Deliveroo launches insurance policy for riders

The company said the move will cost US$13.5m in the initial year.

Deliveroo riders for all vehicle types and their substitutes in Singapore will be able to access accident insurance that will come into force in May.

According to an announcement, this means "Deliveroo riders will now be able to claim for the costs of their absence if they are unable to work due to injury while working." 

Cyclists working with Deliveroo in Singapore will also have access to public liability insurance coming into force in June, which has features such as the coverage a rider’s substitute. "The scheme will give Deliveroo cyclists up to US$1.5m in public liability insurance. This will cover scooter riders whilst they are off their vehicle and also those doing deliveries on foot," the company said.

All riders will be automatically enrolled onto the personal injury cover and cyclists will be automatically enrolled on to the public liability cover.

The accident and injury cover has measures, that include US$45,000 for total incapacity, up to US$400 per week for temporary incapacity (for up to a maximum 26 weeks), US$10,000 for accidental medical expenses, and US$50 for each night in a hospital with 15 days maximum.

The loss of sight, hearing, speech or limbs due to accidents are covered.

This applies to all riders whilst they are online and logged in to the Deliveroo app, including up to one hour after logging off.

In the initial year, this will cost Deliveroo almost US$13.5m, the company said. "Deliveroo would like to go further than this insurance product and offer riders more benefits but runs the risk of courts reclassifying riders’ employment status, which could reduce riders’ ability to work flexibly. Deliveroo is campaigning for a change in the law so that riders can have both flexibility and security."

Deliveroo Singapore general manager Siddharth Shanker added, “We know the thing our riders value the most is flexibility and the ability to fit their work around their lives, rather than their lives to work. But they also deserve security while they’re out on the road. This new insurance gives riders security in the event of an injury while maintaining the flexible work they value.”