Low-Cost Rider Insurance by Foodpanda

Online food and grocery delivery has steadily evolved from a convenience into a routine necessity in urban Bangladesh. One of the principal drivers of this shift is Foodpanda Bangladesh, which has, over the past decade, emerged as a major employer within the country’s digital gig economy.

Industry specialists observe that the delivery sector in Bangladesh is expanding rapidly. However, concerns remain regarding rider safety, income stability, and access to social protection. In this context, Foodpanda’s insurance initiatives are considered significant, reflecting not only corporate responsibility but also potential structural changes within the gig economy.

Foodpanda commenced operations in Bangladesh in 2013 and operates under Germany-based Delivery Hero. Following organisational restructuring in multiple markets, the platform currently operates in around ten countries and serves more than 400 cities across Asia. Initially focused on Dhaka, its services have since expanded to other major cities nationwide. Thousands of restaurants and merchants are now integrated into the platform. Various studies indicate that Foodpanda has created more than 20,000 direct and indirect employment opportunities in Bangladesh, with a substantial proportion comprising delivery riders.

Analysts attribute Foodpanda’s growth to its extensive delivery network, integration of digital payment systems, and adoption of the “quick commerce” model. The introduction of “Pandamart” has further diversified its offerings beyond food to include essential grocery items.

Despite these developments, challenges persist. Delivery riders operate for extended hours on congested urban roads, facing risks such as traffic accidents, adverse weather, long working hours, and income uncertainty. In cities like Dhaka, this occupation is often described as involving “invisible risks”.

To address these concerns, Foodpanda has partnered with insurance service provider Bimafy to introduce a low-cost accident insurance scheme. The policy is available at an annual premium of BDT 70 and offers coverage of up to BDT 100,000 in cases of accidental death or permanent disability.

Rider Insurance Overview

The claims process has been simplified, enabling riders to file claims through the app, dispatch teams, or online platforms. However, the scheme does not cover damage to motorcycles or personal equipment, which some stakeholders consider a limitation.

In October 2025, Foodpanda introduced an additional initiative in collaboration with Green Delta Insurance PLC. Under this programme, titled “Panda Riders Personal Accidental Insurance”, 1,000 top-performing riders were provided with free insurance coverage. The scheme offers up to BDT 100,000 for death or permanent disability and up to BDT 50,000 for partial disability.

Additional Insurance Programme (October 2025)

Analysts describe this initiative as an example of performance-based protection, recognising high-performing riders while supporting retention and enhancing workforce confidence.

Nevertheless, financial challenges remain. Reports indicate that by the end of 2023, Foodpanda Bangladesh had accumulated losses exceeding BDT 10 billion. Economists note that the sector is still in a growth phase, requiring substantial investment in expansion and technology.

Globally, delivery platforms are facing increasing regulatory scrutiny regarding rider rights and protections. Compared to international markets, Bangladesh remains at an early stage in this regard. However, Foodpanda’s recent insurance initiatives may serve as a reference point for future developments in the country’s gig economy.