Passengers May Be Able to Hold Rideshare Companies Accountable After an Accident

Blog,Ridesharing • February 10, 2021

Due to the nature of employment of rideshare drivers as independent contractors and not employees, it is often difficult to pursue a valid personal injury claim against the rideshare company directly when there is a crash involving a rideshare driver. However, there are some situations in which an injured passenger or occupant can recover compensation from Uber or Lyft.

Uber’s Insurance Policy

When Uber ‘hires’ a new driver, it takes out a $1 million car insurance policy in order to cover any costs or damages that happen to a passenger while riding with an Uber driver. This essentially means that a passenger injured in a New Jersey car accident caused by the rideshare driver may be able to recover financial compensation from Uber for their injuries. However, it is crucial to note that the Uber driver’s personal insurance policy will be the first to cover any sustained injuries or damages.

New Jersey Rideshare Laws

In New Jersey, the Transportation Network Company Safety and Regulation Act was signed in 2017. This act required that all rideshare companies conduct driving record checks and criminal background checks of potential drivers to make sure that the driver will be at risk of harm to the public. Also, the act prohibits the employment of drivers who have been convicted of driving under the influence, sexual assault, homicide, and drug possession. The new act also mandated that all rideshare companies carry a $1.5 million liability policy for all drivers operating in New Jersey.

If the rideshare service fails to perform a driving record or criminal background check and hires a new driver in violation of the act, in the event of a passenger being injured, the victim will be able to pursue a personal injury case against the rideshare company for negligent hiring. When a rideshare driver is convicted of one of the crimes and the company fails to let him or her go, then an injured passenger may have a valid personal injury case against the rideshare service for negligent retention. Lastly, due to the requirement under New Jersey law that all rideshare services hold insurance policies with a $1.5 million limit, those severely injured in a collision involving a rideshare company may be able to recover more compensation for their damages than what is included under Uber’s typical $1 million policy limit.

Rideshare Crashes in New Jersey

Those who are injured in a crash involving a rideshare vehicle should consult with an Uber/Lyft crash lawyer in New Jersey immediately in order to better understand their legal options. The legal team at Brady Reilly & Cardoso, LLC is here to help you make sure that your case is treated fairly and that the liable driver is held accountable for his or her actions. We will fight to make sure that you recover the compensation you deserve so that your life can get back on track. Contact our New Jersey rideshare crash attorneys today at (201) 997- 0030 if you or a loved one has been unfairly injured in a crash involving a rideshare driver.

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