Michigan Rideshare Accident Attorney: Your Guide to Uber and Lyft Accident Claims

Rideshare services like Uber and Lyft have transformed how Michigan residents travel, especially during harsh winter months when driving conditions become hazardous. However, when accidents happen involving these vehicles, determining liability and securing fair compensation becomes significantly more complicated than a typical auto accident claim. The legal team at MichiganLawsuit.com regularly handles rideshare accident cases throughout Michigan, helping injured passengers, drivers, and third parties navigate the complex insurance structures these companies use.

How Rideshare Insurance Coverage Works in Michigan

Unlike traditional taxi services, rideshare companies operate with a layered insurance system that changes depending on what the driver was doing at the time of the accident. According to the Federal Trade Commission, gig economy workers including rideshare drivers often fall into regulatory gray areas that affect insurance coverage.

The Three Coverage Periods

Period 1 - App Off: When the driver's app is completely off, only their personal auto insurance applies. Neither Uber nor Lyft provides any coverage during this time.

Period 2 - Waiting for a Ride Request: When the app is on but the driver hasn't accepted a ride, limited liability coverage kicks in. Both companies provide approximately $50,000 per person for bodily injury, $100,000 per accident, and $25,000 for property damage.

Period 3 - En Route or During a Trip: Once a driver accepts a ride request through trip completion, both Uber and Lyft maintain $1 million in liability coverage, plus uninsured/underinsured motorist coverage and contingent comprehensive and collision coverage.

Key Takeaways - Insurance Coverage:

• Coverage varies dramatically based on whether the driver had the app on and had accepted a ride

• Maximum $1 million coverage applies only during active trips

• Period 2 coverage gaps can leave victims with limited options

Michigan's No-Fault Insurance System and Rideshare Accidents

Michigan's unique no-fault insurance system adds another layer of complexity to rideshare accident claims. Under Michigan law, your own Personal Injury Protection (PIP) coverage typically pays for your medical expenses regardless of who caused the accident. However, rideshare situations create questions about which PIP policy applies.

As passengers, you may be covered by the rideshare company's PIP coverage, your own personal auto policy, or even a household member's policy depending on the circumstances. This is where having an experienced negligence attorney becomes essential. The legal team at MichiganLawsuit.com understands how to identify which policies apply and in what order.

Important: Michigan law requires you to file a written notice with the insurer within one year of the accident to preserve your PIP benefits. This deadline is strictly enforced and missing it can result in losing your right to these benefits entirely—even if you have three years for other claims under the general statute of limitations.

Who Can Be Held Liable in a Rideshare Accident?

Determining liability in a rideshare accident often involves multiple potentially responsible parties. Understanding who may be liable helps maximize your potential recovery.

The Rideshare Driver: If the driver's negligence caused the accident—distracted driving, speeding, running a red light—they can be held personally liable. Their personal insurance and the rideshare company's coverage may both apply.

Third-Party Drivers: When another motorist causes the accident, you can pursue a claim against their insurance. The rideshare company's uninsured/underinsured motorist coverage provides additional protection if that driver lacks adequate coverage.

Uber or Lyft Directly: While these companies classify drivers as independent contractors to limit liability, certain circumstances—such as negligent hiring practices or failure to maintain safety standards—may support direct claims against the company.

Vehicle or Parts Manufacturers: If a defective vehicle component contributed to the accident, product liability claims against manufacturers may be appropriate.

Key Takeaways - Liability:

• Multiple parties may share responsibility for your injuries

• Rideshare companies actively try to distance themselves from driver liability

• Identifying all liable parties maximizes potential compensation

What to Do After a Rideshare Accident in Michigan

The steps you take immediately following a rideshare accident can significantly impact your ability to recover compensation. Here's what the legal team at MichiganLawsuit.com recommends:

1. Seek Medical Attention: Your health comes first. Even if injuries seem minor, get evaluated by a medical professional. Some injuries, particularly soft tissue damage and concussions, may not show symptoms immediately.

2. Document Everything: Take photos of the accident scene, all vehicles involved, visible injuries, and road conditions. Michigan winters create unique hazards—document ice, snow, or poor visibility if relevant.

3. Screenshot Your Ride Information: Before the trip disappears from your app history, screenshot the ride details including driver name, vehicle information, trip time, and route. This proves you were a passenger during an active trip (Period 3 coverage).

4. Report the Accident: File a police report and report the accident through the rideshare app. Both Uber and Lyft have in-app reporting features.

5. Contact a Personal Injury Attorney: Before providing recorded statements to any insurance company, consult with an experienced attorney. Insurance adjusters—including those working for rideshare companies—are trained to minimize claim values.

Compensation Available in Michigan Rideshare Accident Claims

Victims of rideshare accidents in Michigan may be entitled to recover various types of damages depending on the severity of their injuries and the circumstances of the accident.

Economic Damages: These include medical expenses (past and future), lost wages, reduced earning capacity, and property damage. PIP coverage handles many medical expenses and wage loss benefits under Michigan's no-fault system.

Non-Economic Damages: If your injuries meet Michigan's serious impairment threshold—meaning death, permanent serious disfigurement, or serious impairment of body function—you may pursue pain and suffering damages against the at-fault party.

Third-Party Claims: Beyond no-fault benefits, you can file a liability claim against any negligent party to recover damages that PIP doesn't cover.

Frequently Asked Questions About Michigan Rideshare Accidents

Can I sue Uber or Lyft directly if I'm injured in an accident?

While Uber and Lyft structure their business models to classify drivers as independent contractors rather than employees, this doesn't make them completely immune from liability. You can access their insurance coverage, and in some cases—such as when the company failed to properly vet a driver with a dangerous history—direct claims against the company may be viable. The legal team at MichiganLawsuit.com can evaluate whether direct corporate liability applies to your case.

What if I was hit by an Uber driver but wasn't a passenger?

If you were in another vehicle, walking, or biking when struck by a rideshare driver, you can still file a claim. The available coverage depends on whether the driver had the app on and whether they had accepted a ride. Even with the app off, you can pursue the driver's personal auto insurance. When the app was active, rideshare company coverage applies based on the period.

Does it matter that I agreed to Uber's or Lyft's terms of service?

The terms of service contain arbitration clauses and various liability limitations. However, these agreements don't prevent you from pursuing legitimate injury claims. Michigan courts have limitations on how much companies can contractually limit their liability for negligence. An attorney can review how these terms may or may not affect your specific claim.

How long do I have to file a rideshare accident claim in Michigan?

Michigan's statute of limitations for personal injury claims is generally three years from the accident date. However, the PIP one-year notice requirement is much shorter and has no exceptions. If you're pursuing wrongful death claims on behalf of a deceased family member, different deadlines may apply. Given these varying deadlines, consulting with an attorney promptly protects your rights.

What if the rideshare driver doesn't have adequate personal insurance?

This is precisely why the rideshare company's insurance structure matters. During Period 3 (active trip), Uber and Lyft both provide $1 million in coverage plus uninsured/underinsured motorist protection. During Period 2, coverage is more limited. Understanding which period applies—and documenting it with screenshots—directly impacts available compensation.

Are rideshare accidents more common in winter?

Michigan's winter weather creates hazardous driving conditions that affect all motorists, including rideshare drivers. Ice, snow, reduced visibility, and shorter daylight hours contribute to increased accident rates statewide from November through March. Rideshare usage also tends to increase during winter as more people avoid driving in poor conditions, which means more rideshare vehicles on the road during the most dangerous months.

Should I accept a settlement offer from Uber or Lyft's insurance company?

Never accept a settlement offer without having it reviewed by an attorney. Insurance companies—including those representing rideshare giants—prioritize minimizing payouts. Initial offers often fail to account for future medical needs, long-term impacts on earning capacity, and non-economic damages you may be entitled to recover. Once you accept a settlement, you typically cannot pursue additional compensation later.

Contact a Michigan Rideshare Accident Attorney Today

If you've been injured in a rideshare accident anywhere in Michigan, the legal team at MichiganLawsuit.com is ready to help you navigate the complex insurance and liability issues these cases involve. Attorney Ross M. Gilders and his team offer free consultations to evaluate your case and explain your legal options.

Don't let insurance companies take advantage of the confusion surrounding rideshare accident claims. Contact us today at 855-529-6424 for a free consultation. We work on a contingency fee basis, meaning you pay nothing unless we recover compensation for your injuries.

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About the Author

This article was written by the legal team at MichiganLawsuit.com, led by attorney Ross M. Gilders. With offices in Royal Oak and Traverse City, the firm represents personal injury victims throughout Michigan, including those injured in auto accidents, slip and falls, dog bites, and workplace incidents. For more information, visit michiganlawsuit.com or connect with us on social media.

Disclaimer: This article provides general information about Michigan rideshare accident claims and should not be considered legal advice. Every case is unique, and outcomes depend on specific facts and circumstances. Contact a qualified attorney to discuss your particular situation.