By Ben Marmont
California’s legal landscape just shifted under your feet. If you use Uber or Lyft, you need to pay attention. On January 1, 2026, new laws took effect that changed everything for accident victims. These changes aren't just legal footnotes. They represent a massive shift in how much money you can recover after a crash.
At Fairmont Law Firm, we see the aftermath of these accidents every day. We see the pain, the medical bills, and the confusion. We are here to guide you through this new reality. You deserve to know how these laws impact your safety and your wallet.
The Massive Shift in California Rideshare Laws
For years, California led the nation in protecting rideshare passengers. If you were hurt in an Uber, a $1 million insurance policy was there to catch you. That safety net just got much smaller. Senate Bill 371 (SB 371) has officially changed the game.
Governor Newsom signed this bill into law late last year. It went into effect four months ago. Since then, the conversation on Reddit and Avvo has been exploding. People are realizing that their protection has been slashed.
We believe you should never be left in the dark. This law was framed as a way to lower ride prices. The industry claimed insurance costs were making Ubers too expensive. They said insurance accounted for nearly 33% of your fare. But at what cost does this "saving" come?
SB 371: The $700,000 Gap That Could Leave You Stranded
Let’s look at the numbers. They are startling. Before 2026, Uber and Lyft provided $1 million in Uninsured/Underinsured Motorist (UM/UIM) coverage. This covered you if a driver with no insurance hit your Uber. It also covered you if your Uber driver was at fault and the damages were high.
The old law provided $1,000,000 in coverage.
The new law (SB 371) requires only $60,000 per person.
This is a 70% reduction in coverage for individual victims. If you suffer a catastrophic injury, $60,000 will barely cover the emergency room visit. It won't cover long-term rehab. It won't cover your lost wages. It won't cover the fact that your life has been turned upside down.
Why This Law Matters to Every California Resident
This isn't just about Uber passengers. This affects everyone on California roads. If an Uber driver hits you while you are in your own car, these new limits apply. If you are a pedestrian or a cyclist, these limits apply.
The Consumer Attorneys of California (CAOC) fought hard against this. They argued that this bill protects billion-dollar corporations instead of people. We agree. When coverage limits drop, the financial burden shifts to you.
You might think your own insurance will cover the rest. But many people don't carry enough UM/UIM coverage on their personal policies. This law creates a massive "protection gap." We are here to help you close it.
The Corporate Agenda vs. Your Recovery
Uber and Lyft spent millions lobbying for this change. They want to protect their bottom line. They want to limit their liability. By lowering the insurance requirements, they reduce their operating costs.
But your medical bills haven't gone down 70%. The cost of a new car hasn't gone down 70%. Your pain and suffering are just as real as they were last year. This is why you need a personal injury lawyer california who knows how to fight these corporate giants.
How Your Uber Accident Case Changes in 2026
If you were in an accident today, the rules are different than they were six months ago. The strategy for your case must adapt. We have already adjusted our approach to account for these lower limits.
The Passenger Problem
As a passenger, you used to have a massive insurance policy behind you. Now, if your driver is at fault, we have to look much deeper. We look for other sources of recovery. We investigate the driver’s personal history. We look at vehicle maintenance records. We leave no stone unturned to find the compensation you deserve.
The Third-Party Complication
If you are hit by an Uber, the situation is even more complex. Uber drivers are often "underinsured" relative to the damage they can cause. A 4,000-pound vehicle traveling at 65 mph causes devastating damage. A $60,000 individual limit is an insult to victims of such crashes.
Don’t Let Uber’s Legal Team Bully You
Uber’s legal department is one of the most aggressive in the world. They will use the new 2026 laws to try and settle your case for pennies. They will point to the $60,000 limit and tell you that’s all there is.
Don't believe them.
There are often other ways to secure the funds you need. Was there a vehicle defect? Was the driver working too many hours? Did Uber fail to perform a proper background check? We ask the tough questions. We hold them accountable.
We serve clients across all 58 California counties. Whether you were hit in Los Angeles, San Francisco, or a rural highway in Kern County, we are your advocates. We offer a Free Case Evaluation 24/7. You can call us right now.
Steps to Take Immediately After a Rideshare Crash
The moments after a crash are chaotic. Your adrenaline is pumping. You might be in shock. But what you do next will determine the success of your case. Follow this checklist to protect your rights under the new 2026 laws.
☑ Check for injuries. Your health is the priority. Call 911 immediately if anyone is hurt.
☑ Call the police. A formal police report is essential evidence. Do not let the driver talk you out of it.
☑ Screenshot the Uber app. Capture your trip details, the driver’s name, and the vehicle info. This data can disappear once the ride is "canceled" or ended.
☑ Take photos and video. Capture the damage to all cars. Take pictures of the road conditions and traffic signs.
☑ Gather witness info. If anyone saw the crash, get their name and phone number.
☑ Seek medical attention. Even if you feel "fine," some injuries like whiplash or internal bleeding take hours to show symptoms.
☑ Never give a recorded statement. Insurance adjusters will call you quickly. They want to trip you up. Tell them to call your lawyer.
☑ Contact Fairmont Law Firm. We will take over the communication so you can focus on healing.
Why Choosing the Right Personal Injury Lawyer California Matters
You might be searching for a "car accident lawyer near me." You will find hundreds of results. But not every lawyer understands the nuances of SB 371 and AB 1340.
AB 1340 is another new law that changed driver bargaining rights. While it focuses on labor, it adds another layer of complexity to how these companies operate. You need a firm that stays ahead of the curve.
At Fairmont Law Firm, we don't just "handle" cases. We dominate them. We have a track record of securing high-value settlements for our clients. We understand the trauma you are going through. We treat you like family, but we fight like lions.
Our "Zero Fee Until We Win" Promise
We know you are worried about money. You have medical bills piling up. You might be missing work. The last thing you need is another bill.
That is why we work on a contingency fee basis.
Option 1: You pay nothing upfront.
Option 2: We cover all the costs of the investigation and litigation.
Option 3: You only pay us if we win your case.
If we don't recover money for you, you owe us zero. It is that simple. This allows you to go toe-to-toe with Uber without any financial risk.
Frequently Asked Questions About SB 371
Does the new law apply if my accident happened in 2025?
No. The new insurance limits apply to accidents occurring on or after January 1, 2026. If your crash happened before then, you are likely still covered under the $1 million policy.
What if $60,000 isn't enough to cover my surgeries?
This is a very common problem. We will look for additional insurance policies, including your own "Underinsured Motorist" coverage. We also investigate if the rideshare company was negligent in their hiring or retention of the driver, which could open up other avenues for recovery.
Can I still sue Uber directly?
Yes. While the insurance limits have changed, the ability to hold the company responsible for negligence remains. We specialize in finding the leverage needed to make them pay.
Is it true that ride prices went down because of this law?
Uber and Lyft claimed they would pass the savings to riders. However, many users report that fares remain high while driver pay remains low. The only clear winner so far has been the corporate bottom line.
The Fairmont Law Firm Difference
When you call us, you aren't just getting a lawyer. You are getting a team of experts dedicated to your recovery. Josh Yaghoubzadeh and the entire team at Fairmont Law Firm have built a reputation for excellence across California.
We know the tactics the insurance companies use. We know they want to devalue your claim. We don't let them. We use the latest technology and expert witnesses to build a bulletproof case for you.
Your life can turn upside down in seconds. A simple trip to the grocery store or a ride home from a bar can end in a catastrophic crash. When that happens, the weight of the world is on your shoulders. Let us carry that weight for you.
Your Path to Justice Starts Now
The laws in California have changed, but our commitment to you has not. We are still the same aggressive, compassionate firm you can trust. We are available 24/7 to answer your questions.
Step 1: Contact us for a Free Case Evaluation.
Step 2: We investigate your crash and identify all liable parties.
Step 3: We handle all negotiations with the insurance companies.
Step 4: You focus on your recovery while we fight for your maximum compensation.
Don't wait. Evidence disappears and witnesses forget details. With the new 2026 insurance limits, being the first to file a claim can be critical if there are multiple victims.
Call Fairmont Law Firm today. We are the personal injury lawyer california trusts. Zero fee until we win. We are ready to fight for you.