What Is The Difference Between A Taxi And A Rideshare?

Rideshare is the latest addition to public transportation in many cities throughout the United States. The concept is simple. You access a rideshare company by using an app you download on your cell phone to request a ride. A rideshare driver near your location will be sent your information. If the driver accepts the job, you receive a confirmation with the driver’s information and photograph. The driver picks you up and your credit card is charged through the app — no need for cash or tipping. Seems easy enough?

The main difference between a taxi and a rideshare is that taxis are heavily regulated by the state. Some people believe that rideshare services are simply trying to cut corners and avoid complying with regulations. Can this create a problem in the event of an accident?

Insurance Coverage for Taxi and Rideshare Accidents

Opponents of rideshare services are quick to point out the safety issues because rideshare drivers are independent contractors. They call into question the measures taken by the rideshare company to ensure they are not dealing with a dangerous person. However, one issue that has overshadowed even the safety issue is that of insurance.

A taxi is required to carry liability insurance that covers passengers in the event of a motor vehicle accident. What taxi and rideshare accident attorneys are discovering is that rideshare drivers may not have sufficient liability insurance to cover damages in an accident. The rideshare company is hiding behind the fact that the drivers are contractors to avoid any liability for injuries sustained in a vehicle accident.

Therefore, if a rideshare driver carries minimum insurance or has no insurance at all, an accident victim may be left to pay his or her own medical bills if injured in an accident. The accident victim may also suffer other economic and non-economic damages without sufficient insurance to cover their losses. Taxi and rideshare accident attorneys understand the laws governing taxi and rideshare accidents including the evolving case law regarding the liability of rideshare companies.

Experienced West Palm Beach Taxi and Rideshare Accident Attorneys

Lytal, Reiter, Smith, Ivey & Fronrath, LLP can help you receive compensation for your damages, losses, and injuries from a taxi or rideshare accident. Call our office at 561-295-1480 to schedule a free consultation.