Companies Can Be Liable for Delivery Driver Accidents

Emily

Hey, welcome back to The Brief—where we break down the legal issues related to the challenges you never plan for. I’m Emily. And I gotta say, I knew it was the holiday season when I passed six different delivery vans on my short commute this morning. ’Tis the season, right?

James

It's true, but I'm here for it, Emily. I’m James—and yeah, if you’re seeing an endless parade of delivery vans, cars, and trucks, you know Christmas isn't too far away. But beneath all that holiday hustle is a potentially tricky legal puzzle: who’s actually responsible when one of these delivery drivers causes an accident? It has everything to do with the structure of the companies that are bringing those deliveries to your door.

Emily

And it's not just FedEx or UPS making those deliveries anymore. Amazon, Walmart, DoorDash, Uber, you name it, they all have thier own drivers. On any given day that Amazon delivery can come from a traditional company employee, a contract driver, or even a sub-contractor. But here’s the catch: calling somebody an “independent contractor” doesn’t let these companies off the hook if there’s an accident. That’s something I think people really miss.

James

Exactly. South Carolina law looks at who’s really in control: Does the company set your route, push for certain delivery times, enforce the rules? If so, they might be on the line, contractor label or not. Amazon, for example, has those Delivery Service Partners—“DSPs,” if you’re following at home—which are like small delivery outfits with their own drivers. And then those DSPs sometimes bring in more subcontractors. And this opens the door to layers of liability in the event of an accident.

Emily

And those layers make it difficult to really know who is responsible. You peel back one layer and there’s another company. Sometimes a driver, sometimes a third-party business, and then Amazon pretty far up the chain. Meanwhile, the injured person just wants bills paid and help healing. They don’t care about contract chains, but legally, it makes a huge difference. A CBS News analysis revealed that Amazon’s contract drivers have significantly higher safety violation rates than non-Amazon carriers. Over a six-year period, their unsafe driving rates were at least 89% higher each month.

James

It’s an extreme example, but there’s a case out of Texas that really shows how complicated these situations can be. An Amazon delivery driver was involved in a fatal accident, and later it came out that he had a suspended license and outstanding warrants. It raises a real question: how did someone with that background end up behind the wheel? The answer isn’t that one person made a careless mistake — it’s that everyone in the chain assumed someone else was doing the screening. When there are multiple layers of contractors and subcontractors, it’s easy for those responsibilities to get passed around. Companies want deliveries to move quickly, especially during busy seasons. But when the system prioritizes speed, even unintentionally, a single oversight can put a driver and the public in a tough position.

Emily

And what happened? A family ends up dealing with tragedy, while all the parties above argue about which one’s really to blame. That’s why it’s so complicated. It’s not just a driver and a company—it’s this whole chain with plenty of places for safety to fall through the cracks.

Emily

So, speaking of things falling through the cracks—let’s talk about insurance coverage, because this is where it gets complicated for accident victims. South Carolina law says these contract drivers have to carry different types of insurance, - commercial auto, hired/non-owned auto, occupational accident, and general liability.

James

Even if drivers technically “have insurance,” it often only kicks in if they’re on an active delivery, logged into the app, or whatever. Let’s say a driver’s waiting for the next order, or heading home; that coverage can just vanish. The risk hasn’t gone anywhere, but suddenly victims aren’t protected. These policies don’t always cover medical bills, lost wages—or really, the stuff that matters most to people.

Emily

Here's another common scenario: when drivers use their own personal vehicles for deliveries. If the contractor was driving their personal vehicle on behalf of their employer, their personal auto policy may not cover a work-related accident. If they don’t have a business-use rider or commercial policy, their employer may still be liable for your damages under vicarious liability laws. This is where it can get really messy after the fact, when an accident happens, and the finger pointing begins.

James

Absolutely. Now, let's add another common wrinkle - rental vehicles. Some of the bigger operations offer formal rental programs for drivers that come with insurance coverage. But what happens in instances of accidents where the resulting investigation turns up an agreement that says “no commercial use.” If someone wrecks that vehicle delivering packages, the rental company’s insurance might outright deny the claim. And like you said, Emily, when it comes to personal insurance? Same deal—often excludes business activity. The result? Victims have to hope the company will step up, but—well, as we discussed back in our commercial trucking episode, companies sometimes look for ways to dodge that responsibility.

Emily

And honestly, a lot of drivers are just trying to get by. Some hide that they were working at the time of the accident because, if they admit it, they could lose their job or have their claim denied. But that leaves everyone—the driver, the victim, and even sometimes the company—in a weird limbo where no one knows who’s on the hook.

James

We hope you never have to experience it, but if you are in an accident with a delivery driver, you have to act fast. The most important thing is collecting evidence before it disappears or gets “misplaced”—dashcam footage, black box data, delivery logs. If a company controls those records, and you don’t move quickly, you might never see them.

Emily

Yeah, and those details make or break a case. We’re talking about more than just police reports—you need maintenance records, contracts, insurance policies, and a clear sense of whether the driver was a contractor, subcontractor, or working for the company directly. That’s the only way to figure out who really was responsible.

James

Where this plays out is in situations where quick action actually shifts liability. A hypothetical example could be maintenance records showing a vehicle hadn’t had its brakes checked in years. If a fact like this can be proven it get's really hard for a company to duck responsibility. But if you wait too long after an accident that evidence might just vanish.

Emily

I always tell folks—even if you’re not planning to sue, get someone in your corner early. It’s just about protecting your options. Like we talked about in our episode on what to do after an accident, step one is always: gather evidence, document everything, and find out exactly who you’re dealing with.

James

Companies often classify workers as independent contractors to sidestep liability, but courts are increasingly recognizing when businesses exert sufficient control over these drivers, holding them accountable for accidents. At the end of the day, real accountability means holding every company in that delivery chain to the same safety standards.

Emily

If you’re injured, your attorney should not settle for vague answers. They should be pushing for maintenance records, employment records, and contracts.

James

For victims and their families, the aftermath of this type of accident is overwhelming, especially in catastrophic circumstances. For attorneys, these cases present real challenges.

Emily

Bannister, Wyatt & Stalvey can help accident victims untangle these details and pursue accountability on behalf of thier clients. If you've been involved in this type of accident, this is the team you want in your corner.

James

To everyone driving, delivering, shopping, and ordering — stay safe and take care this holiday season. If something unexpected happens on the road, we’re here to help when you need clarity. Setting up a no-obligation conversation is easy, just vist our site and hit the chat button, fill out our online form, or just call us.