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Uber adds monthly subscription service that guarantees low-cost rides

Ride Pass starts at $14.99 and is available Tuesday in five US cities.

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Sarah Tew/CNET

Don't get too excited, Uber's pass doesn't cover the cost of fares -- it just helps keep them low.

Uber on Tuesday introduced Ride Pass, a monthly subscription service starting at $14.99, which makes sure your fare stays low whether it's peak hour or bad weather. It's available to all riders in five US cities: Los Angeles ($24.99 per month); Denver; Austin, Texas; Miami; and Orlando, Florida.

This comes after Lyft launched a monthly service earlier this month. Lyft's All-Access Plan costs $299 for 30 rides every month. If you take more rides than that, you have to pay for them, albeit with a 5 percent discount. All rides are also capped at $15. If your ride costs more than that, you'll have to pay for the difference.

However, Uber's subscription service functions differently from Lyft's. Think about it this way: When you get off work, it's raining outside. You want to call a Uber, but it's very expensive because everyone is calling an Uber. Ride Pass guarantees your fare stays low despite the weather and peak hour. You still need to pay for the fare as usual.

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Uber's Ride Pass.  

Uber

You can sign up for Ride Pass on your Uber app. You can track your savings on every ride in real time, choose to auto-renew your subscription service, and cancel the service any time.

Users in Los Angeles will soon be able to get additional benefits on electric bikes and scooters with Ride Pass, the company said in its blog post.