Uber and Lyft: Washington and Oregon Rideshare Insurance Laws Explained

This blog is focused on the insurance that may be available to you when you have been injured in a crash caused by a rideshare driver.

How Rideshare Insurance Works

If you have been injured in a collision caused by a rideshare driver, you may be able to pursue a personal injury claim under the motor vehicle insurance for the rideshare company and the driver.

Washington and Oregon have similar rideshare insurance requirements. Both states require rideshare companies, including Uber and Lyft, to provide drivers with a commercial auto insurance policy. Uber and Lyft must follow these laws to be able to legally operate in both states. Uber and Lyft provide the standard insurance coverage free of charge to the rideshare drivers. The minimum amounts of coverage requirements are discussed in detail below.

Rideshare drivers have the option to to supplement the rideshare company’s coverage with their own auto insurance policy. Many insurance companies offer special endorsements to personal auto insurance policies for individuals who drive for a rideshare company. Typically, without the special endorsement, a rideshare driver’s personal auto insurance will not cover the rideshare driver if they are in a collision. How Much Coverage Must a Rideshare Company Provide?

How Much Coverage is Available?

The minimum levels of rideshare commercial auto insurance coverage in Washington and Oregon are as follows:

• If the driver does not have the rideshare app engaged, the rideshare commercial auto policy will likely not cover the collision. If the driver was at fault for the accident, their own personal auto insurance policy may apply (be aware: personal auto insurance policies typically do not cover any harm that the driver causes when they are behind the wheel for commercial purposes).
• If the driver is logged on to the app, and has not yet accepted a ride request, there is coverage for $25,000 in property damage, as well as $50,000 per accident victim or $100,000 total per collision for bodily injury.
• If a driver has accepted a ride request, or they have a customer in the vehicle, the highest level of coverage applies. In this scenario, there is up to $1 million per collision for all damages.

Rideshare Accident Claims Can Be Complex

Due to the insurance limits, there is a chance that the available insurance coverage may not be enough to pay for all damages caused by a rideshare driver. There may be other sources of insurance available, including any potential personal auto insurance policy that covers the rideshare driver. Coverage under your own auto insurance policy – referred to as “underinsured motorist coverage” may also apply. The complexity of dealing with rideshare companies and the multiple layers of insurance can be overwhelming.

Our experienced attorneys at Schauermann Thayer can help you navigate this process.

Schedule a free initial consultation with one of our attorneys by visiting our website or by calling us today at (360) 695-4244.