Grab drivers to pay as little as 10 cents for critical illness coverage under new micro-insurance plan

SINGAPORE — Grab drivers between the ages of 18 and 75 may now pay as little as 10 cents a trip to buy critical illness coverage under a new micro-insurance plan.

The Critical Illness: Pay Per Trip (CIPPT) plan, jointly launched by Grab’s insurance arm, GrabInsure, and insurer NTUC Income, offers drivers a choice among three micro premiums — 10, 30 or 50 cents a trip.

The plan will be rolled out progressively to all eligible Grab drivers from Thursday (Aug 1).

With each trip, drivers can accumulate up to S$200,000 in coverage over a 360-day period. The sum assured will depend on the drivers’ age and gender.

For example, a male driver between 41 and 45 years old who completes 10 trips a day and pays a micro premium of 10 cents a trip will accumulate the maximum sum of S$200,000 in coverage after 91 days. His total premium will be S$455.

Drivers will stay protected by the accumulated coverage over the 360 days on a rolling basis, even if they choose to take a break from driving. There is no minimum trip per day to qualify for the plan and drivers can choose to work at any time, the statement added.

Eligible drivers may sign up for the plan through Grab's mobile application. Upon subscribing, the premiums will be automatically deducted from their in-app cash wallet. They may also switch to a different premium amount at any time via the app.

The list of critical illnesses which are covered under the plan include:

• Major cancers

• Stroke

• Kidney failure

• Coma

• Deafness

• Blindness

• Paralysis

Grab Singapore’s country head Yee Wee Tang said that the new micro-insurance plan was created to address concerns that drivers have over being vulnerable to high medical costs.

Drivers “see the value of insurance protection but are hindered by a lack of affordable options that give them the flexibility in premium payment and coverage”, Mr Yee said.

“We want to ensure that our driver-partners have easy access to an insurance plan that is affordable, convenient to apply and cater to their need for flexible cash flows. With this, (they) can enjoy better peace of mind and be better protected,” he added. 

CORRECTION NOTE: This story has been edited to update the illustrated example of how much the insurance plan would cost for a driver, as Grab has clarified that the earlier example provided was inaccurate.