Uber’s Million Dollar Insurance Policy: What It Really Covers (Updated for 2025)
Many people have heard that Uber carries a “million-dollar insurance policy,” but fewer understand what that actually means, when it applies, and when it does not. The reality is that Uber’s insurance coverage depends heavily on what the driver was doing in the app at the time of the crash. Understanding these distinctions is critical if you’ve been injured in an Uber-related accident.
Below is a clear, up-to-date explanation of how Uber’s insurance works.
The $1 Million Policy Does Exist, But It Is Not Always Active
Uber does provide up to $1 million in third-party liability insurance, but that coverage only applies during specific periods of the ride.
The key factor is the driver’s status in the Uber app at the moment of the accident.
Uber Insurance Coverage by Driver Status
- Driver Is Offline (App Off)
If the Uber driver is not logged into the app, Uber provides no coverage at all.
Only the driver’s personal auto insurance applies.
- Driver Is Logged In but Waiting for a Ride Request
When the driver is logged into the app but has not yet accepted a ride, Uber provides limited contingent liability coverage, typically:
- $50,000 per person for bodily injury
- $100,000 per accident for bodily injury
- $25,000 for property damage
This is not the $1 million policy, and it only applies if the driver’s personal insurance does not fully cover the claim.
- Driver Has Accepted a Ride or Has a Passenger in the Vehicle
Once the driver accepts a trip and is either on the way to pick up a passenger or actively transporting one, Uber’s $1 million liability policy is in effect.
This is the phase most people are referring to when they talk about Uber’s “million-dollar insurance policy.”
Uninsured and Underinsured Motorist Coverage
During an active trip, Uber may also provide uninsured and underinsured motorist coverage, often up to $1 million, depending on the state. This coverage can be critical if another driver causes the crash but has little or no insurance.
Vehicle Damage Coverage Has Limits
Uber also offers contingent collision and comprehensive coverage during an active trip, but only if the driver already carries collision and comprehensive coverage on their personal auto policy. This coverage typically comes with a high deductible, often around $2,500.
Why Insurance Gaps Still Matter
Even with Uber’s policies in place, insurance gaps can and do exist. Accidents frequently occur during the “logged in but waiting” phase, when the $1 million policy is not active. In those situations, determining which policy applies — and in what order — can be legally and factually complex.
Additionally, insurance rules can vary by state, and coverage disputes are common in rideshare cases.
The Bottom Line
Uber does carry a substantial insurance policy, including up to $1 million in liability coverage, but that coverage is not automatic and does not apply in every situation. The exact coverage available depends on:
- The driver’s app status
- The timing of the crash
- State insurance laws
- The interaction between Uber’s policy and the driver’s personal auto insurance
If you were injured in an accident involving an Uber driver, it is critical to determine which coverage period applies before assuming a $1 million policy is available.
Injured in an Uber Accident?
Rideshare accident claims are very different from ordinary car accident cases. Identifying the correct insurance coverage early can make a significant difference in the outcome of your claim.
If you have questions about an Uber accident or want help determining what coverage may apply, contact Dismuke Law to discuss your situation.
