Liability in Rideshare Crashes: Who Is Responsible?

If you’ve been hurt in an Uber or Lyft crash in New Jersey, you’re probably asking yourself, “Who pays for this? Can I sue Uber or Lyft? Or am I stuck going after just the driver?”

Here’s what you need to know: Rideshare accidents are complex cases, and multiple parties may be held liable. The driver. The rideshare company’s insurance. Other at-fault drivers. Even vehicle manufacturers or government entities. The key is knowing who to pursue and how to prove your case.

Who’s Liable in a New Jersey Rideshare Accident? The Quick Answer

Liability depends on who caused the accident and what the rideshare driver was doing at the time:

If the rideshare driver caused the crash:

• Driver was offline → Driver’s personal insurance only
• Driver was online, waiting → Limited rideshare coverage ($50K/$100K/$25K)
• Driver en route to a passenger, or passenger already in vehicle → Full rideshare coverage ($1.5 million).

If another driver caused the crash:

• File a claim against the at-fault driver’s insurance
• The rideshare company’s UM/UIM coverage available as backup ($1.5 million during active rides).

Multiple parties can share liability:

• Rideshare driver
• Other at-fault drivers
• Rideshare company’s insurance
• Vehicle manufacturers (if defects are involved)
• Government entities (if road conditions contributed).

The key to maximum compensation? Identifying and pursuing every liable party. That’s where Scott Grossman’s expertise makes the difference.

Will Uber or Lyft Pay for My Accident in New Jersey?

When it comes to car accidents, companies work hard to avoid responsibility. Rideshare companies in particular often call their drivers independent contractors to escape liability. They have teams of lawyers protecting their bottom line. And their insurance companies are known to deny, delay, or minimize victims’ claims.

But New Jersey law provides strong protections for rideshare passengers. You can file injury claims without having to prove a permanent injury (unlike in regular car accident cases). And during active rides, Uber and Lyft must provide $1.5 million in insurance coverage.

The question isn’t whether you can recover compensation. The question is whether you have an attorney who knows how to identify every liable party and access every available insurance policy.

Attorney Scott Grossman has spent over 27 years fighting for injury victims across New Jersey. He’s recovered tens of millions for his clients, including a $992,470 verdict with interest totaling over $1 million. His practice focuses on rideshare accidents, making him one of New Jersey’s leading authorities on these complex cases.

Why Liability Identification Expertise Matters

Most lawyers file claims against the obvious defendant. Scott Grossman investigates every angle.

When you hire Grossman Law, we don’t just sue the driver and hope for the best. We conduct comprehensive investigations to identify:

✓ All potentially liable parties: Driver, rideshare company, other drivers, manufacturers, and/or municipalities
✓ Every available insurance policy: Personal auto, rideshare coverage, UM/UIM, and/or commercial policies
✓ The exact app status at impact, which determines which insurance applies
✓ Hidden liability factors like company negligence, vehicle defects, or road conditions.

This approach has helped Scott recover millions more for clients than they would have received pursuing only the driver. When serious injuries are involved, maximizing compensation can mean the difference between financial security and financial ruin.

Call (732) 625-9494 now for a free case evaluation. We’ll explain exactly who can be held liable in your case and how much compensation you may be entitled to.

How Rideshare Accidents Happen in New Jersey

Rideshare accidents are becoming more common as more people rely on Uber and Lyft. Research from the University of Chicago found that rideshare services are associated with a 3% annual increase in vehicular deaths, which translates to roughly 987 additional fatalities each year nationwide.

In New Jersey specifically, rideshare drivers face unique risks:

• Distracted driving: Drivers constantly check their phones for ride requests. They’re looking at GPS directions. They’re managing the app while navigating traffic. Distracted driving accounts for a large percentage of all rideshare crashes, according to data compiled from multiple sources.
• Driver fatigue: It’s common among rideshare drivers to work long hours, even as much as 50 hours or more per week behind the wheel. Exhausted drivers have slower reaction times and make poor decisions.
• Time pressure: Drivers rush between pickups to maximize earnings. They speed through yellow lights. They make quick lane changes. They’re focused on completing as many rides as possible rather than driving safely.
• Lack of training: Unlike professional taxi drivers, rideshare drivers receive no formal safety training. According to some estimates, there are more than 1.5 million rideshare drivers in the US, but these drivers don’t need commercial driving licenses or specialized instruction.
• Other drivers: Sometimes the rideshare driver isn’t at fault. Another motorist runs a red light, rear-ends the rideshare vehicle, or makes an illegal turn. The rideshare passenger still gets hurt.

Understanding New Jersey’s Rideshare Insurance Laws

New Jersey passed the Transportation Network Company Safety and Regulatory Act, formally known as New Jersey Statute (NJSA) 39:5H-1-27, in 2017 to protect rideshare passengers and other road users. This law established specific insurance requirements based on what the driver was doing when the crash happened. Here’s how it breaks down:

Period 0: Driver Offline (App Not Active)

When the driver isn’t logged into the Uber or Lyft app, they’re just a regular driver. Only their personal auto insurance applies. Uber and Lyft provide zero coverage during this time.

This period causes confusion in many accident cases. The driver might claim they were offline when they weren’t. Or they might have just logged off seconds before impact. These details matter enormously for insurance coverage.

Period 1: Driver Online, Waiting for a Ride

Once a driver logs into the app and starts waiting for ride requests, limited rideshare coverage kicks in. Under NJSA 39:5H-10, the insurance must provide:

• $50,000 for bodily injury or death per person
• $100,000 for bodily injury or death per accident
• $25,000 for property damage.

This coverage only applies if the driver’s personal insurance doesn’t cover the accident or denies the claim. Many personal auto policies specifically exclude commercial activity, creating gaps in protection.

Period 2: Ride Accepted or Passenger in Vehicle (Active Ride)

From the moment a driver accepts your ride request until you exit the vehicle, robust protection is in place. The rideshare company must provide:

• $1.5 million in primary liability coverage for bodily injury, death, and property damage
• $1.5 million in uninsured/underinsured motorist coverage
• $10,000 in personal injury protection (PIP) per person per accident.

These requirements come from New Jersey’s Transportation Network Company Act and provide significant protection for passengers. However, actually getting that coverage paid out is another matter entirely.

More Passenger Rights Under NJ Rideshare Law

Beyond establishing rideshare insurance rules, NJ law also gives rideshare passengers a significant advantage in crash claims. Under NJSA 39:5H-10(j), the “limitation on the lawsuit” option doesn’t apply to rideshare accidents. This means passengers can file injury claims without meeting the standard verbal threshold that applies in ‘regular’ New Jersey car accidents.

In non-rideshare accident claims, you would not be able to sue for additional compensation from the at-fault driver unless your injury meets the legal definition of “serious.” But thanks to NJ rideshare law, you don’t need to prove a serious injury to sue for pain and suffering in your rideshare claim. This is a critical difference that accident victims should know.

Can You Sue Uber or Lyft? Understanding Rideshare Liability in New Jersey

This is the question most rideshare accident victims ask first: Can I sue Uber or Lyft directly, or am I limited to suing just the driver?

The answer is complicated, and that’s exactly what rideshare companies want. The more confusing the liability picture, the easier it is for them to avoid paying what you deserve. An experienced attorney investigates every possible source of compensation to maximize your recovery. Let’s break down each potential defendant:

The Rideshare Driver

If the driver was speeding, texting, drunk, or otherwise negligent, they can be held personally liable. New Jersey requires all drivers to operate their vehicles with reasonable care.

But here’s the catch: most rideshare drivers don’t have enough personal assets to cover serious injuries. If the driver was offline when the crash happened, their personal insurance applies. Many personal policies have minimum limits of only $15,000 per person.

This is why identifying the driver’s app status at the moment of impact becomes critical.

Uber, Lyft, or Other Rideshare Company: Can You Sue Them Directly?

The short answer is yes, but it’s complicated. Uber and Lyft structure their business model in a way that helps them avoid direct liability.

Rideshare companies classify drivers as independent contractors rather than employees. When drivers are independent contractors:

• The company can argue they’re not responsible for the driver’s actions.
• They can claim the driver was operating their own business, not working for Uber or Lyft.
• They can try to shift all liability to the individual driver (who typically has minimal assets).

New Jersey courts generally respect this classification. Under New Jersey law, you cannot hold an employer liable for an independent contractor’s negligence under the doctrine of respondeat superior (employer liability). However, there are legal circumstances where Uber and Lyft can be sued directly. In a section below, we discuss more about when you can file a lawsuit against a rideshare company.

Other Drivers

If another motorist caused the collision, they’re typically the primary at-fault party. The injured rideshare passenger would file a claim against that driver’s liability insurance.

The problem? According to the Insurance Research Council, New Jersey has seen an increase in uninsured motorists, with about 14.1% of the state’s drivers lacking insurance in 2023.

When the at-fault driver doesn’t have enough coverage, Uber or Lyft’s $1.5 million uninsured/underinsured motorist policy can fill the gap. But you’ll need to prove that the rideshare company’s policy applies.

Vehicle Manufacturers

If a defective brake system, faulty airbag, or other product defect contributed to the crash, the manufacturer might be liable. New Jersey product liability laws allow injured parties to pursue compensation from automakers when defective parts cause or worsen injuries.

Government Entities

Poor road maintenance, missing guardrails, malfunctioning traffic signals, or dangerous road conditions can contribute to accidents. When government negligence plays a role, the municipality or state agency might share liability.

Claims against government entities in New Jersey have strict notice requirements and short deadlines. You must file a notice of claim within 90 days of the accident in many cases.

 

When You Can Sue Uber or Lyft

Despite Uber or Lyft labeling their drivers as contractors, several situations allow you to pursue the rideshare company directly:

Insurance Coverage Claims

This is the most common way to recover from Uber or Lyft. Under New Jersey’s Transportation Network Company Act, rideshare companies must provide specific insurance coverage. When you file a claim under this coverage, you’re effectively pursuing the company’s insurance policy.

During an active ride (from ride acceptance to drop-off), Uber or Lyft’s $1.5 million insurance policy is primary. This means:

• You’re making a claim under their mandatory insurance coverage
• You don’t need to prove you had serious injury
• The insurance company defends and pays the claim (up to policy limits).

This is why understanding the driver’s app status at the moment of impact becomes critical. If the driver was logged in and transporting a passenger, you have access to the full $1.5 million policy.

Negligent Hiring or Retention

You might sue Uber or Lyft directly if the company:

• Failed to conduct proper background checks
• Hired a driver with a dangerous driving history that should have disqualified them
• Ignored multiple safety complaints about a specific driver
• Knew or should have known the driver posed a danger to passengers.

These claims are difficult but not impossible. They require proving the company had knowledge of the driver’s dangerous propensities and failed to act.

Negligent Entrustment

If Uber or Lyft knew or should have known that a driver was unfit to operate a vehicle safely, and the company allowed them to continue driving, you might have a negligent entrustment claim.

Examples are:

• A driver with multiple DUI convictions
• A driver reported for aggressive or reckless driving multiple times
• A driver with a suspended license who slipped through screening.

Company Policy or Practice

In rare cases, the rideshare company’s own policies or practices might create liability:

• Pressure to accept rides quickly without adequate breaks (contributing to fatigue)
• Inadequate safety training or warnings
• Defective app features that distract drivers
• Failure to maintain required insurance coverage.

Direct Employer Relationship

If evidence shows the company exercised enough control over the driver to constitute an employment relationship (despite calling them independent contractors), you might pierce the independent contractor shield. This is rare but possible.

These claims are difficult to win but not impossible. Scott Grossman has the experience and resources to investigate whether company negligence contributed to your injuries.

Why Multiple Defendants Matter for Your Recovery

Scott Grossman’s approach focuses on identifying every possible source of compensation. Here’s why this matters:

The Driver Has Limited Assets

Most rideshare drivers carry only minimum personal insurance. If they were offline when the crash happened, you might be limited to their personal policy. Many New Jersey drivers carry just $15,000 per person in coverage. That won’t cover serious injuries.

The Other Driver Might Be Underinsured

If a third-party driver caused the accident, they might not have adequate coverage either. This is where Uber’s or Lyft’s uninsured/underinsured motorist coverage becomes critical.

Multiple Parties Mean Multiple Insurance Policies

The more defendants you can establish liability against, the more insurance coverage becomes available. This is especially important in catastrophic injury cases where damages exceed a single policy’s limits.

Rideshare Companies Have Deep Pockets

While hard to sue directly, rideshare companies are required to provide a $1.5 million insurance policy during active rides, which is substantial coverage that most individual drivers can’t match.

The Company Has Better Records

Uber and Lyft maintain detailed trip data, GPS logs, app activity records, and driver histories. Getting access to this evidence requires legal subpoenas and expertise. But this data can prove exactly what the driver was doing when the crash occurred.

Attorney Scott Grossman knows how to navigate these complex liability questions. He investigates every angle:

• Obtaining trip data and GPS logs from Uber and Lyft
• Reviewing the driver’s complete history with the company
• Analyzing the driver’s app status at the moment of impact
• Identifying all applicable insurance policies
• Determining whether the company’s negligence contributed to the accident
• Pursuing all available sources of compensation.

This comprehensive approach maximizes your recovery. It’s not enough to sue the driver and hope for the best. You need an attorney who understands how to identify and pursue every liable party.

The Real Cost of Incomplete Liability Investigation

Most rideshare accident victims make a critical mistake: they focus only on the driver and miss other sources of compensation. This can cost you hundreds of thousands of dollars. Just take a look at these examples:

Scenario 1: Driver-Only Claim

You sue only the rideshare driver. The driver’s personal insurance maxes out at $15,000. Your medical bills alone are $75,000. You’re left $60,000 short.

Scenario 2: Comprehensive Liability Investigation 

Scott Grossman investigates and discovers:

• The driver was logged into the app (accessing $1.5 million coverage)
• A third-party driver contributed to the accident (adding their policy limits)
• Road conditions played a role (potential municipal liability)

Now multiple insurance policies are in play. You recover full compensation for:

• All medical expenses (past and future)
• Lost wages and earning capacity
• Pain and suffering
• Disability accommodations
• Emotional distress.

This is the difference between partial recovery and full justice.

How Grossman Law Maximizes Your Rideshare Accident Recovery

Step 1: Immediate Evidence Preservation

We act fast to secure critical evidence before it disappears:

• Subpoena trip data and GPS logs from Uber/Lyft
• Obtain the driver’s complete history with the company
• Secure dashcam and security camera footage
• Interview witnesses while memories are fresh
• Document the accident scene and road conditions.

Step 2: Comprehensive Liability Analysis

We investigate every potential defendant:

• Rideshare driver: Was negligence involved? What was their app status?
• Rideshare company: Which insurance period applies? Can we access the $1.5 million policy?
• Other drivers: Who else contributed to the crash?
• Vehicle issues: Did mechanical defects play a role?
• Road conditions: Did the municipality fail to maintain safe conditions?
• Third parties: Did a bar or restaurant overserve an intoxicated driver?

Step 3: Insurance Coverage Maximization

We identify every available insurance policy:

• Driver’s personal auto insurance
• Rideshare company’s tiered coverage ($50K-$1.5M depending on period)
• Other drivers’ liability policies
• Uninsured/underinsured motorist coverage
• Your personal UM/UIM coverage (if applicable)
• Commercial policies (for business vehicles).

Step 4: Strategic Claims Pursuit

We file claims strategically to maximize recovery:

• Pursue high-limit policies first
• Stack coverage when legally permitted
• Negotiate with multiple insurers simultaneously
• Leverage one settlement to pressure others
• Preserve claims against all defendants until maximum recovery is secured.

Step 5: Aggressive Negotiation and Litigation

Insurance companies know Scott Grossman will go to trial if necessary. His courtroom experience and track record ($992,470 verdict, $900,000 settlement, $2.75 million drunk driver settlement) give him leverage in negotiations.

Case Example: How Comprehensive Investigation Tripled Recovery

Initial claim: Passenger injured in rideshare accident. The insurance company offered $50,000, claiming the driver was between rides.

Grossman Law investigation revealed:

• The driver had actually accepted the ride 90 seconds before impact
• GPS data proved the driver was en route to pick up
• This triggered the $1.5 million coverage period
• Investigation also uncovered the third-party driver’s partial fault

Result: $425,000 settlement (more than 8x the initial offer).

This is why rideshare accident victims choose Scott Grossman. He doesn’t accept the insurance company’s version of events. He investigates, finds the evidence, and fights for every dollar you deserve.

Recent Legal Developments: The Arbitration Problem

In 2024, a New Jersey court decision added another layer of complexity to rideshare accident cases. In McGinty v. Jia Wen Zheng (2024), a New Jersey court forced Uber passengers into arbitration instead of allowing a jury trial.

When you sign up for Uber or Lyft, you agree to their terms of service. Buried in those terms is an arbitration clause. This clause forces you to resolve disputes through the out-of-court process of private arbitration rather than filing a lawsuit.

Arbitration typically favors corporations. There’s no jury. Discovery is limited. The process is private. And the arbiter’s decision is usually final.

The McGinty case shows how rideshare companies can use these clauses to block injury lawsuits before they even start. Some courts have required passengers to go into arbitration even when they didn’t personally accept the terms but were riding under someone else’s account.

Scott Grossman stays current on these legal developments and knows how to challenge arbitration clauses when possible. Some exceptions exist, especially when the clauses are unconscionable or improperly applied.

What to Do Immediately After a Rideshare Accident in New Jersey

Your actions in the hours and days following a rideshare crash can significantly impact your ability to recover compensation.

Get Medical Attention Right Away

Even if you feel fine, see a doctor immediately. Some injuries, like concussions, soft tissue damage, and internal bleeding, don’t show symptoms right away. Adrenaline can mask pain for hours or even days.

Medical records also create critical documentation for your claim. Insurance companies will argue that delayed treatment means your injuries aren’t serious.

Report the Crash

New Jersey law requires you to report accidents involving injury or property damage. Call the police and get an official accident report. This report becomes key evidence.

Also report the crash through the Uber or Lyft app. But don’t rely solely on the app as the rideshare company controls that internal report and may not share it with you. Take screenshots of your report. If you need help recovering evidence like this, don’t hesitate to call an attorney.

Document Everything

If you’re able, take photos starting from the accident scene, including:

• Vehicle damage
• The accident scene
• Your visible injuries
• Road conditions
• Traffic signals or signs.

Get contact information from the driver, other motorists, and witnesses. Screenshot your ride details from the app, including timestamps and the driver’s information.

Don’t Give Recorded Statements

Insurance adjusters often contact accident victims within hours, asking for recorded statements. They fish for statements they can use against you later.

Politely decline to give a recorded statement until you’ve spoken with an attorney. You’re required to cooperate with your own insurance company, but you don’t have to talk to Uber or Lyft’s insurers without legal representation.

Contact an Experienced Rideshare Accident Attorney

Time is not on your side. Evidence disappears quickly. Witnesses’ memories fade. The rideshare company’s data might be overwritten.

New Jersey’s statute of limitations gives you a limited window of two years to file suit for personal injury. But waiting weeks or months can seriously damage your case. Insurance companies begin building their defense immediately after the accident.

How Insurance Companies Try to Avoid Paying Your Claim

Insurance companies use sophisticated tactics to minimize what they pay injured victims. Scott Grossman has seen every trick in their playbook:

• Disputing driver status: The most common tactic is arguing about whether the driver was actually logged into the app when the crash happened. Uber might claim the driver was offline, making their $1.5 million policy inapplicable.
• Blaming the victim: New Jersey follows a modified comparative negligence rule. If you’re found more than 50% at fault, you recover nothing. Insurance adjusters will look for any way to shift blame onto you.
• Lowball settlement offers: Adjusters often make quick, low settlement offers before you know the full extent of your injuries. They’re hoping you’ll accept pennies on the dollar because you need money for medical bills.
• Delaying tactics: The longer they drag out your claim, the more financial pressure you face. They request redundant documentation. They “lose” paperwork. They go silent for weeks.
• Denying coverage outright: Sometimes, they simply deny the claim and hope you’ll give up. Many legitimate claims are initially denied, especially when multiple insurance policies are involved.
• Surveillance: Insurance companies sometimes hire private investigators to follow claimants, looking for evidence to use against them. A video of you grocery shopping doesn’t mean you’re not injured, but they’ll use it to argue otherwise.

This is why having an experienced attorney matters. Scott Grossman and his team deal with these tactics every day. They know how to counter each one and protect your rights.

Types of Compensation Available in New Jersey Rideshare Accidents

When you’re injured in a rideshare crash that wasn’t your fault, New Jersey law allows you to pursue several types of compensation:

Economic Damages

These are your measurable financial losses:

• Medical expenses: Emergency room treatment, hospitalization, surgery, physical therapy, prescription medications, medical devices, and future medical care
• Lost wages: Income you’ve already lost because you couldn’t work, plus future earning capacity if your injuries prevent you from returning to your previous job
• Property damage: Repair or replacement of personal property damaged in the crash.

Non-Economic Damages

These compensate for the impact on your quality of life:

• Pain and suffering: Physical pain, discomfort, and limitations caused by your injuries
• Emotional distress: Anxiety, depression, PTSD, and other psychological impacts from the accident
• Loss of enjoyment: Your inability to participate in activities and hobbies you previously enjoyed
• Disfigurement or scarring: Permanent changes to your appearance.

Punitive Damages (In Rare Cases)

New Jersey allows punitive damages when the defendant’s conduct was especially egregious. These damages punish the wrongdoer and deter similar conduct.

Punitive damages might apply if the rideshare driver was extremely drunk, racing recklessly, or driving with a known defect that endangered passengers.

Why Choose Grossman Law for Your Rideshare Accident Case?

Scott Grossman brings over 27 years of dedicated personal injury experience to every rideshare accident case. He founded Grossman Law Rideshare Accident Attorneys specifically to help victims navigate these complex claims.

Proven Results That Speak for Themselves

Scott has recovered tens of millions for injured clients across New Jersey. Recent case results include:

• $992,470 verdict with pre-judgment interest totaling over $1 million
• $900,000 settlement achieved before trial
• $2.75 million settlement in an auto accident involving a drunk driver
• $2.5 million settlement for workplace electrical burn injuries.

These results demonstrate Scott’s ability to maximize compensation even in challenging cases involving multiple parties and complex insurance issues.

Specialized Rideshare Expertise

Unlike general personal injury lawyers, Scott focuses on rideshare accidents. He understands:

• New Jersey’s Transportation Network Company Safety and Regulatory Act (NJSA 39:5H-1 through 39:5H-27)
• The multi-period insurance framework and how coverage changes based on driver status
• How to obtain critical evidence from Uber and Lyft, including trip data, GPS logs, and driver information
• Recent court decisions like the McGinty arbitration case and how they affect your rights.

Board-Certified Trial Experience

Scott Grossman serves on the Board of Governors of the New Jersey Association for Justice. This professional recognition demonstrates his standing among his peers and his commitment to protecting injury victims’ rights.

When insurance companies refuse to offer fair settlements, Scott is prepared to take cases to trial. His courtroom experience gives him leverage in negotiations because insurers know he won’t hesitate to fight for justice in front of a jury.

Personal Attention to Every Client

Large firms treat clients like case numbers. At Grossman Law, Scott personally gets to know each client and their family. He understands how your injuries have impacted your life, your work, and your relationships.

This personal approach allows him to tell your complete story and maximize your recovery.

Client testimonials reflect this commitment:

“He is a shark in this field. He is a very knowledgeable and professional lawyer with tons of experience.” – Client review on Avvo

“I couldn’t be any happier. The people over at the Grossman Law firm were always courteous and accommodating. Scott, himself was very kind and understanding about everything.” – Janice

“Scott Grossman helped me every step of the way, explaining things to me and helping me until I got the settlement I was happy with.” – Gurpreet

No Upfront Costs

Grossman Law handles all rideshare accident cases on a contingency fee basis. You pay no attorney fees unless we win your case. We cover all investigation costs, expert witness fees, and litigation expenses upfront.

This arrangement ensures that financial concerns don’t prevent you from getting the legal representation you deserve.

Common Questions About Suing Uber, Lyft, and Rideshare Drivers in New Jersey

Can I sue Uber or Lyft directly?

It depends on the circumstances. The companies classify drivers as independent contractors to avoid liability. However, you can potentially sue them if their insurance policy applies under the multi-period framework, or if company negligence contributed to the accident.

Most commonly, you’ll file a claim under Uber or Lyft’s mandatory insurance coverage rather than suing the company directly for negligence. During an active ride, their $1.5 million policy is available.

The arbitration clause in their terms of service may also complicate your ability to file a lawsuit. An experienced attorney can review your specific situation and explain your options.

Should I sue the driver, Uber, or both?

The best strategy often involves pursuing all potentially liable parties. Scott Grossman investigates:

• The rideshare driver’s personal liability
• Uber’s or Lyft’s insurance coverage is based on the driver app status
• Other at-fault drivers involved in the crash
• Vehicle manufacturers (if defects contributed)
• Government entities (if road conditions played a role).

Pursuing multiple defendants maximizes your compensation by accessing multiple insurance policies. This becomes especially important when injuries are severe and damages exceed a single policy’s limits.

What if the rideshare driver doesn’t have enough insurance?

If the driver’s personal insurance is insufficient (or denied because of commercial activity), you can look into pursuing:

• Uber or Lyft’s policy: If the driver is logged into the app, rideshare company insurance provides coverage ranging from $50,000/$100,000/$25,000 (waiting for ride) to $1.5 million (active ride).
• Uninsured/underinsured motorist coverage: During active rides, Uber and Lyft provide $1.5 million in UM/UIM coverage. This protects you when the at-fault driver doesn’t have adequate insurance.
• Your own UM/UIM coverage: In some cases, your personal auto insurance policy’s UM/UIM coverage might provide additional protection.

Can I sue Uber if their driver wasn’t at fault?

Yes, if another driver caused the accident and you were a rideshare passenger. Here’s how it works: You file a claim against the at-fault driver’s insurance. If that driver is uninsured or underinsured, the rideshare company’s $1.5 million UM/UIM policy can cover the gap (during an active ride).

This is one reason rideshare passengers are actually well-protected in New Jersey compared to regular passengers. The rideshare company’s insurance acts as a safety net when other drivers don’t carry adequate coverage.

Do I need a “permanent injury” to sue after a rideshare accident in New Jersey?

No. This is a critical advantage for rideshare passengers that many people don’t know about.

In regular New Jersey car accidents, you must meet a “verbal threshold” (serious injury) to sue for pain and suffering if you have standard auto insurance. But NJSA 39:5H-10(j) specifically states that this limitation doesn’t apply to rideshare accidents.

As a rideshare passenger, you can file injury claims without proving a permanent injury. This makes it easier to recover compensation for:

• Soft tissue injuries
• Whiplash
• Concussions
• Emotional distress
• Pain and suffering.

This exception recognizes that rideshare passengers shouldn’t be penalized by insurance limitations they didn’t choose.

What if the rideshare driver was using multiple apps?

Many drivers work for both Uber and Lyft simultaneously. They might be logged into both apps, waiting for the first ride request. This creates complex questions about which company’s insurance applies.

New Jersey law requires drivers to display the identifying marker for the TNC they’re actively providing a ride through. But during the waiting period, both companies might deny coverage, each claiming the driver was working for the other company.

How long does a rideshare accident case take?

Cases vary widely. Some settle in a few months. Others take a year or longer, especially if liability is disputed or injuries are severe. Complex cases involving multiple parties naturally take more time.

The key is not to rush. Insurance companies often make lowball offers early, hoping you’ll accept before understanding the full extent of your injuries. Scott advises clients to wait until they reach maximum medical improvement before settling.

What if I was injured as a pedestrian, bicyclist, or motorcyclist hit by a rideshare vehicle?

Studies have found that rideshare services may be contributing to an increase in pedestrian crashes. If you were hurt as a pedestrian, you have the same rights as passengers. If the rideshare driver was at fault and logged into the app, Uber or Lyft’s insurance should cover your injuries. The multi-period framework still applies.

Does my personal auto insurance cover me as a passenger?

Your personal auto insurance generally doesn’t cover you as a passenger in someone else’s vehicle. However, your PIP coverage might provide some benefits depending on your policy.

The rideshare company’s insurance is primary during an active ride. You shouldn’t need to use your own coverage.

Can I still file a claim if the rideshare driver wasn’t at fault?

Yes. If another driver caused the accident, you can file a claim against their liability insurance. If that driver is uninsured or underinsured, the rideshare company’s $1.5 million uninsured/underinsured motorist coverage can help cover the gap.

You might also have a claim against other parties, such as vehicle manufacturers or government entities, depending on what contributed to the crash.

The Statute of Limitations: Don’t Wait Too Long

New Jersey law gives you two years from the crash date to file a personal injury lawsuit. Miss this deadline, and you lose your right to compensation forever.

Some exceptions exist. If you’re suing a government entity, you might have only 90 days to file a notice of claim. If the injured party is a minor, different rules apply.

But here’s the reality: waiting hurts your case. Evidence disappears. Witnesses forget details. The rideshare company’s data gets overwritten. Your memory of the accident becomes less clear.

Insurance companies know that fresh evidence is the strongest evidence. The longer you wait, the harder it becomes to prove your claim.

Call Grossman Law as soon as possible after your accident. Even if you’re still receiving medical treatment, we can start investigating your case, preserving evidence, and protecting your rights.

Call Grossman Law for Proven Legal Help in NJ Rideshare Claims

Rideshare accidents are more complicated than regular car crashes. Multiple insurance companies. Corporate legal teams. Arbitration clauses. Multi-period coverage frameworks. Driver status disputes. You’re not just dealing with a negligent driver. You’re up against billion-dollar corporations that employ armies of lawyers to minimize payouts.

Scott Grossman levels the playing field. With over 27 years of experience and tens of millions recovered for injured clients, he knows how to fight these companies and win.

From the firm’s offices across New Jersey, Grossman Law serves rideshare accident victims throughout the state, including Monmouth County, Middlesex County, Ocean County, Passaic County, Bergen County, Essex County, Union County, Camden County, and Mercer County.

Don’t let a rideshare company take advantage of you. Get the representation you deserve.

Call Grossman Law – Rideshare Accident Attorneys today at (732) 625-9494 for a free consultation. We’ll review your case, explain your options, and fight for the maximum compensation you’re entitled to.

Time is critical. Evidence is disappearing. Insurance companies are building their defense right now. The sooner you call, the stronger your case becomes. Call today.

Scott D. Grossman, Esq., is the founding attorney of Grossman Law Rideshare Accident Attorneys, a New Jersey law firm focused exclusively on rideshare injury cases. A graduate of Quinnipiac University School of Law (J.D., 1997) and Rutgers University (M.A. in Political Science), Scott has dedicated his career to fighting for injury victims across New Jersey. He serves on the Board of Governors of the New Jersey Association for Justice and has recovered tens of millions in settlements and verdicts for his clients.