Illinois Rideshare Insurance Coverage Periods Explained

What insurance covers an Uber or Lyft crash in Illinois?

Illinois rideshare insurance depends on what the driver was doing in the app at the moment of the crash. When the driver is logged in and waiting for a request, the required liability coverage is at least $50,000 per person, $100,000 per incident, and $25,000 for property damage. Once the driver accepts a ride, the requirement rises to $1,000,000 in primary liability coverage. While a passenger is in the car, that coverage must also include $50,000 in uninsured and underinsured motorist coverage.

Uber and Lyft drivers work constantly in Chicago’s busiest areas: the Loop, River North, Wrigleyville, and the corridors to O’Hare and Midway. After a serious crash, the first question is which policy applies. In Illinois, the answer comes from the Transportation Network Providers Act (625 ILCS 57/). If you were hurt, Mixan Mahony, LLC can help you identify every policy that may apply.

The 3 periods of Illinois rideshare insurance

Period 1: App on, waiting for a ride request

The driver is logged into the Uber or Lyft app but has not accepted a trip. This period also covers the time after a ride ends and before the driver accepts another request or logs off.

• Required coverage: At least $50,000 per person and $100,000 per incident for death and personal injury, plus $25,000 for property damage.
• Contingent coverage: The rideshare company must keep contingent coverage in those same amounts. It applies if the driver’s own policy excludes rideshare use or does not carry those limits.

Period 2: Ride accepted, driving to the pickup

The driver has accepted a request and is on the way to the passenger.

• Required coverage: $1,000,000 in primary liability coverage for death, personal injury, and property damage. The coverage can come from the driver’s policy, the company’s policy, or both.
• No denial needed first: This coverage cannot depend on the driver’s personal insurer denying the claim first.

Period 3: Passenger in the vehicle

The passenger is in the car until they get out and the trip is complete.

• Required coverage: The same $1,000,000 in primary liability coverage continues until the transaction or ride is complete, whichever is later.
• UM/UIM coverage: Uninsured and underinsured motorist coverage of $50,000 applies from the moment a passenger gets in until the passenger gets out.

These amounts are minimums. The Act does not limit a rideshare company’s liability for amounts above the required coverage. You can read the insurance requirements in 625 ILCS 57/10.

What if the rideshare driver’s insurance has lapsed?

If the driver’s own insurance has lapsed or no longer exists, the rideshare company must provide the required coverage starting with the first dollar of the claim.

How Chicago regulates Uber and Lyft

The City of Chicago also licenses rideshare companies, drivers, and vehicles. Under the City’s rules, a rideshare company must be licensed and must meet requirements for driver background checks, driver training, vehicle inspections, and insurance. Drivers need a City TNP Chauffeur License and must display a TNP Vehicle Registration Emblem when operating in Chicago. These rules are in Chapter 9-115 of the Municipal Code of Chicago, and the City’s Transportation Network Providers page explains them. Whether a driver was licensed and registered can matter when you are building a claim.

Your own UM and UIM coverage after a rideshare crash

Illinois requires every auto policy to include uninsured motorist coverage. Underinsured motorist coverage works differently. It applies only when the at-fault driver’s total liability limits are less than your UIM limits (215 ILCS 5/143a-2). If your UIM limits are equal to or lower than the at-fault driver’s liability limits, you cannot recover on your own UIM policy. When UIM does apply, the most your insurer owes is your UIM limit minus the amount actually recovered from the at-fault driver’s coverage.

Common causes of rideshare crashes in Chicagoland

• Distracted driving: Watching GPS screens, accepting new ride requests, or messaging through the app while the car is moving.
• Hazardous pickups and drop-offs: Sudden stops in traffic lanes, bike lanes, or bus stops. These stops also create dooring risks for cyclists.
• Fatigue: Long shifts, sometimes across more than one platform.

Illinois deadlines and fault rules

• Statute of limitations: Most Illinois personal injury lawsuits must be filed within 2 years (735 ILCS 5/13-202). Claims against a local public entity, such as the CTA, generally must be filed within 1 year (745 ILCS 10/8-101(a)).
• Comparative fault: Under 735 ILCS 5/2-1116, you cannot recover if you were more than 50% at fault. Otherwise, your recovery is reduced by your share of the fault.
• Joint liability: 735 ILCS 5/2-1117 controls when more than one defendant can be held responsible for the full amount of certain damages.

Evidence that proves the app period

The driver’s app status decides which coverage applies, so preserve these records right away:

• Trip receipts and screenshots
• In-app messages
• The time of the crash
• Dashcam video
• The police crash report

A lawyer can send preservation letters asking Uber or Lyft to keep the driver’s login and trip data.

Frequently asked questions

Does Uber or Lyft insurance cover me if I was hit by a rideshare driver with no passenger?
It depends on whether the driver was logged in. If the driver was logged in and waiting for a ride, Illinois requires at least $50,000 per person and $100,000 per incident in coverage. The company’s contingent coverage applies if the driver’s own policy excludes rideshare use. If the driver had already accepted a ride, $1,000,000 in primary coverage applies.

Does a rideshare passenger get uninsured motorist coverage in Illinois?
Yes. While a passenger is in the vehicle, the required coverage includes $50,000 in uninsured and underinsured motorist coverage.

How long do I have to sue after a rideshare accident in Illinois?
Generally 2 years for personal injury under 735 ILCS 5/13-202. Claims against public entities have shorter deadlines.

Talk to a Chicago rideshare accident lawyer

You may have been a passenger, a driver or passenger in another car, a cyclist, or a pedestrian hit by an Uber or Lyft. In each case, the insurance available depends on facts that need to be documented quickly. Learn more about our Chicago rideshare accident lawyers and our practice areas, or call (312) 262-3971. Our office is at 444 W. Lake St., Suite 1707, Chicago. Get directions to Mixan Mahony, LLC.

This article is for general informational purposes and is not legal advice. Reading it does not create an attorney-client relationship.