Are Uber and Lyft drivers eligible for workers’ compensation benefits in Phoenix?
Being your own boss and choosing your work hours are some of the perks that attract individuals to become drivers for Lyft and Uber. Workers interested in driving for these companies typically only need a driver’s license, a clean driving record, a 4-door vehicle and passenger insurance to get started in their new careers.
But what happens if you get injured on the job?
Are Uber and Lyft required to provide their workers with workers’ comp benefits? Are there any other ways to collect compensation? This article will explain everything you need to know about your rights as a rideshare driver after an injury in Arizona.
Rideshare industry statistics
In recent years, Lyft, Uber and other ridesharing services have grown in popularity in large metropolitan areas like Phoenix.
In fact, as reported in the Phoenix Business Journal, rideshare drivers are responsible for almost 500,000 hours of Phoenix commuter travel each year, adding more than $40 million to the Phoenix economy.
This is despite statistics from the Pew Research Center indicating that although 51% of people are aware of rideshare services, only about 15% report having used them. The service is most often preferred by college graduates making $75,000 or more annually.
Here are a few other notable statistics:
- Up to 67% of rideshare users also own and drive a personal vehicle.
- Of regular ridesharing users, 17% order the service daily or weekly.
- Up to 26% use the service monthly.
Common injuries suffered by Lyft and Uber drivers
Accidents are obviously the most common cause of injuries for rideshare drivers, but there are numerous other job hazards these workers are exposed to on the road. Some of the most common injuries include the following:
- Back and spinal cord injuries can vary from sprains to herniated discs to paralysis secondary to experiencing a rapid, violent impact during an accident.
- Brain injuries may occur when an impact causes the driver’s head to violently and rapidly move back and forth or side to side. These injuries might also happen if the driver’s head makes direct contact with a side window, the windshield or other internal vehicle structures.
- Stress-related injuries can occur when drivers continually deal with heavy traffic, irresponsible drivers or difficult passengers while working long hours. Problems that may arise include muscle tension, chronic headaches, anxiety and even post-traumatic stress disorder (PTSD) after a serious accident or violence from a customer.
- Burns on any region of the body happen if the vehicle ignites. Coming in contact with corrosive chemicals during an accident with a commercial truck can also pose burn risks.
- Repetitive stress injuries, such as carpal tunnel syndrome, are also common among drivers who spend hours in one position performing repetitive tasks, like steering.
- Internal injuries range from bruising to life-threatening internal bleeding. They can occur when the driver suffers blunt force trauma from slamming into the steering wheel, dashboard or door. Seat belts forcibly holding drivers in place may also cause trauma.
- Limb injuries may include lacerations from flying debris or fractures from impacting vehicle structures at a high velocity. Arms and legs might become crushed or even amputated should structures collapse and trap or cut limbs in the process.
- Facial injuries include bruises, lacerations or fractures suffered from flying debris, broken glass or impacting interior vehicle structures.
Are Uber drivers considered employees or independent contractors?
Any individual providing ride services for Lyft, Uber or other ridesharing companies is considered an independent contractor. These drivers are not classified as company employees.
What’s the difference between employees and independent contractors?
It’s important to understand the difference between an employee and an independent contractor because it significantly impacts your benefits after a work injury.
- Work preset schedules
- Perform job duties according to the mandates of an employer
- May be required to attend mandatory meetings or training courses
- Use company-provided equipment to perform their jobs
- May have to adhere to dress codes
- Must answer to 1 or more supervisors
- Often have health insurance, at least partially paid for by their employers
- Receive paychecks according to their company’s schedules
- Receive paid time off for illnesses, holidays and accrued vacation days
- Have taxes removed from their paychecks by their employers
- Have the freedom to choose the hours and days in which to provide services
- May work as frequently or infrequently as desired
- Have no supervisors
- Do not adhere to dress codes
- Are responsible for maintaining their vehicles
- Are responsible for passenger liability insurance
- Are responsible for personal health insurance
- Do not receive pay for days off related to illnesses, holidays or vacation time
- Calculate and pay income taxes quarterly as self-employed workers
- Drive their own vehicles
Can Uber drivers get workers’ comp?
In general, independent contractors cannot receive worker’s compensation benefits, but this is currently being challenged in many states across the U.S.
If you’re an Uber driver seeking compensation after an accident, it’s crucial to consult with a work injury attorney who is knowledgeable about the latest employment and labor laws in your state to understand your rights and options.
If I’m in an accident while driving for Uber, whose insurance covers the costs—mine or Uber’s?
Uber requires drivers to carry auto insurance that includes a rideshare clause, which covers passengers. Insurance companies break down rideshare events into 3 phases.
Phase 1
A rideshare driver may have the app turned off when not carrying a passenger. Should an accident occur while the app is off, the driver’s personal auto insurance assumes responsibility.
Phase 2
A driver might have an activated app while waiting for a passenger request. Should an accident occur during this time, Uber’s insurance provides third-party liability coverage up to the minimum amount mandated by law, which includes:
- Up to $25,000 for property damage
- Up to $50,000 for each person’s injuries
- Up to $100,000 for injuries incurred in each accident
However, the policy does not cover driver injuries or property damage.
Phase 3
A driver’s app is active, and they’re in the process of picking up or transporting a passenger. Uber’s insurance provides the driver with up to $1,000,000 in third-party liability coverage as long as they’re not at fault for the accident, and the responsible driver is uninsured or underinsured.
Rideshare accidents in the news
Distracted Uber driver kills pedestrian in Phoenix
Phoenix police reported that in March 2018, an Uber driver was driving an autonomous SUV when it struck and killed a pedestrian. The driver was reportedly watching a television program on her smartphone at the time and not monitoring the road while the vehicle was in self-driving mode. The driver is currently facing charges at trial.
Lyft driver and multiple others killed in Phoenix street race
In July 2022, Phoenix police reported that 2 teens in separate vehicles engaged in street racing on 43rd Avenue near the intersection of Thunderbird Road. They caused a multiple vehicle collision that injured 6 people and killed 4 more, including a Lyft driver and 3 passengers.
Contact an experienced Phoenix work injury attorney
If you’ve been injured at work in a car accident or suffered any other work-related injury or illness, trust the experienced work injury attorneys at the Law Offices of Robert E. Wisniewski to help you with your claim. We have extensive experience with all types of occupational accidents and injuries and will fight to ensure that you get the compensation you deserve, just like we have for countless clients over the last 45 years.
