After a crash involving an Uber, Lyft, or other rideshare vehicle in Arizona, one question can matter more than almost any other: what was the driver's app doing at the moment of impact?
Arizona's transportation network company statute, A.R.S. § 28-4038, ties the required insurance to the driver's status — and the differences between tiers are enormous.
The three tiers
Tier 1 — App off. The driver is just a private driver. Only their personal auto policy applies, and personal policies commonly exclude commercial activity.
Tier 2 — App on, no ride accepted. The statute requires primary liability coverage of $25,000 per person / $50,000 per accident for bodily injury and $20,000 for property damage. For a serious injury, these limits can be exhausted quickly.
Tier 3 — Ride accepted / passenger in the vehicle. The statute requires primary commercial liability coverage of at least $250,000 per incident — rising to $1,000,000 per incident when a passenger is occupying the vehicle. The statute also requires uninsured motorist coverage during this period, which can matter when a third driver causes the crash and carries little or no insurance.
Why this matters in practice
The gap between tiers is the whole case. The same crash, at the same intersection, can involve state-minimum coverage or a seven-figure policy depending on app status. Establishing that status — with app data, ride logs, and GPS records — may decide what recovery is realistically available.
App evidence may not wait. Ride logs and driver-status data are held by the companies, and preserving them may require prompt, formal requests. Acting early can make a significant difference.
The company usually isn't the defendant. Rideshare drivers are generally classified as independent contractors, which can limit the companies' direct liability for a driver's negligence. Claims typically proceed against the applicable insurance coverage rather than against the company itself — which is exactly why the tier question dominates these cases.
If you were hurt in a rideshare-involved crash — as a passenger, another driver, a pedestrian, or the rideshare driver — a licensed Arizona attorney can identify which coverage tier applies and what evidence needs preserving.
This is general information about Arizona law, not legal advice. Statutory text controls; consult a licensed Arizona attorney about your specific situation.