The government may make it mandatory for drivers of ride-sharing vehicles to purchase commercial insurance which in turn may force them to charge passengers more to cover the cost.

Deputy Transport Minister Abdul Aziz Kaprawi said this was one of the matters being considered as the government looked at measures to regulate app-based ride-sharing services such as Uber and Grab.

He made the comment when asked whether for Uber drivers would be made to purchase more expensive commercial insurance plans, as opposed to just taking out private car insurance at present.

“Yes. When the government regulates, we definitely will install certain elements of the current taxi system into theirs (ride-sharing services),” he said.

Abdul Aziz said that the government was also looking at ways to reduce taxi operating costs to benefit the drivers.

Last December, the General Insurance Association of Malaysia (Piam) said private car insurance did not cover drivers who engaged in ride-sharing services.

Hence, the association urged Uber and Grab drivers to purchase the more comprehensive commercial insurance policy.

Abdul Aziz also urged the public to drive safely during upcoming Chinese New Year festive season.

He said that the number of road accidents and deaths had been increasing alarmingly since 2014.

“For example, the number of road accidents in 2015 increased to 489,606 compared to 476,196 in 2014, while the number of road deaths was 6,193 in 2015 compared to 6,187 in 2014.”

Abdul Aziz was speaking at a press conference after launching a road safety event in Kuala Lumpur this morning.