California recently passed Senate Bill 623 (SB 623), a new law that changes some of the rules for personal injury claims involving Uber, Lyft, and other rideshare companies. Signed into law on June 25, 2026, the law will officially go into effect on January 1, 2027, and will apply to cases arising from accidents occurring on or after that date.
The law does not change every car accident case in California. Instead, it focuses specifically on many rideshare accident claims by introducing new rules for medical liens, certain evidence, and rideshare driver safety. If you were injured in an Uber or Lyft accident, understanding how SB 623 works can help you better protect your legal rights.
Why Was SB 623 Passed?
SB 623 was introduced after Uber backed a proposed ballot measure that would have made significant changes to personal injury lawsuits across California. Rather than putting those changes before voters, lawmakers negotiated a compromise that applies only to accidents involving rideshare companies.
The legislation was presented as a compromise intended to address medical billing practices while preserving access to treatment and strengthening rideshare safety.
Who Does SB 623 Apply To?
SB 623 applies to many personal injury claims arising from accidents involving transportation network companies (TNCs), including:
- Uber
- Lyft
- Other rideshare companies
- App-based rideshare drivers
If your accident did not involve a rideshare company, this law generally will not affect your case.
New Rules for Medical Expenses
One of the biggest changes under SB 623 involves medical liens.
A medical lien allows an injured person to receive medical treatment without paying out of pocket right away. Instead, the healthcare provider agrees to wait for payment until the personal injury case is resolved.
Under SB 623, recoverable medical expenses based on liens are generally limited to the amount at or below the 70th percentile of billed charges reported by FAIR Health (or a similar database). This is based on what providers bill for services, not what insurance companies typically pay.
These changes are intended to reduce disputes over unusually high medical bills while still allowing accident victims to obtain treatment when they need it.
More Transparency About Medical Liens
SB 623 also requires greater transparency when medical liens are used. SB 623 prohibits certain financial arrangements between attorneys and lien-based medical providers, including specified referral payments and ownership-related conflicts.
Stronger Safety Rules for Rideshare Drivers
SB 623 also includes new safety measures for Uber, Lyft, and other rideshare companies.
Under the law, rideshare companies must:
- Conduct criminal background checks before approving new drivers
- Perform annual background checks
- Disqualify drivers with certain criminal convictions
The law also allows rideshare companies to offer optional same-gender matching preferences for women drivers and passengers.
What SB 623 Does Not Change
While SB 623 introduces several important changes, much of California personal injury law remains the same.
For example:
- You can still seek compensation if someone else’s negligence caused your injuries.
- California’s comparative fault rules still apply.
- You may still recover compensation for medical expenses, lost wages, pain and suffering, and other damages when supported by the evidence.
- Most car accident cases that do not involve a rideshare company are unaffected.
In short, SB 623 does not rewrite California personal injury law. Instead, it creates a new set of rules that primarily applies to accidents involving Uber, Lyft, and other rideshare companies.
Contact an Orange County Car Accident Lawyer at Fielding Law for a Free Consultation
Navigating a rideshare accident claim can be challenging, especially as California’s SB 623 introduces new rules affecting certain Uber and Lyft accident cases. Understanding how these changes may impact your claim is essential to protecting your rights and pursuing the compensation you deserve.
At Fielding Law, our experienced personal injury attorneys provide compassionate, client-focused legal guidance tailored to your unique situation. As a trusted boutique personal injury law firm, we are committed to offering ethical representation, clear communication, and accessible support every step of the way. Contact us today at 833.88.SHARK for a free consultation to discuss your legal options after a California rideshare accident.








