# Who's Liable in a Rideshare Accident?

> Texas law leaves rideshare accidents murky: who pays when drivers hit cars?
- Title: Who's Liable in a Rideshare Accident? · Inc | Shortify
- Summary: Texas law leaves rideshare accidents murky: who pays when drivers hit cars? Texas law requires rideshare companies to cover injuries only if drivers show…
- Keywords: texas, rideshare, insurance, driverless, cybercab, indemnity, arbitration, Who's, Liable, Accident, Inc
- Source: Inc — https://inc.com/angel-reyes/who-is-liable-in-a-rideshare-accident/91424049
- Read time: 1 min
- Topics: texas, rideshare, insurance, driverless, cybercab, indemnity, arbitration
## How Texas Law Treats Rideshare Companies
Texas licenses Tesla’s Robotaxi company the same way it licenses Uber and Lyft.
## Driver Classification Under Texas Law
State law makes a rideshare driver an independent contractor for all purposes.
## Freyer v. Lyft Case
A driver lost consciousness mid-ride, causing passenger injuries.
## Insurance Coverage Thresholds
Coverage jumps from $50,000 to $1 million once a driver accepts a ride.
## Driverless Taxis in Texas
Tesla began charging fares in Austin for Cybercab rides without drivers.
## Waymo Recall in 2025
Waymo recalled over 3,000 vehicles for passing stopped school buses.
## 3 Steps to Prepare for Accidents
Read the agreement, ask your broker, and tell travelers to photograph the trip.
## Key takeaway

Texas law requires rideshare companies to cover injuries only if drivers show gross negligence, but driverless taxis shift liability to vehicle design.