Uber, Lyft, and Ridesharing in Las Vegas, Nevada
Approved new Nevada laws
In May 2015, the Governor of Nevada, Brian Sandoval, passed legislation (AB175 and AB176) that officially allows ridesharing services like Uber, Lyft, and others to operate in Nevada. The same demand that propelled many major U.S. cities was driving the push for ridesharing here in Las Vegas.
Ridesharing services like Uber and Lyft are, without a doubt, convenient and often cheaper alternatives to regular taxi services, especially if you are using Uber Pool or Lyft Line. However, there are many challenges that ridesharing companies are facing: who is liable in case of an accident, occasional problems with the mobile app, and an upcoming challenge - self-driving cars.
What is rideshare?
Rideshare is a generic term. It means the driver uses a private vehicle to transport one or more passengers for a fee. You can request a ridesharing ride through a smartphone app 24/7.
Ridesharing basics explained
Ridesharing companies (Uber, Lyft, and others) consider themselves technology platforms, not transportation companies. However, they are regulated by the Nevada Transportation Authority and face the same issues as any traditional transportation company - liability in the event of a car accident and fair pricing during peak usage times.
Because every city has unique issues and regulations, ridesharing companies have management offices in every city where they operate. There is an Uber office in Las Vegas and a Lyft office in Las Vegas.
The drivers who work for the ridesharing companies are independent contractors; they work on commissions and are not provided with healthcare or other benefits.
Many drivers work for both companies, Uber and Lyft.
Do I need a business license to work for Uber or Lyft?
Now you do. On June 2, 2017, Governor Sandoval signed Bill SB 554, which requires any driver working for a transportation network company (Uber, Lyft, and others) to obtain a Nevada State business license no later than six months after the start and then renew this licensee annually.
Also, the driver must obtain a Clark County business license.
Are drinks allowed in Uber or Lyft cars in Nevada?
Same as in a taxi, in Nevada, consuming alcohol in the passenger seat of an Uber or Lyft car is unlawful. For more information about drinking in public, read our article, Open Container Laws.
Do Uber or Lyft drivers need commercial insurance?
No. Uber or Lyft drivers are not required to carry commercial carrier insurance. In 2021, Uber insurance covered up to $1.5 million per accident when the driver is "on a job." The same is true about Lyft.
Uber and Lyft define "being on the job" as when a passenger is in a car, or the driver is on the way to pick up the passenger.
So, if you were a passenger in an Uber or Lyft vehicle when an accident occurred, you could rest assured that there will be an insurance policy to cover necessary and reasonable medical expenses.
In all other cases, the driver's car insurance is in effect.
Exception from the rule
If the mobile app was ON during the accident, but there was no passenger in the car, no ride request, and the personal car insurance denied the claim, Uber would provide up to $50,000 in liability coverage for its drivers.
Although $50,000 is much more than Nevada's minimum liability policy amount of $25,000, it is still well below a million-dollar commercial policy that a licensed taxi vehicle carries at ALL times.
What insurance companies cover Uber and Lyft drivers?
Farmers Insurance, State Farm, Allstate Insurance, Liberty Mutual Insurance, Acuity, and Mercury Insurance offer Nevada drivers Uber and Lyft insurance policies. These so-called "policy additions" or "riders" give the driver insurance coverage when the Uber and Lyft Apps are on, but no passenger is in the car, and there is no ride request. There could be an extra charge for it, but it is not always the case.
Gap insurance
Farmers Insurance is now offering the so-called gap insurance in Nevada. The gap protection covers accidents when the driver is between the clients or any gap in Uber's commercial carrier insurance coverage.
Ridesharing insurance
Some insurance companies (e.g., Geico) now offer comprehensive collision coverage (full coverage) for drivers who use personal vehicles to work for Uber and Lyft or deliver packages for Amazon Prime.
This ridesharing insurance includes accident coverage regardless of whether the App was ON or OFF or passengers in a car.
Nevada doesn't have this insurance yet.
Driving and texting dilemma
As in many other states, driving and texting in Las Vegas, Nevada, is illegal. However, the idea behind the Uber App, Lyft App, and other ridesharing services is that all communication with the central communication hub is done via text messages. All of this constant texting can lead to accidents.
Uber or Lyft accident claims
Although Uber, Lyft, and other ridesharing companies will ultimately help improve how people move around our bustling city, they will also affect the traffic in Las Vegas or the number of car accidents.
We wrote several articles that explain:
- Different scenarios when Uber or Lyft insurance is applied
- What happens when out-of-state visitors or foreigners are injured in an accident caused by Uber or Lyft drivers
- What you need to know before becoming an Uber or Lyft driver
- The co-payment amount that drivers are responsible for after an accident - when commercial insurance is in effect
- Who is a driver supposed to contact in case of an accident
- What to do if you got injured in a car accident that involved an Uber or Lyft driver
- UberPool, UberX, Uber XL or Lyft, Lyft Line, Lyft Lux: Does it affect the accident claim?
- Can Medpay help the at-fault driver?
- How do we determine full and fair compensation in Uber or Lyft accidents?
- The victim's compensation when multiple passengers or multiple vehicles are involved in an accident
We invite you to read these articles to understand better the laws and rules surrounding Uber or Lyft car accidents in Nevada.
We can help
Whether you were injured as a passenger in the Uber or Lyft car, got in a collision with an Uber or Lyft motor vehicle, or if you were a pedestrian and got injured by an Uber or Lyft driver, you want to submit an accident claim and get compensated for your expenses. Your past and sometimes future medical bills, auto repairs (in case of a car collision), lost wages, and pain and suffering could be covered.
Our office handles ridesharing car accidents all the time. If you get injured in a crash that involved a ridesharing company driver, call us at 702-432-1000.
The initial consultation is always free.
We take all personal injury cases on a contingency basis, which means - you don't have to pay until we get you money.
Last updated on May 21, 2024.
Note: We plan to update this page with the new legal information about Uber and Lyft in Las Vegas as soon as it becomes available to us. If you didn't find what you were looking for, come back soon.
