Here in Massachusetts, we see rideshare accidents happening more frequently as these services become part of everyday life. With millions of Uber and Lyft rides happening across the Commonwealth each year, it’s no surprise that crashes involving these vehicles create unique legal challenges that didn’t exist just a decade ago.

How Massachusetts Rideshare Insurance Actually Works

The insurance situation with rideshare accidents isn’t straightforward – and that’s putting it mildly. Massachusetts requires rideshare companies to carry serious insurance coverage, but when that coverage kicks in depends entirely on what the driver was doing when the accident happened.

Transportation Network Companies like Uber and Lyft must maintain $1 million in commercial auto insurance. That sounds reassuring until you realize this coverage doesn’t apply in every situation. The timing of when you get hurt makes all the difference in the world.

What Changed with the 2024 Settlement

Last year brought major changes to how rideshare drivers are protected in Massachusetts. After years of legal battles, Uber and Lyft reached a settlement with our state that gives drivers better protections than they’ve ever had.

Starting October 2024, both companies now provide occupational accident insurance covering up to $1 million for work-related injuries. Drivers also get guaranteed minimum earnings – currently $33.48 per hour of engaged time as of January 2025. These protections matter because they can affect how your case gets handled.

When Different Insurance Policies Apply

The most confusing part about rideshare accidents is figuring out which insurance company is supposed to pay. It all comes down to what the driver was doing at the exact moment of the crash.

App is Off – Personal Insurance Only

When a rideshare driver’s app is turned off, they’re just like any other driver on the road. Their personal car insurance handles everything. Unfortunately, many drivers only carry Massachusetts’ minimum coverage requirements: $20,000 per person and $40,000 per accident. That’s often not nearly enough to cover serious injuries.

App is On, Waiting for Rides

Once drivers log into the app but haven’t accepted a ride yet, limited coverage from the rideshare company kicks in. Both Uber and Lyft provide $50,000 per person for injuries, up to $100,000 per accident, plus $25,000 for property damage. This coverage only applies if the driver’s personal insurance won’t cover the claim.

Driving to Pick Up or With Passengers

This is when the big coverage applies. Once a driver accepts your ride request or has you in the car, both companies provide at least $1 million in liability coverage. This includes protection against uninsured drivers and comprehensive coverage for various scenarios.

Why These Accidents Keep Happening

In our experience representing motor vehicle accident victims, we’ve seen certain patterns in rideshare crashes that keep coming up:

Too Many Distractions: Rideshare drivers juggle GPS devices, rider apps, and often their own phones. We’ve handled cases where drivers were trying to accept new rides while still driving passengers, leading to serious accidents.

Pressure to Drive Fast: The gig economy pushes drivers to complete as many rides as possible. This pressure sometimes leads to speeding, aggressive lane changes, and taking unnecessary risks.

Driver Fatigue: Some drivers work incredibly long hours trying to make ends meet. We’ve seen accidents happen during those late-night or early-morning hours when exhaustion becomes a real factor.

Inadequate Training: Unlike professional taxi drivers or commercial vehicle operators, rideshare drivers don’t need extensive training. The barrier to entry is low, which sometimes means less experienced drivers on the road.

Your Rights Depend on Your Situation

If You Were a Passenger

As a rideshare passenger, you’re generally in the best position legally. You’re typically covered by the company’s $1 million policy regardless of who caused the accident. This is actually better protection than you’d get in a traditional taxi, which only needs to carry $20,000 in coverage.

That said, getting the insurance company to pay what they owe isn’t always straightforward. We’ve seen cases where insurers try to shift responsibility or downplay the severity of injuries.

If You’re Another Driver

If a rideshare driver hit you, your path to compensation depends on several factors. Massachusetts follows no-fault insurance rules, which means you typically go through your own insurance first unless your injuries meet certain thresholds for serious harm.

When you can pursue the rideshare company’s insurance, you’re often dealing with their million-dollar policy if the driver was active on the app. However, proving the driver’s status at the time of the accident sometimes requires investigation.

If You’re the Rideshare Driver

The recent settlement gives rideshare drivers more protection than ever before. You now have access to occupational accident insurance that can cover medical expenses, disability payments, and survivor benefits up to $1 million.

Still, navigating these benefits while dealing with your injuries and lost income isn’t something you should handle alone. The insurance companies have teams of lawyers working to minimize what they pay out.

What to Do Right After the Accident

The steps you take immediately after a rideshare accident can significantly impact your case. Here’s what we tell our clients:

Call 911 immediately. You need police documentation and medical attention, even if you think you’re not seriously hurt. Adrenaline can mask injuries that become apparent hours or days later.

Stay put. Don’t leave the scene, even if you’re just a passenger who wants to get to your destination. Leaving can complicate your legal case tremendously.

Document everything. Take photos of all vehicles, visible injuries, and the accident scene. Get the rideshare driver’s personal insurance information along with their Uber or Lyft details.

Report through the app. Both Uber and Lyft have in-app accident reporting features. Use them, but don’t give detailed statements about fault or injuries until you’ve spoken with an attorney.

Don’t apologize. It’s natural to say “sorry” after an accident, but these statements can be used against you later.

Why Medical Documentation Matters So Much

One of the biggest mistakes we see people make is delaying medical treatment. Maybe you feel okay at the scene, or you don’t want to deal with emergency room bills. But this delay often comes back to hurt your case.

Insurance companies routinely argue that delayed treatment means your injuries weren’t caused by the accident. They’ll suggest you hurt yourself doing something else in the days or weeks after the crash. Having immediate medical documentation makes these arguments much harder for them to make.

We work with medical providers throughout Massachusetts who understand the connection between accidents and injuries. Getting proper treatment protects both your health and your legal case.

The Legal Complexities You’re Up Against

Rideshare accident cases involve multiple insurance companies, each with their own team of adjusters and lawyers working to pay out as little as possible. You might be dealing with:

• The rideshare driver’s personal insurance company
• Uber or Lyft’s commercial insurance carrier
• Your own insurance company for PIP benefits
• The insurance company of any other drivers involved

These companies know the law better than most people, and they use that knowledge to their advantage. They might offer quick settlements that sound good but don’t account for long-term medical needs or lost earning capacity.

Massachusetts Comparative Fault Rules

Our state follows modified comparative negligence rules. This means your compensation can be reduced based on your percentage of fault, but you can still recover damages as long as you’re less than 51% responsible for the accident.

Insurance companies often try to assign more blame to accident victims than they deserve. Having experienced legal representation helps ensure fault is assigned fairly based on the actual facts of your case.

What Your Case Might Be Worth

Every rideshare accident case is different, but compensation typically falls into several categories:

Medical expenses: This includes emergency room bills, ongoing treatment, physical therapy, and future medical needs related to your injuries.

Lost income: Both wages you’ve already lost and future earning capacity if your injuries affect your ability to work.

Pain and suffering: Compensation for the physical discomfort and emotional impact of your injuries.

Property damage: Repair or replacement costs for your vehicle and personal belongings damaged in the crash.

The value depends on factors like the severity of your injuries, how they impact your daily life, and the available insurance coverage. Cases involving permanent disabilities or long-term care needs obviously involve higher compensation amounts.

Time Limits You Need to Know About

Massachusetts gives you three years from the date of the accident to file a personal injury lawsuit. That might seem like plenty of time, but important evidence can disappear quickly. Security camera footage gets recorded over, witnesses forget details, and physical evidence from the scene gets cleaned up.

More importantly, insurance companies often take advantage of unrepresented accident victims early in the process. They know people are dealing with medical bills and lost wages and might accept inadequate settlements out of financial pressure.

Why Experience Matters in These Cases

At Scalli Murphy Law, we’ve been handling personal injury cases for over 25 years. Rideshare accidents present unique challenges that require understanding both traditional car accident law and the newer regulations governing these companies.

We know how to investigate which insurance policies apply, how to prove a driver’s status at the time of the accident, and how to deal with the sophisticated legal teams these companies employ. More importantly, we understand the human side of these cases – how injuries affect your family, your work, and your future plans.

Our motor vehicle accident practice has helped hundreds of Massachusetts residents recover compensation after crashes involving all types of vehicles, from motorcycles to commercial trucks to rideshare vehicles.

What to Expect When You Call Us

We handle all personal injury cases on a contingency fee basis. This means you don’t pay attorney fees unless we successfully recover compensation for your case. You’ll never have to pay us out of your own pocket.

During your free consultation, we’ll review the details of your accident, explain your legal options, and give you an honest assessment of your case. If we take your case, we handle all communication with insurance companies while you focus on recovering from your injuries.

We’re also available to travel to your location if you’re unable to come to our Everett office due to your injuries. Legal services in Spanish and other languages are available as well.

Don’t Wait to Protect Your Rights

Insurance companies start working on rideshare accident cases immediately. They have teams of adjusters and lawyers whose job is to minimize what they pay out. The longer you wait to get legal help, the more time they have to build their defense.

If you’ve been injured in a rideshare accident anywhere in Massachusetts, contact Scalli Murphy Law today. We’ll make sure you understand your rights and fight to get you the compensation you deserve.

Your recovery is our priority. Let us handle the legal complexities while you focus on getting better.