Zomato to test Rs 3 lakh health insurance programme for delivery workers’ families

• ByStartupStory     |    September 28, 2022

Zomato, a food delivery and restaurant discovery firm, is testing a loyalty reward for families of delivery employees who have worked for the company for two to three years: a health plan of Rs 3 lakh.

In Ahmedabad, Hyderabad, and New Delhi, the programme is being tested. The company stated that in the event of a delivery partner’s passing, it would set aside Rs 10,00,000 as life insurance and an additional sum specifically designated for funeral costs. Zomato’s statement comes amid news of several incidents of deaths and accidents involving its delivery personnel while on the job, even though life protection is already in place.

Narender Kumar, 28, was killed in a car accident on August 9 in New Delhi’s Badarpur neighbourhood after delivering a Zomato order, according to a report in the Indian Express. A Zomato delivery person was allegedly fatally murdered in June of this year while performing their job.

According to a report by the news source The Morning Context, other stabbings and car accidents involving Swiggy and Zomato delivery personnel have also happened, and families have had to traverse a challenging claim procedure.

According to Zomato, users may access all information about the advantages of the delivery partner app in the language of their choosing. Delivery personnel for food and grocery delivery platforms have demonstrated recently opposition to low pay, diminished incentives, and safety concerns.

According to Zomato, it covers a loss of pay up to Rs 50,000 for any injury that results in a temporary incapacity and offers a daily loss of pay of Rs 525. According to the company, “This is our endeavour to guarantee that delivery partners prioritise their health and are able to meet their household obligations as they recover before returning to their employment.”

The business added that all delivery personnel are covered by medical insurance totalling Rs 1 lakh. Zomato reported that it paid out Rs 15.94 crore to 9,210 employees as part of this cover in FY22. Furthermore, according to Zomato, it helps Out Patient Department (OPD) for Rs 5,000. According to the corporation, it paid out claims of Rs 2.3 crore in FY22 for OPD support for delivery employees and their families.

Delivery personnel from Swiggy and Zomato were included in a recent poll on the state of gig workers, which revealed that these individuals were making less money yearly and finding it difficult to save money. A little over 47% of survey participants admitted they had no insurance.

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