The state government is working on new guidelines for app-based cab operators, including Ola, Uber and Rapido, to ensure passengers get improved services and relief from unexpected fare hikes and additional fees.
Published: July 12, 2026, 6:07 PM IST
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The Transport Department has proposed a fare limit. Representational image
Passengers in Uttar Pradesh may soon get relief from arbitrary fares and ride cancellations as the state prepares to roll out a new aggregator policy. The move will also introduce enhanced insurance benefits and tighter regulations for safer travel.
The new policy by the Uttar Pradesh government focuses on making cab aggregator services more transparent and reliable by controlling fare hikes, reducing cancellations and improving passenger safety measures.
The upcoming rules will put a check on surge pricing, ensuring that cab operators cannot charge excessively high fares during times of increased demand like bad weather or peak commuting hours.
The Transport Department has proposed a fare limit under which cab operators cannot charge more than 50 per cent above the base fare during peak hours. The decision is expected to help commuters avoid sudden and steep price increases.
Penalty for cancelling ride
The upcoming rules will also regulate ride cancellations. Under the policy, drivers who cancel accepted bookings without a valid reason will be liable to pay the entire trip fare. A Rs 100 penalty will be imposed on drivers who fail to arrive at the pickup location on time, while passengers cancelling a confirmed ride will also face a Rs 100 charge.
Insurance cover for drivers
The new policy includes provisions to support cab drivers, making it mandatory for aggregators to offer social security benefits. These include a minimum Rs 5 lakh health insurance cover and Rs 10 lakh term insurance coverage.
Zero-tolerance policy on passenger safety
The upcoming policy will take a strict stand against drunk driving, with drivers found consuming alcohol while on duty facing legal consequences under a zero-tolerance approach.
