Workers’ Compensation and Auto Insurance for Gig Economy Workers

As a certified specialist workers’ compensation attorneys, we commonly see clients who have been injured in an automobile accident in the course of their employment.  Most of those employees are covered by workers’ compensation, and their wage loss and medical benefits are paid by their employers’ workers’ compensation carriers.  They might also have personal injury claims if their injuries were caused by the actions of another person.  But not all workers in today’s economy are actually covered by workers’ comp.  So-called “gig economy” workers should beware – they may be left high and dry even if they are injured while working for their “employers.”

Workers might have not have insurance coverage under workers’ compensation, because the general rule is that Pennsylvania workers’ compensation does not cover independent contractors.  Uber, Lyft, DoorDash, Instacart, and similar companies consider their workers independent contractors, and, if that designation is legally accurate, it excludes those companies from being require to provide workers’ comp coverage.

So far in 2026, no Pennsylvania appellate court has directly decided whether a gig economy driver qualifies as an “employee” under the Pennsylvania Workers’ Compensation Act.  That does not mean that the independent contractor designation cannot be challenged, but it requires specific legal proof to show the degree of control necessary to prove an employer-employee relationship.  There are legal arguments to be made on both sides of any particular worker’s case, and the gig companies may have other insurance in place to disincentivize injured workers from pursuing their nebulous rights under the Pennsylvania Workers’ Compensation Act.

For instance, DoorDash has an Occupational Accident Policy which according to its website covers medical expenses up to $1,000,000 with no deductible or copay, and disability payments up to 50% of average weekly wage up to a maximum of $500.00 per week minus other income.  Uber makes Optional Injury Protection insurance available for an additional charge.  But in the event of disputes with the insurance company, workers will not be able to take their cases to workers’ compensation court, where the rules are skewed in favor of injured workers, and the vast majority of the law is well-settled.

This is not to say that people injured while working for a gig economy company cannot file for workers’ comp, but the cases will be fact-specific and not necessarily successful, nor as relatively simple to pursue in the same way as they would be for “traditional” employees.

But, you say, won’t my automobile insurance cover me if I am hurt while driving?  Not so fast – many auto insurance policies will exclude rideshare and similar gig economy activities from coverage, and may not cover your vehicle at all if you are engaged in commercial activity.  Many people are surprised to learn that they might need to pay extra for an insurance rider such as rideshare insurance, and unfortunately they may not find out they were not covered until the accident already happened.  Be sure to read the fine print of your auto policy to understand what is covered and what is not.

Also, the rules may be different depending on whether the worker was injured with their relevant app on or off, if they had the app on while waiting for a request, or if they were engaged in an accepted delivery or ride.  It’s enough to make your head spin, and it is a sufficiently important issue that careful research should be undertaken before engaging in a gig economy side hustle or, worse, as a full-time vocation.

As gig economy “jobs” become increasingly popular, more and more people will suffer related injuries, so more and more people may be at risk for not having insurance coverage that they may have thought covered them in the case of an accident or injury.  The Pennsylvania legislature may eventually pass a law to clarify these grey areas, but then again, it may not.  Pay attention, understand your situation, and take the time you need to research what insurance covers you in the event of an accident either inside or outside of your vehicle.  Hopefully you will not need an attorney to scramble to find coverage for you if you unfortunately suffer an injury.