Can You Sue Lyft for an Accident Injury in New Jersey?

Imagine enjoying a Lyft ride down Ocean Avenue after a day at the beach. Suddenly, a driver runs a red light, turning your convenient ride into a frightening collision. Now, you are left with injuries, medical bills, and uncertainty about what to do next and might thinking to sue Lyft.

If you or a loved one were injured in a Lyft accident as a passenger, you have rights under New Jersey’s legal system. Keep reading to learn more about these rights from the rideshare accident injury lawyers at CourtLaw, who are here to support and guide you through this challenging time.

New Jersey’s No-Fault Insurance System and Rideshare Accidents

New Jersey’s No-Fault Insurance System and Rideshare Accidents

According to the New Jersey Department of Transportation, car accidents are rising throughout the state. The 2024 Crash Rates by Crash Severity Statewide report shows an increase in injury-related car accidents by more than 120 percent. As such, rideshare accidents, unfortunately, are also becoming increasingly common.

New Jersey follows a “no-fault” insurance system under the New Jersey Automobile Insurance Cost Reduction Act of 1998 (AICRA). This means that after a car accident, your insurance coverage, specifically your Personal Injury Protection (PIP) benefits, is your primary source for covering medical expenses and lost wages, regardless of who caused the accident. However, this also means you waive your right to sue Lyft after an accident for pain and suffering damages unless specific exceptions apply.

How No-Fault Impacts Lyft Accident Claims

A no-fault system might seem like a roadblock to suing Lyft after an accident. However, specific exceptions allow you to go outside of the no-fault system and pursue a claim against the at-fault party and their insurance company, including Lyft’s insurance.

Exceptions to the no-fault rule include serious injuries, such as:

• Disfigurement
• Dismemberment
• Fractures
• Loss of a fetus
• Permanent injury
• Wrongful death

If any of these apply to your or your loved one’s case, you might have the right to sue Lyft, Inc. after an accident for bad faith damages and pain and suffering. However, you must first attempt to negotiate a settlement in good faith. Rest assured, a rideshare accident attorney, like Karim Arzadi, will help you determine a fair amount that accounts for your current and future losses.

Lyft’s Insurance Coverage in New Jersey

Lyft maintains substantial insurance coverage to protect passengers and other parties involved in accidents. However, understanding the limits and when they apply will give you more information about the process and what to expect.

Coverage Limits and When They Apply

Lyft’s insurance coverage varies depending on the driver’s status at the time of your accident:

• App was off: If the driver was not logged into the Lyft app, nor were they providing a ride, their auto insurance policy applies. Therefore, you file a claim against the driver’s insurance if you meet the no-fault exception. The driver’s insurance policy limits will apply.
• App was on, waiting for a rider: Lyft provides liability coverage up to $50,000 per person/$100,000 per accident for bodily injury and $25,000 for property damage. You would file a claim against Lyft’s policy if you were a third party, such as another vehicle or pedestrian.
• App was on, driving to get rider: Lyft’s coverage increases significantly to $1,500,000 for third-party liability, uninsured/underinsured motorist, and contingent comprehensive/collision coverage. You would file a claim against Lyft’s policy if you were a third party, such as another vehicle or pedestrian.
• App was on, riding with driver: Lyft’s coverage increases significantly to $1,500,000 for third-party liability, uninsured/underinsured motorist coverage, and contingent comprehensive/collision coverage. You will file a claim against Lyft’s policy if you were a passenger and suffered from injuries.

If you struggle to determine the driver’s status during your accident, speak with a New Jersey rideshare accident law firm, like CourtLaw. We will review the facts of your case and investigate the driver to determine your full and fair legal options while handling the entire claims process.

Proving Negligence in a Lyft Accident Case

You must prove negligence to pursue a claim against Lyft’s insurer for an accident injury, including pain and suffering damages. Doing so also involves establishing that a negligent act occurred, such as:

• Driver negligence
• Failure to maintain their app
• Inadequate driver training
• Negligent hiring practices
• Poorly maintained vehicles
• Other forms of negligence

Building a strong case requires thorough documentation, such as police reports, witness statements, accident evidence, medical records, and expert witness testimony. The facts gleaned from evidence can prove negligence, giving you the right to obtain the amount to which New Jersey law says you are entitled to recover.

Get Answers From a New Jersey Lyft Accident Lawyer

Lyft accident cases often involve multiple parties and insurance companies. You have the right to navigate the claims process with a skilled New Jersey Lyft accident lawyer. CourtLaw has extensive experience handling accident injury claims and a deep understanding of applicable state laws and insurance regulations.

Our legal team will review the facts of your case, explain your legal rights, and fight to get you the compensation you deserve. Start getting answers at no cost or obligation. Schedule your free consultation with CourtLaw today by calling 732.442.5900 or messaging us below.