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For years, one fact made rideshare injuries simpler than other crashes. A passenger in an Uber or Lyft rode under $1 million in insurance, almost no matter who caused the wreck. That stopped being true on January 1, 2026.
A new California law cut one piece of that protection by 94 percent. The change does not touch every claim. It hits one specific situation, and that situation is common on Los Angeles roads. If you were hurt in a Los Angeles Uber accident this year, the first question is now which policy applies.
What Changed on January 1, 2026
The Legislature passed Senate Bill 371 in 2025, and the Governor signed it that October. The bill amended the insurance rules for transportation network companies, the legal term for Uber and Lyft.
Before the change, rideshare companies had to carry $1 million in uninsured and underinsured motorist coverage. That coverage protected passengers when some other driver caused the crash and could not pay. The new requirement is $60,000 per person and $300,000 per incident.
The current text sits in Public Utilities Code section 5433. The same section makes the rideshare company solely responsible for that coverage. It also makes the company’s policy primary over any other uninsured motorist coverage that applies.
The Part of the Law That Stayed the Same
Many summaries skip this point. Senate Bill 371 did not cut the liability policy. When your own rideshare driver causes the crash, section 5433 still requires $1 million in primary liability coverage. That policy covers death, personal injury, and property damage.
That coverage runs from the moment the driver accepts a ride request. It lasts until the ride is complete or the driver closes out the trip in the app, whichever comes later. A passenger whose driver ran a red light on Sunset Boulevard has the same $1 million available as before.
So the law now splits passengers into two groups. The split depends entirely on who was at fault.
Who Caused the Crash Now Decides Your Coverage
The same injuries can now lead to very different recoveries. Three situations show how.
Your Rideshare Driver Was at Fault
You claim against the rideshare company’s $1 million liability policy. The 2026 change does not affect you. You still have to prove the driver’s negligence and document your losses.
Another Insured Driver Was at Fault
You claim first against that driver’s own liability insurance. California’s minimum policy pays only $30,000 per person. A serious injury can pass that figure in a single hospital stay.
When the at-fault policy runs out, the rideshare underinsured motorist coverage is the next layer. That layer used to reach $1 million. It now stops at $60,000 per person.
The Other Driver Had No Insurance or Fled
This is where the cut bites hardest. An uninsured or hit-and-run driver leaves you with no at-fault policy at all. The rideshare uninsured motorist coverage becomes your main source of recovery, and it now caps at $60,000.
The $300,000 per incident limit matters less in most cases. It binds only when more than five passengers each claim the full $60,000. For a typical ride, the $60,000 per person cap is the number that counts.
What $60,000 Looks Like Against a Serious Injury
Consider a passenger on the 101 whose ride gets rear-ended by an uninsured driver. She breaks her wrist and needs surgery. Her medical bills reach $90,000, and she misses two months of work.
In 2025, the rideshare policy could have covered her bills, her lost pay, and her pain. Today the same policy stops at $60,000. That amount does not even cover the medical bills. She has to look elsewhere for the rest.
Nothing about her injury changed between those two years. Only the statute did. Passengers with spinal injuries, head trauma, or multiple surgeries face a much wider gap than hers.
Where Else Compensation Can Come From
A lower rideshare limit makes every other source of recovery matter more. A careful investigation looks at each of these:
- The at-fault driver’s full policy. Some drivers carry far more than the minimum, and some carry an umbrella policy on top.
- The at-fault driver’s employer. A driver who was working at the time may bring a commercial policy into the case.
- Your own auto policy. Your uninsured and underinsured motorist coverage may follow you as a passenger in someone else’s car. Your policy language controls whether it stacks on top of the rideshare limit.
- Medical payments coverage. This optional coverage on your own policy pays medical bills without regard to fault.
- Your health insurance. It can pay for treatment now, though the plan may claim repayment from your settlement.
- Other responsible parties. A defective vehicle part or a dangerous road condition can add a defendant with separate coverage.
The change also offers a lesson for anyone who rides often. Check the uninsured motorist limit on your own auto policy today. That coverage usually costs little, and it may now be the largest protection you have in the back seat.
The Driver’s App Status Still Matters
The limits above apply while a passenger is in the car. Section 5433 sets lower numbers for other moments.
A driver who is logged in but still waiting for a request carries less coverage. The law requires at least $50,000 per person and $100,000 per incident for injuries, plus $30,000 for property damage. An excess policy of $200,000 sits above those limits. A driver with the app off has only a personal policy.
This matters most to people outside the rideshare vehicle. A pedestrian or another motorist struck by a rideshare driver needs to know the driver’s status at that exact moment. The company’s records answer that question, and an attorney can demand them.
What to Do After a Los Angeles Uber Accident
The steps you take in the first week now carry more weight, because coverage disputes start early.
- Call 911 and ask for a police report, even if the driver wants to handle it privately.
- Screenshot your trip screen, receipt, and route before the app updates.
- Photograph every vehicle, every license plate, and the scene.
- Collect insurance details from every driver involved, not only your own.
- Report the crash through the app, but keep your description short and factual.
- Get medical care right away and follow the treatment plan.
- Find your own auto policy and check its uninsured motorist limit.
- Talk to a lawyer before you give any insurer a recorded statement.
Deadlines apply as well. California generally allows two years to file a personal injury lawsuit. A claim against a city or county requires a formal notice within six months. Uninsured motorist claims carry their own strict time limits under the policy and the Insurance Code.
How Milano Legal Group Can Help
Rideshare claims in 2026 are coverage puzzles as much as injury cases. We pin down who caused the crash, confirm the driver’s app status, and identify every policy that applies. Then we stack those policies in the right order so no available dollar goes unclaimed. Learn how we handle these cases on our Uber and Lyft accidents page. You can also see our local practice on our Los Angeles car accident lawyer page.
We work on a contingency basis, so there are no fees unless we win. Call Milano Legal Group today at 855-545-1777 for a free, no-obligation case evaluation. Serving clients throughout Arizona, California, Florida, and Texas.
