This is putting some stuff Uber did in Germany into perspective.
When Uber Pop launched in Germany insurance companies were quick to publicly state that no driver using Uber is insured under their personal policies and they needed to opt into commercial policies that are multiple times more expensive.
Then Uber stepped forward and put out a big anouncemnt that every driver is insured for up to 1 million €. Everybody was like "yeah, okay, that's not nearly enough to be allowed to drive here in Germany". Nobody understood why Uber would make such a dumb statement. Now that you explained how it's handled in the US, I'm not surprised anymore.
People are recommended to have more than the minimum if they own a home, or otherwise have a lot of assets to protect.
Commercial requirements are much higher.
It works different in the states because the person or property being injured also has insurance, which will cover them. Insurance covers you not the person or property being injured.
So if you smash a building with your car, the property owner will collect from their insurance. That insurance company will then sue you, and your insurance will cover you. If you don't have enough insurance, they'll take what they can get, and if you don't have any property or money, they'll give up after that.
When Uber Pop launched in Germany insurance companies were quick to publicly state that no driver using Uber is insured under their personal policies and they needed to opt into commercial policies that are multiple times more expensive.
Then Uber stepped forward and put out a big anouncemnt that every driver is insured for up to 1 million €. Everybody was like "yeah, okay, that's not nearly enough to be allowed to drive here in Germany". Nobody understood why Uber would make such a dumb statement. Now that you explained how it's handled in the US, I'm not surprised anymore.