Effective January 1, 2026, SB 371 reduced California rideshare Period 3 passenger UM/UIM coverage from $1 million to the current, reduced figure of $60,000 per person and $300,000 per accident. The $1 million Period 2/3 liability coverage for injuries the rideshare driver causes to others remains in place under Public Utilities Code section 5433.
Key Takeaways
- SB 371 was signed October 3, 2025, and its California rideshare UM/UIM change took effect January 1, 2026.
- Since January 1, 2026, the current, reduced Period 3 passenger UM/UIM figure is $60,000 per person and $300,000 per accident.
- The TNC, not the driver, is responsible for maintaining the required Period 3 UM/UIM coverage.
- The $1 million Period 2/3 TNC liability coverage for injuries caused by the rideshare driver remains in place.
California's rideshare insurance rules changed on January 1, 2026, and the difference matters most when a passenger is injured in a trip involving an uninsured or underinsured driver. For a Los Angeles passenger, the change is not that every rideshare policy became smaller: SB 371 reduced a particular Period 3 UM/UIM coverage requirement while the stated $1 million Period 2/3 liability coverage remains. This guide explains the effective date, who is affected, and how to keep the two coverage types distinct. It also identifies the trip records needed to evaluate which rule applies.
What SB 371 changed and when it took effect
SB 371 reduced the required California rideshare uninsured/underinsured motorist coverage for a passenger in the vehicle during Period 3. The change was signed October 3, 2025, and became effective January 1, 2026. Before the change, the required amount was $1 million; since the effective date, the current, reduced UM/UIM figure is $60,000 per person and $300,000 per accident.
The timing is important. A claim arising from a trip before January 1, 2026 should not be described by simply applying the post-change figure without reviewing the applicable date and coverage terms. For a trip on or after the effective date, the reduced figure is the one stated in the verified California facts for Period 3 passenger UM/UIM. The claim record should include the collision date and the passenger's status in the vehicle.
SB 371 also assigns responsibility for maintaining this required Period 3 UM/UIM coverage to the TNC rather than the driver. That detail matters when identifying which policy and insurer to contact. It does not mean that the driver has no other insurance or that an injured passenger has no other claim options; it identifies who must maintain this particular coverage under the verified rule.
Why the UM/UIM reduction is a separate coverage issue
UM/UIM coverage and liability coverage are different parts of the insurance picture. UM/UIM applies to a situation involving an uninsured or underinsured motorist; the rideshare liability policy covers a different category of claim. For a passenger relying on coverage because another driver does not have sufficient insurance, a reduced UM/UIM limit can materially change the amount of required coverage available through that path.
The confirmed rule also states that the $1 million liability coverage for injuries the rideshare driver causes to others remains in place during Periods 2 and 3. These facts should be presented together: the UM/UIM amount was reduced, while the specified liability coverage remains. It is inaccurate to turn the change into a statement that every rideshare claim is now capped at the reduced UM/UIM number.
A passenger generally has access to the TNC's $1 million Period 2/3 policy while in the vehicle, regardless of which driver caused the crash, according to the verified facts. That passenger coverage point does not erase the distinction between liability and UM/UIM. Ask which policy type and trip period an insurer is discussing, and preserve its written response so a stated limit is not misread or detached from the coverage category.
Who the 2026 change affects
The reduced amount concerns a passenger in the rideshare vehicle during Period 3, which is the passenger-in-vehicle part of an accepted trip. It is not a general replacement for all insurance that might apply to a rideshare driver or to another injured person. Period 0, Period 1, and Periods 2/3 have separate requirements under Public Utilities Code section 5433.
For a passenger, the practical question is whether the ride had been accepted and the person was in the vehicle when the collision happened, and whether the claim involves an uninsured or underinsured driver. Preserve the trip receipt, acceptance and pickup timestamps, impact time, and any drop-off information. If the crash occurred during a transition, the exact timeline may matter to establishing which period applied.
The rule may also affect how passengers understand an insurer's initial explanation. A mention of $60,000 per person or $300,000 per accident should be checked to see whether the insurer is describing current Period 3 UM/UIM coverage, rather than the separate $1 million liability coverage. Likewise, an older policy summary may use a prior figure. Compare the document's date, trip date, and coverage type before drawing a conclusion.
What remains unchanged under the verified rule
The TNC's $1 million Period 2/3 primary liability coverage remains in place for injuries the rideshare driver causes to others under Public Utilities Code section 5433(b)(1). The SB 371 reduction described here applies to Period 3 passenger UM/UIM, not to that stated liability coverage. Keeping the two propositions side by side avoids confusion when the collision involves both an app driver and another motorist.
Other period distinctions also remain useful. When the app is off, the driver's personal policy applies, though rideshare exclusions may apply. During Period 1, when the app is on but no ride is accepted, section 5433(c) requires $50,000 per person, $100,000 per incident, and $30,000 property-damage primary coverage plus $200,000 excess liability. These amounts are different categories and should not be merged with Period 3 UM/UIM.
SB 371 does not itself decide who caused an individual collision, whether an insurer accepts a claim, how multiple claims compete, or what damages a particular injured person may prove. Those issues depend on the facts and actual policy terms. The statute supplies coverage requirements by period; it does not replace the need to establish time, passenger status, the drivers involved, and the injury record.
How to protect a passenger claim under the new rule
Save the full trip receipt and any in-app records showing the accepted ride, pickup, and passenger status. Record the collision time as precisely as possible and preserve messages with the driver, platform, and insurers. Ask the insurer in writing whether it is addressing Period 3 UM/UIM or Period 2/3 liability coverage, and what trip data supports its position. Keep the response with the policy or coverage materials.
Identify whether the other driver was uninsured or underinsured as part of the investigation, but do not assume that the reduced limit is the only coverage potentially relevant. Preserve insurance information for every driver, witness statements, vehicle photographs, dashcam footage, and medical records. If an insurer quotes a limit, ask whether it is per person or per accident and which coverage provision it describes.
Calendar the legal deadlines independently. A personal-injury lawsuit generally has a two-year period under Code of Civil Procedure section 335.1. A public-entity claim, if one is involved, generally must be presented in writing within six months under Government Code section 911.2. The SB 371 effective date and insurance investigation do not extend those filing rules. Keep a separate deadline sheet alongside the trip and coverage timeline.
Practical next steps after a 2026 rideshare crash
Begin with the collision date and whether the passenger was in the vehicle during Period 3. Then collect the trip identifier, app timestamps, pickup and drop-off details, and all coverage letters. If the crash date is on or after January 1, 2026, compare any UM/UIM discussion with the current, reduced figure of $60,000 per person and $300,000 per accident. If the insurer discusses the $1 million amount, confirm whether it refers to Period 2/3 liability coverage.
Make a list of each driver and insurer, the alleged cause of the crash, and any public entity or vehicle. Preserve scene evidence and ask for relevant data promptly. If a Metro, city, or other public entity may be responsible, separately track the six-month written-claim period in Government Code section 911.2. A public-entity claim may coexist with a TNC coverage inquiry and should not be left until the insurance questions are resolved.
Finally, retain complete records of discussions and do not rely on a verbal statement to settle which policy applies. The trip date, app period, passenger's position, and type of insurance all matter. A careful review can distinguish the statutory UM/UIM change from the liability policy that remained in place, while preserving the procedural deadlines and evidence needed to evaluate the claim.
This guide is attorney advertising and general information only. It is not legal advice, and reading it does not create an attorney-client relationship.
California 2026 rideshare coverage in Los Angeles
For a Los Angeles County passenger, retain the trip date and app timeline because the SB 371 change is effective January 1, 2026 and applies to Period 3 passenger UM/UIM. The current, reduced amount is $60,000 per person and $300,000 per accident; the $1 million Period 2/3 liability coverage remains. Most personal-injury cases arising in Los Angeles County are filed in Los Angeles County Superior Court and Los Angeles County Superior Court; the exact courthouse assignment should be confirmed for each case. A public vehicle or agency may add a six-month written-claim deadline under Government Code section 911.2. Keep the court deadline, public claim date, and policy-period evidence on separate records.