31 May Public Liability Cover for Deliveroo Riders

Public Liability Cover for Deliveroo Riders

Deliveroo has finally offered much needed reassurance to its riders by via a £10 million outlay to provide them with a number of insurance benefits, including medical, accident and public liability insurance.

For many observers, the move heralds a long-awaited and much-need boon to the rights of around 35,000 Deliveroo riders across 12 countries, some of whom have made international headlines recently in an attempt to be recognised as staff rather than “self-employed workers”.

Interestingly, it is thought that the company would have extended their offering beyond medical, accident and public liability insurance, but were guarded against doing this for fear that it might confer employed worker status on workers and consequently change its whole operating model.

As well as providing up to £1 million in public liability cover, the insurance package the food delivery firm is offering its riders will include automatic cover for up to £7,500 of medical expenses and payment of up to 75 per cent of average gross income in the event they sustain an injury while working. The cover will apply from the moment riders log-in via the company’s app until one-hour after they have finished.

The public liability insurance will apply to cyclists at all times they are on the job, while scooter riders will be covered only when they are not in charge of their vehicles. The insurance will also cover riders’ substitutes – those nominated by a rider to perform deliveries on their behalf.

Previously, the firm’s riders in the UK could opt-in for limited insurance cover by paying £1.85 per week, so even the company’s harshest critics are likely to admit the new arrangement represents a significant improvement.

Deliveroo’s Chief executive told press, “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.”

He also spoke of his frustration at being unable to extend additional rights to riders. “We would like to go further, but are currently constrained by the law.” Adding, “Deliveroo will continue arguing for the law to be updated so on-demand companies can offer both flexibility and security.”

Mick Rix, a national officer for the GMB union, commented, “Deliveroo finally appears to be taking the safety of its workers seriously.

“But the company, along with other gig economy employers, must wake up to its other responsibilities and pay the national living wage for all time worked along with holiday and sick pay.”

Deliveroo riders in the UK will be among the first to benefit from the insurance cover. Other countries where riders will benefit include Australia, Belgium, France, Hong Kong, Ireland, Italy, Netherlands, Singapore, Spain, and the UAE. It is expected to be only a matter of time before riders in Germany receive a similar insurance package.

The insurance cover will come into force this month and places Deliveroo alongside similar online food delivery service Uber Eats, which introduced an insurance scheme for its workers in Europe earlier this year.