Uber and Lyft’s Liability for Accidents Caused by Rideshare Drivers

 Posted on June 10, 2026 in Car Accidents

In a "standard" car accident, the claim process is fairly simple – both drivers exchange information and handle payment through insurance. But what happens when a rideshare company like Uber or Lyft is involved in a crash? Depending on the circumstances behind the collision, Uber or Lyft could provide additional compensation through their liability coverage. 

At Schwartz Injury Law, our Joliet, IL car accident attorneys have built a reputation for aggressive advocacy. We have successfully recovered millions in payment for crash survivors and other accident victims, approaching each case with a trial-ready strategy. We can investigate your claim in detail to see if Uber or Lyft is liable and pursue maximum compensation on your behalf.

Are Uber and Lyft Drivers Considered Employees?

Uber and Lyft classify their drivers as independent contractors, not employees. They have fought hard to keep that classification in place. Illinois law does not automatically override that position, but it does not fully protect the companies either. 

Under the Illinois Transportation Network Providers Act, rideshare companies are recognized as transportation network providers and are subject to specific insurance and safety obligations. That means even when a driver is considered a contractor, Uber and Lyft still carry legal responsibilities when their platform is active during a crash.

The classification debate is ongoing in courts and legislatures across the country. For an injured person in Illinois, what matters most is understanding what coverage actually applies and how to pursue it.

What Coverage Does Uber or Lyft Provide After a Crash in 2026?

Both Uber and Lyft provide insurance coverage, but the amount depends on what the driver was doing at the time of the crash. Three general periods define coverage.

When the app is off, the driver assumes sole responsibility. At that point, only personal auto insurance applies, and neither Uber nor Lyft provides any coverage. If the driver causes a crash while the app is off, you are dealing with his or her personal policy only.

When the app is on but no ride has been accepted, Uber and Lyft provide limited liability coverage. This is typically $50,000 per person for bodily injury, $100,000 per accident, and $25,000 for property damage. This coverage only applies if the driver's personal policy does not cover the loss.

When a ride has been accepted or a passenger is in the vehicle, the coverage increases significantly. Both companies carry up to $1 million in liability coverage during this period. They also provide uninsured and underinsured motorist coverage, which can matter if another driver caused the crash and did not have enough insurance.

What Should You Do After a Collision With a Rideshare Driver?

The steps you take right after a crash can affect your ability to recover compensation later. Start with the basics. Call 911 if anyone is hurt. Get medical attention, even if you feel okay at the scene. Some injuries, including concussions and soft tissue damage, are not always obvious right away.

Ask for the driver's name, contact information, insurance details, and whether they were active on the Uber or Lyft app at the time. If the driver is the rideshare passenger's driver, the app should show the trip status, but you may need to request records later to confirm it.

Take photos of both vehicles, the road, any visible injuries, traffic signs, and the surrounding area. Talk to witnesses before they leave and write down what they saw. A police report creates an official record of the crash, the drivers involved, and the officer's observations.

Avoid giving a recorded statement to any insurance company before speaking with an attorney. Adjusters for large companies often contact people quickly. What you say early in the process can be used to limit what you recover.

Can I Still Get Uber or Lyft Coverage if I Was Partially at Fault for an Accident?

Under this standard, you can still recover compensation even if you share some responsibility for the crash. However, to recover payment, your share of fault can't exceed 50 percent. Your recovery is reduced by whatever percentage of fault is assigned to you.

For example, if you are found to be 20 percent at fault and your total damages are $100,000, you could still recover $80,000. But if you are found to be 51 percent or more at fault, you recover nothing. 

Insurance companies know this rule well. They often try to push more fault onto injured people to reduce what they owe. If an adjuster suggests you were mostly responsible for the crash, do not assume you're out of options. A skilled car attorney can help push back against allegations of fault.

How To Protect Your Claim for Compensation After a Rideshare Accident

The first step in protecting your claim is preserving the evidence. App data, trip records, and driver activity logs may not be preserved unless they are formally requested. The same is true for traffic camera footage, dashcam recordings, and witness contact information.

Keep every document connected to the crash, including medical records, bills, repair estimates, prescription receipts, and any communication from insurance companies. If your injuries kept you from working, document your missed time and lost income.

Do not settle a claim before you understand the full extent of your injuries. Some conditions require ongoing treatment. A settlement that looks reasonable today may fall short of covering future medical costs. An attorney can help evaluate what your claim is actually worth and push back when an insurer's offer does not reflect your real losses.

Illinois has a two-year statute of limitations for most personal injury claims. That deadline applies to rideshare cases as well. Waiting too long can cost you the right to pursue compensation at all.

Contact a Joliet, IL Rideshare Accident Lawyer

At Schwartz Injury Law, we handle the legal and insurance work so you can focus on recovering. If you were hurt in a rideshare crash, you deserve to know your options. Call 708-888-2160 or contact our Kendall County, IL car accident attorneys to schedule a free consultation.