A recent published New Jersey Appellate Division decision offers important protection for pedestrians injured by Uber, Lyft, and other rideshare vehicles. In Boone v. Unsatisfied Claim and Judgment Fund/New Jersey Property-Liability Insurance Guaranty Association, the court held that a rideshare company’s liability policy must provide PIP medical benefits to an uninsured pedestrian struck while the driver was actively providing a prearranged ride.

The case involved a pedestrian who did not own a car and did not live with anyone who carried automobile insurance. The rideshare insurer denied PIP benefits, contending that its commercial policy did not provide pedestrian PIP coverage. The court rejected that position.

The Appellate Division ruled that New Jersey’s statutory requirement for pedestrian PIP coverage applies to the rideshare policy. Put simply, an insurer cannot avoid a mandatory coverage obligation by issuing a business-auto policy that omits it. The court affirmed reformation of the policy to include the coverage required by law.

This is a significant decision for injured pedestrians. Medical bills often begin accumulating immediately after a crash, while fault investigations and liability claims can take months or years to resolve. PIP benefits are designed to provide a prompt source of medical-expense coverage without waiting for the outcome of the negligence case.

The practical lesson is clear: when a pedestrian is hit by a vehicle being used for a rideshare trip, counsel should carefully examine the applicable TNC policy and the driver’s trip status. A denial based solely on the insurer’s policy language may not be the end of the inquiry. Under Boone, New Jersey’s statutory coverage requirements—not an insurer’s exclusion or omission—control.