The Uber and Lyft $2,500 deductible: when you pay it and how to get it back

General information, not legal advice. This site is not a law firm and isn't affiliated with Uber, Lyft or any insurer. Company terms change, and every situation is different. Check the sources linked below and your own policy.

The short answer

The $2,500 is the deductible on coverage Uber and Lyft say they carry for damage to your own car. Under their published terms, it applies only after you've accepted a ride (on the way to a pickup or with a passenger) and only if your personal policy includes comprehensive and collision. The coverage pays up to your car's actual cash value, minus $2,500. It's a company term, not California law. If another driver caused the crash, you can claim against that driver's insurance instead, which doesn't involve the $2,500.

Sources: Uber insurance page · Lyft insurance page

Where the $2,500 comes from

California's rideshare insurance law, Public Utilities Code §5433, requires liability coverage, which pays other people when you cause a crash. It doesn't require coverage for your own car. When the Department of Insurance described the state's rideshare law, it said the law "does not require TNCs to provide collision or comprehensive auto insurance for drivers" (CDI, 2016).

So the coverage for your car, and its deductible, are whatever the company chooses to offer. Here's what each says on its own page, as of October 29, 2026:

Uber: coverage "to repair your car, up to the actual cash value, with a $2,500 deductible, contingent on your personal insurance including comprehensive and collision coverage." Uber says the deductible "may be $1,000 if you're operating a vehicle obtained through the Uber Vehicle Marketplace" (Uber).
Lyft: "If a driver obtains comprehensive and collision on their personal auto policy, Lyft then maintains contingent comprehensive & collision coverage up to the actual cash value of the car ($2,500 deductible)" (Lyft).

"Contingent" here means the company's coverage for your car depends on you carrying comprehensive and collision on your own policy.

When it applies, and when there's no coverage at all

App status	Coverage for your own car (company terms)	Your deductible
App off	Your personal policy, if it has collision and comprehensive	Your personal policy's deductible
App on, waiting for a request	Uber: none. Lyft lists its car coverage only for en route and on-ride. Your personal policy usually excludes this time unless you have a rideshare endorsement (PUC §5434(b)).	Depends on your endorsement, if any
Ride accepted, on the way to pick up	Company contingent coverage, up to actual cash value	$2,500
Passenger in the car	Company contingent coverage, up to actual cash value	$2,500
Any period, but you carry liability only	None from the company. Uber: "If you only maintain liability insurance on your personal vehicle, you will not be eligible for contingent comprehensive and collision coverage."	Not applicable

Two other limits from Uber's page: its insurance doesn't pay for a rental car while yours is being repaired, and it doesn't cover regular maintenance.

Actual cash value matters too. If repairs would cost more than the car is worth, the most this coverage pays is the car's value minus $2,500.

If the other driver caused the crash

Being on a ride doesn't change who caused the crash. If another driver was at fault, you generally have two paths:

Claim directly against the at-fault driver's insurer. This is a claim on their liability coverage for the damage they caused, so the rideshare deductible doesn't come into it. It can take longer, especially if fault is disputed.
Use the rideshare company's coverage for your car, pay the $2,500 deductible, and try to get the deductible back from the at-fault driver.

If you take the second path, ask the insurer handling your claim, in writing, whether it will go after the at-fault driver (called subrogation) and whether it will include your deductible. California's claims regulations require an insurer to tell a first-party claimant in writing whether it intends to pursue subrogation and, if it doesn't, that any recovery is up to you. When an insurer does make a subrogation demand, it must include the first-party claimant's deductible and share recoveries proportionately (10 CCR §2695.7(p)–(q)). Ask the insurer to confirm in writing how those rules apply to your claim, since the coverage is bought by the company, not by you.

If nobody recovers the $2,500 for you, you can ask the at-fault driver or their insurer to pay it, and if they won't, sue in small claims court. An individual can sue for up to $12,500 there (CCP §116.221; California Courts). The general deadline for a lawsuit over damage to a car is three years (CCP §338(c)(1)).

If the crash also left your car worth less after repairs, that loss can be part of a claim against the at-fault driver too. DentedValue's diminished value guide explains how that works in California.

Can you lower the $2,500?

Rideshare endorsement. California lets personal insurers sell a policy or endorsement that covers app time (PUC §5434(c)). The Department of Insurance described one approved endorsement as keeping optional coverages like collision and comprehensive in force in Period 1 and providing the driver's other coverages "during all periods" of rideshare driving (CDI, 2016). Whether an endorsement pays your car damage with your usual deductible instead of the $2,500 depends on the product. Ask your insurer that exact question and get the answer in writing.
Uber's optional products. Uber's page describes optional Vehicle Interruption Coverage, which it says pays a $2,500 lump sum if a covered accident leaves your car inoperable for at least 24 hours, "if VIC is available where you drive." Check in the app whether it's offered in California and what it costs before relying on it.

Steps after a crash during a ride

Report the crash in the app as soon as you reasonably can. Uber says to use the Safety Toolkit's "Report a crash" option; Lyft has a 24/7 claims line from its insurance page.
Write down your app status (waiting, on the way, or passenger aboard) and screenshot it if you can. It decides whether the $2,500 coverage applies at all.
Get the other driver's insurance information and photos of both cars.
Tell your own insurer the truth about what you were doing. Your personal policy may not cover app time, but it may require notice of the crash, and knowingly making a false or misleading statement about a material fact in an insurance claim is a crime (Penal Code §550).
Decide which path to take for your car: the at-fault driver's insurer, or the company's coverage with the $2,500 deductible.
Keep every receipt and letter. If you pay the deductible, you'll need proof to get it back.

Common questions

Is the $2,500 deductible required by California law?

No. California's rideshare insurance law, Public Utilities Code §5433, sets liability coverage that pays other people. It doesn't require rideshare companies to cover damage to your own car. The $2,500 deductible is part of coverage Uber and Lyft say they choose to carry, so it's their own term and can change.

When does the $2,500 deductible apply?

According to Uber's and Lyft's own insurance pages, it applies to their contingent collision and comprehensive coverage for your car, which applies once you've accepted a ride (on the way to pick up or with a passenger) and only if your personal policy includes comprehensive and collision.

What if I only have liability insurance on my car?

Then, according to both companies, their coverage for your car doesn't apply. Uber says that if you only carry liability on your personal vehicle, you won't be eligible for its contingent comprehensive and collision coverage.

If someone hits me, do I still pay the $2,500?

It depends on which insurance you claim through. If you use the rideshare company's coverage for your car, the deductible applies first. You can also make a claim directly with the at-fault driver's liability insurer, which doesn't involve your deductible. If you already paid the deductible, ask the insurer in writing whether it will try to recover it from the at-fault driver.

Does Uber or Lyft cover my car while I'm waiting for a request?

Uber says there's no Uber-maintained collision or comprehensive coverage while you're online but haven't accepted a trip. Lyft lists its contingent collision coverage only for when you're en route to a pickup or on a ride. Your personal policy usually doesn't cover app time either unless it has a rideshare endorsement (PUC §5434(b)).

How long do I have to sue over damage to my car?

California's general deadline for a lawsuit over damage to personal property, such as a car, is three years under Code of Civil Procedure §338(c)(1). Insurance policies have their own, often much shorter, notice requirements, so report a crash right away.

Sources

The sources this guide cites. We check the guide against these sources before publishing and each time we review it.

Published October 29, 2026 · Last reviewed October 29, 2026 · How we write and review guides