experienced attorney at Pencheff & Fraley can:
- Navigate Complex Insurance Policies: We understand how to identify all available sources of coverage and which policies are primary.
- Maximize Your Compensation: We will fight to ensure you receive payment for all of your medical bills, lost income, and pain and suffering.
- Hold Negligent Parties Accountable: We will conduct a thorough investigation to prove fault and build a strong case on your behalf.
- Provide Peace of Mind: We handle all the legal details so you can focus on your recovery.
Contact Pencheff & Fraley for a Free, No-Obligation Consultation
If you have been injured in an Uber or Lyft accident in Florida, do not try to take on the insurance companies alone.
Contact Pencheff and Fraley today for a free, no-obligation consultation. 904-770-4953 Our experienced Florida personal injury attorneys will review your case, explain your options, and help you make the best decision for your future. We understand the frustration you’re experiencing, and we’re here to provide the dedicated representation you deserve. Call us now or fill out our online form to take the first step towards better representation and a stronger case.
Looking for state-specific guidance? Read our detailed guide on How to start a personal injury claim in Ohio
Author: Pencheff and Fraley Legal Team
Disclaimer: This article is for informational purposes only and does not constitute legal advice. Every case is unique, and you should consult with a qualified attorney about your specific situation.