What to Know After an Accident with an Uber or Lyft

“Am I covered by insurance if I was in a wreck while in an Uber?” is a common question we receive. But it’s a question no one asked in Arkansas over a decade ago. If you’re involved in an accident with an Uber or Lyft in Arkansas, you’re not alone.

There are nearly 2 million rideshare drivers in the United States alone. As of 2025, Uber boasts more than 7.8 million drivers and over 58.6 million users worldwide. More than 14 million people “take an Uber” daily. Approximately two-thirds of drivers drive for both Uber and Lyft. These numbers fluctuate but reflect a continuing trend:

Rideshares are a popular mode of transportation. Unfortunately, car accidents happen at the same rate for Uber and Lyft drivers. But worse, most people are unfamiliar with how insurance works in the case of a rideshare car wreck.

What to Know About Insurance for Rideshares

If you drive or ride in a rideshare, there are a couple of things you should be aware of in the case of a car accident…

Does Personal Car Insurance Cover You While Driving a Rideshare?

No. The first thing to know is that your personal car insurance does not cover you while driving for Uber or Lyft. There is a list of exclusions in your insurance policy, and “driving for hire” is one of those exclusions.

It can depend on the services you’re offering and which insurance company provides your policy, but you should safely assume your insurance will not cover you in the case of an accident while driving a rideshare.

Does Uber or Lyft Cover Car Accidents for Drivers?

Yes, Uber and Lyft provide coverage for drivers who are in an accident while driving and using the app.

It’s important to note that Uber’s insurance will only cover you while the app is on and while the car is being used for hire. When the app is off, drivers are no longer covered by the rideshare’s insurance coverage.

These policies do change and have changed. We talk more about that below, but it’s important to note that the surest way to know whether you’re covered is to contact the insurance provided by the rideshare service.

Are Rideshare Passengers Covered in the Case of an Accident?

Yes. If you’re a passenger in an Uber or Lyft and your driver is involved in an accident in Arkansas, you will be covered by the insurance provided by the rideshare service. It does not matter whether your driver was at fault or not, you’re still covered.

What Types of Compensation are Covered by Rideshare Insurance?

Let’s look at what’s compensated by the insurance coverage provided by a rideshare service.

• Liability: drivers are provided liability coverage while driving for a rideshare. If the collision is your fault, the rideshare insurance will cover the costs.
• Medical Bills: medical costs, hospital charges, prescriptions, PCP visits, and therapy bills due to injury from the accident are all covered by the insurance provided by the rideshare service.
• Property Damage: damage to the vehicle is covered by the rideshare’s insurance.
• UIM/UM: In the event that you’re in an accident with an uninsured driver, underinsured motorist coverage and uninsured motorist coverage are provided.

Understanding what’s covered in the case of an accident is the responsibility of a personal injury attorney. If you’re even involved in an accident and are unsure whether your injuries or damages are covered by insurance, contact an accident attorney who can help you determine the compensation you’re eligible for.

Some services only use a $1 million per accident excess liability coverage. However, this was only available in certain states with the added clause. This clause was designed to handle liability claims that driver insurance doesn’t cover.

Are Rideshare Drivers Required to Have Car Insurance?

Uber and Lyft require all rideshare drivers in Arkansas to have car insurance.

Notably, Uber and some other ridesharing apps only provide supplemental insurance coverage. For example, when the app is off, you are covered by your car insurance. Once the app is on, you are only covered by minimal liability insurance. It’s possible that if you are in a crash while the app is on and you’re driving for hire, you and your car’s damages are barely covered, if at all. When a trip is activated, a higher level of coverage kicks in and remains active, but only until the passenger exits your vehicle.

Keep in mind that insurance policies are updated and change frequently. Previously, Uber only offered coverage if a passenger was present in the car at the time of the accident. Now, you are still covered in the case of an accident while operating as a driver even when a passenger isn’t in the vehicle.

Additional Arkansas Rideshare Insurance Information

CDL for Rideshares

It’s important to note when starting to drive for a rideshare app, you may be required to obtain a commercial driver’s license. In Arkansas, you are not required to have a commercial driver’s license to drive an Uber or Lyft. You’ll just need a valid driver’s license. Arkansas only requires a commercial driver’s license if you drive professionally in a full-time capacity.

Added Insurance Coverage

When choosing to drive for Uber or Lyft, you can contact your insurance company to inquire about additional coverage. 

Some insurers will offer a ride-hailing endorsement that you can add along to your own car insurance. This helps you not have to take out multiple different insurances for multiple different car uses. The extra coverage offered by this may help fill in the gaps between the rideshare insurance and your own insurance.

You may be eligible to take out a full-coverage rideshare insurance policy that combines both personal and business coverage into one auto policy. This option can get pricey.

Speaking of added coverage – Uber, in particular, offers Optional Injury Protection, which is additional insurance coverage in case you’re injured on the job and unable to work.

What To Do After a Wreck with a Rideshare in Arkansas?

First, the same rules apply to a wreck involving a rideshare as any other vehicle: call 911 and ensure that everyone involved is ok. Regardless of whether you’re driving or a passenger, call 911 to ensure the proper authorities and emergency services are able to respond to the accident. After you’ve contacted the proper authorities and emergency services, we recommend seeking medical attention.

When it comes to contacting insurance…

According to Uber, you should contact Uber and their insurance in addition to contacting your personal car insurance. Even if you are driving an Uber and are likely excluded from your policy, you should still let your insurance know that you were involved in an accident.

You can access Uber’s car crash form HERE.

We also recommend contacting an attorney to help you determine liability and damages.

Taylor King Law has been helping car crash victims in Arkansas for over 30 years. We answer questions about car accidents involving rideshares weekly and are happy to answer yours. You can visit our car accident page, text us online, or call us at 870.246.0505.

If you’re a third party who was injured in an accident due to the fault of a rideshare driver, you’re covered under the rideshare’s car insurance. If an Uber or Lyft crashes into your vehicle and you’re injured, call a lawyer. We recommend contacting a car accident attorney who’s dealt with rideshare insurance claims and knows how to navigate them.