UPDATED 12:20 EST / MAY 23 2018

APPS

Amid scrutiny, Uber will start providing driver insurance throughout Europe

Uber Technologies Inc. today announced plans to provide free driver insurance in 21 European countries, a move that could help the company address the international scrutiny over its labor practices.

The new insurance program, called Partner Protection, will cover more than 150,000 drivers throughout Europe. That includes both users who provide rides via Uber’s flagship app and those working as couriers through the Uber Eats food delivery service.

The insurance package consists of several elements. Most notably, Uber will help drivers pay hospital bills if they suffer an accident or injuries during a trip arranged via its services. This is similar to the coverage that the company has been offering on a limited basis in France following a change to local labor laws last year.

The Partner Protection benefits will be provided by AXA SA, the same European insurer that has been underwriting Uber’s policies in France. The new program takes their partnership a step further by mixing in several additional benefits. 

On top of addressing accidents and injuries, Uber will compensate drivers if they become sick and find themselves unable to work for a period of more than seven days. Partner Protection is set to cover parental leave and jury duty as well in a limited form.

According to Uber, the program will be open to drivers who have completed 150 trips in the previous eight weeks. Couriers working via Uber eats must have made at least 30 deliveries in the same period to qualify. Partner Protection is set to go live on July 1.

The introduction of the program follows a number of legal developments that could force companies such as Uber to provide the workers on their platforms with more of the benefits afforded to traditional employees. Earlier this month, the California Supreme Court issued a ruling that makes it harder for firms to classify workers as independent contractors rather than employees. The landmark decision came not long after a British judge ruled that Uber should label its drivers as formal workers in the United Kingdom.

Uber isn’t the only startup addressing the calls to provide better conditions for so-called gig economy workers. Just this morning, rival Lyft pledged $100 million toward building new support centers that will give its drivers access to low-cost car maintenance services.

Image: Uber

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