Rideshare Accident Claims: Uber and Lyft Passenger Rights

Published Read 5 min read

On this page

When a rideshare trip ends in a collision, the passenger’s first practical question is which insurance answers, and Georgia answers part of that question by statute. OCGA 33-1-24 requires a transportation network company to maintain primary insurance, sets minimum limits for two different periods, says who must defend the driver, and lets the driver’s personal insurer exclude coverage. Which minimum applies depends on what the driver’s app was doing at the moment of the crash.

Who and What the Statute Covers

The statute defines a “[t]ransportation network company” as an entity “that uses a digital network or other means to connect customers to transportation network company drivers for the purposes of providing transportation for compensation.” A “customer” is “an individual who uses a transportation network company to connect with a driver to obtain services in such driver’s personal vehicle, from an agreed upon point of departure to an agreed upon destination.” A driver is an individual who “uses or permits to be used his or her personal vehicle to provide transportation network company services,” and such a driver “need not be an employee of a transportation network company” (OCGA 33-1-24(a)(2), (3), (4)).

“Transportation network company services” are defined in two periods (OCGA 33-1-24(a)(5)):

  • The waiting period: from the moment a driver logs on to the company’s digital network and becomes available for a ride request until the driver logs off, leaving out any time that falls in the trip period.
  • The trip period: from the driver’s acceptance of a ride request on the network until the later of the completed transaction or the completed ride.

The Two Coverage Levels

OCGA 33-1-24(b) requires a transportation network company to maintain “a primary motor vehicle insurance policy” that recognizes the driver and explicitly covers the provision of these services, with minimums that depend on the period.

Period Minimum required by subsection (b)
Waiting period "$100,000.00 for bodily injuries to or death of all persons in any one accident with a maximum of $50,000.00 for bodily injuries to or death of one person and $50,000.00 for loss of or damage to property of others, excluding cargo, in any one accident" (OCGA 33-1-24(b)(2))
Trip period "$1 million for death, personal injury, and property damage per occurrence," and "uninsured and underinsured motorist coverage as required by Code Section 33-7-11, with minimum limits of $300,000.00 for bodily injuries to or death of all persons in any one accident with a maximum of $100,000.00 for bodily injuries to or death of one person and $25,000.00 for loss of or damage to property of others, excluding cargo, in any one accident" (OCGA 33-1-24(b)(3))

The definition of a customer is tied to services obtained “from an agreed upon point of departure to an agreed upon destination,” and the trip period runs from acceptance of a ride request until the transaction or ride is complete. For example, imagine a driver who logs on at 8:00 p.m., accepts a ride request at 8:20 p.m., and completes the ride at 8:50 p.m. A collision at 8:10 p.m. falls in the waiting period, and a collision at 8:35 p.m. falls in the trip period.

Who Provides the Coverage and Who Defends

The subsection (b) coverage may come from a commercial policy bought by the company or the driver, or from a rideshare rider, endorsement, or express provision in the driver’s personal policy, combined if needed with an excess policy from the company, and if the driver’s coverage lapses or ceases to exist, the company’s coverage becomes primary from the first dollar of a claim (OCGA 33-1-24(c), (f)). A driver’s personal auto insurer may exclude all coverage for a loss that occurs while the driver is logged on or providing rideshare services (OCGA 33-1-24(g)(2)). When the company provides the primary coverage, its insurer bears the costs of defense and indemnification, and the company must notify the driver and the driver’s insurer of any dispute about primary coverage within 25 business days of receiving notice of the accident (OCGA 33-1-24(i)).

Frequently Asked Questions

Which uninsured motorist limits apply to a crash before July 1, 2023?
The code’s history notes record that a 2023 amendment (Ga. L. 2023, p. 146, HB 529) substituted the uninsured and underinsured motorist limits now in paragraph (b)(3) for an earlier requirement of “coverage of at least $1 million,” and that the amendment applies “to causes of action accruing on or after July 1, 2023.”

If the passenger sues the driver, who defends the driver?
When the company provides the primary coverage and the driver or the driver’s insurer is named as a defendant for a loss that occurs while the vehicle is available to provide rideshare services, the company’s insurer has the duty to defend and indemnify (OCGA 33-1-24(j)).

Must the driver’s personal insurer deny the claim before the company’s policy pays?
No. Coverage under the company’s policy does not depend on a personal insurer first denying a claim, and a personal policy is not required to deny first (OCGA 33-1-24(h)(4)).

Is the company’s policy filed with the state?
A company that buys a policy to meet subsection (b) must provide it to the Commissioner of Insurance, and the policy must be placed with an insurer licensed under Title 33 or an eligible surplus lines insurer (OCGA 33-1-24(d), (e)).

  • OCGA 33-1-24(a) through (j) and the code’s history notes on Ga. L. 2023, p. 146

Disclaimer

This article provides general information about insurance requirements for rideshare trips under Georgia law. It is not legal advice and does not create an attorney-client relationship. The coverage that applies depends on the policies involved and on what the driver’s app was doing when the crash occurred. Anyone injured in a rideshare crash should consult a licensed Georgia attorney promptly about the particular situation.

Related posts:

  1. Parking Garage Injury Claims in Georgia A parking structure produces two kinds of claim under Georgia premises law: an injury from the condition of the structure itself, such as a fall over a curb, ridge, or......
  2. Uninsured Motorist Claims: Protecting Yourself When They Have No Coverage When the driver who caused a crash has no liability insurance, the injured person's own auto policy may answer instead, but only through a statute with its own definitions, a......
  3. Georgia Motorcycle Helmet Laws: Impact on Your Injury Claim Georgia requires every motorcycle operator and passenger to wear approved headgear. After a crash, the practical question is whether a missing or noncompliant helmet can be put in front of......
  4. Dog Attacks on Delivery Workers in Georgia For a delivery worker bitten at a customer's door, the claim against the dog's owner depends first on what the owner knew about the dog and on the worker's legal......
  5. Children’s Toy Injuries in Georgia: Choking Hazards, Toxins, and Product Liability A claim over a child's toy injury draws on two bodies of law: federal safety regulations that set design, materials, and battery requirements for children's products, and Georgia's product liability......
  6. Rental Car Accidents: Who Pays When You Crash a Rental? Someone hurt in a crash involving a rented car faces an owner that was not driving: the rental company, which a federal statute shields from claims based only on ownership,......
  7. Sports and Recreation Injury Claims in Georgia: When Assumption of Risk Has Limits A person hurt in a sport or recreational activity may face the defense that the person assumed the risk. Georgia decisions set a demanding test for that defense, separate it......
  8. Pothole and Road Defect Claims in Georgia A pothole claim in Georgia is a claim against a government, and the rules depend on which government answers for the road. A city street, a state highway, and a......
  9. Employer Intentional Torts in Georgia: When Workers’ Compensation Doesn’t Apply A worker deliberately harmed by an employer in Georgia meets a workers' compensation chapter written as the employee's exclusive remedy against the employer, and the text of the exclusivity provision......
  10. Nursing Home Neglect in Georgia: Bedsores, Malnutrition, and Accountability When a nursing home resident develops pressure sores or loses weight, the family's first question is what the facility was supposed to do. Federal rules for long term care facilities......
  11. Anesthesia Errors in Georgia: Dosing Mistakes and Intraoperative Awareness When a patient is harmed under anesthesia, the claim in Georgia is a medical malpractice claim, and two features set it apart. The defendant may be a physician anesthesiologist or......
  12. Bicycle Accidents Involving Children in Georgia A child hurt on a bicycle is measured against a different statutory standard of care than an adult, a statute says a helmet violation is not evidence of negligence or......
  13. How Georgia’s Collateral Source Rule Protects Your Recovery When health insurance paid part of an injured person's medical bills, what the jury may hear about those payments in Georgia depends on when the claim arose. For causes of......
  14. Horseback Riding Injury Claims in Georgia A rider hurt at a Georgia stable meets a statute before anything else: an equine activity sponsor, an equine professional, "or any other person" "shall not be liable for an......
  15. Church and Religious Organization Liability in Georgia A church is a landowner, an employer, and an organization that relies on volunteers, and each role brings a different rule into an injury claim. A visitor hurt on the......
  16. Elder Abuse Civil Claims in Georgia: Holding Caregivers and Facilities Accountable Which Georgia statutes apply to harm done to an older person depends first on where the person lives. The Disabled Adults and Elder Persons Protection Act defines abuse, neglect, and......

Leave a comment

Your email address will not be published. Required fields are marked *