Uber California decided to increase the minimum age requirement for new drivers. The ride-hailing giant explained the reason behind this sudden change.
California Uber Driver Applicants Under 25 Will No Longer Be Accepted
According to Tech Crunch's latest report, Uber driver applicants should be at least 25 years old if they want to work for the ride-hailing company.
Uber clarified that the new policy will only apply to new drivers who plan to use the rideshare platform. But, those who will use the app to make deliveries via Uber Eats, only need to be 19 years old to apply.
The transportation service provider added that applicants under 25 years old who already applied before the policy's implementation can still continue to shuttle passengers.
The company explained that they had to release the new policy because commercial auto insurance costs are higher compared to the past years, as reported by Business Insider.
Uber added that insurance rates for Californian drivers are much more costly compared to other taxi drivers and those who use their vehicles for personal use.
"Personal injury attorneys have created a cottage industry specializing in suing rideshare platforms like ours," said an Uber spokesperson.
The ride-hailing company stated that this is pushing its state-mandated commercial insurance costs to drastically increase by more than 65% in the past two years.
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How Increasing Minimum Age Requirement Can Help
Uber explained that increasing the minimum age requirement for new drivers can help it mitigate insurance costs.
The company's spokesperson said that they will work with policy leaders, lawmakers, and industry experts to discuss legislative and regulatory adjustments, which could enhance the experience of drivers in California.
For those who are not familiar with car insurance, younger drivers tend to have more expensive insurance costs compared to those who are older and with more driving experience.
This is because younger drivers with less experience are believed to be more at risk of accidents, which car insurance providers should cover.
If you want to learn more about the latest policy change of Uber for new driver applicants, you can click this link.
