Distracted driving and inattentive driving are often used interchangeably, but you are indeed correct in thinking that there are differences! Distracted driving primarily refers to using your cell phone while driving, while inattentive driving refers to any activity that will take your attention off the road:
You only have to fulfill one of these categories to be considered an inattentive driver. Distracted drivers, on the other hand, usually fulfill all three—when you’re using your phone in the car, your mind, eyes, and hands are all preoccupied. By the time a distracted driver acknowledges an impending accident, it’s often too late to react, which is why distracted driving is the cause of almost 80% of car accidents.