Food delivery organisation Deliveroo has updated its accident insurance provision to provide all of its delivery riders, across 12 countries, medical insurance if they are involved in an accident while working.
The insurance will cover medical expenses up to £7,500 and will also protect up to 75% of their average gross income.
The organisation originally introduced accident insurance for on-demand, self-employed delivery riders in December 2017. This has now been updated to provide insurance on more generous terms and at no cost to the rider.
The updated policy includes an increase of £5,000 for medical expenses, up from £2,500, and a £1,500 increase in hospital benefits, up from £1,500. It will also allow up to £1 million in public liability insurance for cyclists, as well as covering a rider's substitute, and covering scooter riders while they are off their vehicle. Riders will also be entitled to up to £2,000 for dental treatment.
Riders will be automatically enrolled into the scheme, with all riders eligible regardless of whether they are a bicycle or scooter rider. However, they will have the option to remain on the current individual personal injury and sickness cover, at a cost of £1.85 per week.
The initiative is expected to initially cost Deliveroo approximately £10 million, and is being rolled out for 35,000 riders in 12 countries, including the UK, Italy, Spain, Belgium, Singapore and Hong Kong.
Deliveroo has expressed a wish to offer even more benefits to its delivery riders, but has stopped due to the risk of reclassifying riders' employment statuses, and limiting their flexibility as a result.
Will Shu, CEO and founder of Deliveroo, says: "We know riders value the flexibility of being able to fit their work around their life, but they also deserve security if they’re involved in an accident. This insurance gives riders security while they’re out delivering great food and maintains the flexible work they value. This is just one way we are working to increase riders’ security. We would like to go further, but are currently constrained by the law. Deliveroo will continue arguing for the law to be updated so on-demand companies can offer both flexibility and security."
