Injured in a
Rideshare Accident?

Lyft Driver Alleges Murky Rideshare Insurance Coverage

Published on Dec 14, 2020 at 8:08 am in Insurance.

When a Lyft driver from Chicago got into a fender bender, he assumed the extra money he pays for rideshare insurance would cover the damages. Now, Vic Vendegna, of Schiller Park, is claiming he was misled by his insurance company.

While taking a passenger to the airport, Vendegna backed into a truck at the start of the trip. The truck did not sustain any damage, but Vendegna’s van had $1,800 worth of damage. Per his insurance policy, he reported the accident and expected the company, Founders, to cover the damage because of the extra money he pays for rideshare coverage.

According to Vendegna, Founders told him since was working at the time of the accident and had a passenger, its special rideshare coverage was not applicable. Only Lyft’s insurance coverage could handle it. Lyft, however, has a $2,500 deductible, so it could not help with the $1,800 repair.

In response to this new information, Vendegna said in an interview with CBSN Chicago, “What I infer from that is my rideshare endorsement – insurance that I upgraded – it’s basically just permission to use my vehicle that I own to go and drive for Lyft.”

Attorney Bryant Greening said this isn’t the first time he’s heard a story like this. Greening, of the Chicago-based firm Legal Rideshare, said many insurance policies all cover certain phases of the job—like when looking for a passenger or when actively driving them: “To adequately protect yourself, you need to go into your insurance company and say: ‘I want full coverage for rideshare work. I want to make sure that I am covered if I cause damage to somebody else’s person or property.”

Vendegna feels misled by the insurance company and is not feeling the financial pressure—especially with the holidays right around the corner. CBSN Chicago reached out to Founders and they decline to discuss the specifics of the case. After that, however, Founders called Vendegna and said they would cover the damage and send a check. He has not gotten a clear explanation as to why the insurance company changed its mind or whether he was actually supposed to be covered.

Insurance companies want to maximize their bottom line, so they’re not always forthcoming with policy specifics. If you’ve been involved in a rideshare accident as a passenger and sustained injuries or losses, it’s important to get in touch with a rideshare attorney from the Rideshare Law Group. We can evaluate your situation, determine what you’re owed, and pursue an injury claim that gets you the compensation you need and deserve. Contact us today for more information.