The Sao Paulo city government and the Municipal Committee for Road Use rejected Uber's request to operate a motorcycle-taxi service in the city [1].
This decision blocks the expansion of app-based passenger transport in one of the world's most congested cities, where motorcycle taxis are often used to bypass heavy traffic.
The municipal government announced the decision on Tuesday, March 31, 2026 [1]. According to officials from the Prefeitura de Sao Paulo and the Comitê Municipal de Uso do Viário (CMUV), the application was denied because the company failed to provide specific documentation [1].
"The company did not present a document proving the contracting of personal accident insurance, as required by legislation," a spokesperson for the city hall said [1].
Uber disputed the city's findings. A company spokesperson said the insurance document provided by insurer Chubb had been accepted in previous credentialing processes and that there was no reason to deny the request [2].
Uber suggested that the rejection was not based on administrative errors but was instead an attempt to block the implementation of motorcycle passenger transport within the city [2].
In some communications, Uber said they would not comment on the decision until they received official notification [1]. The dispute highlights the tension between global ride-hailing platforms and local regulatory frameworks regarding safety, and insurance standards for two-wheeled transport.
“"The company did not present a document proving the contracting of personal accident insurance, as required by legislation."”
The conflict reflects a broader struggle between the flexible operational models of tech giants like Uber and the rigid statutory requirements of municipal governments. By focusing on a specific insurance mandate, Sao Paulo is asserting regulatory control over the safety and liability of high-risk transport modes, while Uber's response indicates a belief that such regulations are being used as protectionist tools to prevent market entry.
