Uber to offer accident insurance to riders

US-based ride hailing giant Uber on Wednesday said it will offer free insurance to its riders in case of accidents while on trip across categories such as cars, autos and motorcycles.

Riders will be insured for up to Rs 5 lakh in case of accidental death or disability and up to Rs 2 lakh for hospitalisation, including an OPD benefit of up to Rs 50,000.

Uber, which operates in over 40 Indian cities, has partnered with Bharti AXA to provide insurance to car rides and with TATA AIG for auto and moto rides.

"We engage closely with our riders and our focus is on ensuring a smooth and safe experience for them. We already offer insurance for our driver partners, and we are confident that this development will give riders a greater sense of security and assurance when they take an Uber ride," Uber Head of Central Operations (Rides) for India and South Asia Pavan Vaish told PTI.

He added that while there were very few instances of accidents being reported, the company wanted to ensure that riders are taken care of.

Uber's rival Ola also has a similar insurance offer for riders under which they can opt in for the facility for Rs 2 per ride.

Vaish explained that the insurance provides cover for physical injury as a result of any accident that might occur while on trip with Uber, from the point the rider enters the vehicle until the end of the trip.

To report an accident to Uber, riders can go to the 'Past Trips' section and navigate to the 'I was involved in an accident' option.

Uber's support team then reaches out to the rider and coordinates with the insurance partner to take them through the claim process, Vaish said.

The company, however, did not comment on the average number of rides taken on its platform in a day. In August last year, Uber had announced that it had completed one billion rides in India and South Asia in 5 years.