E-scooter and e-bike owners urged to check insurance coverage and storage/charging practices


News release

Wednesday, 13 December 2023

In the lead-up to Christmas the Insurance Council of Australia (ICA) is urging current and prospective e-scooter and e-bike owners to carefully review their insurance coverage, and store and recharge their devices safely to minimise potential risks.

The widespread adoption of e-scooters and e-bikes has revolutionised urban mobility, offering convenient, environmentally friendly, and often cost-effective alternative to traditional transportation.

However, these devices also carry risks, including the potential for fire caused by lithium-ion batteries.

While most insurance policies do not exclude fires cause by lithium-ion batteries, the Insurance Council is encouraging e-scooter and e-bike owners to take proactive measures to ensure they are adequately protected, including:

  • Review insurance coverage: Ensure insurance policy provides sufficient coverage to rebuild or replace the home and contents in the event of a fire. Consider the rising cost of building materials and adjust coverage accordingly. 
  • Store and recharge safely: Improper storage or e-scooters and e-bikes pose a fire hazard and may lead to an insurance claim being denied. Store these devices in a well-ventilated area away from flammable materials, and avoid charging them indoors.
  • Check building regulations: Some apartment buildings or body corporates may impose specific insurance requirements for e-scooter or e-bike owners to have a higher level of insurance coverage. It’s important to have these conversation with your strata committee or landlord before the unexpected happens.

Quotes attributable to Insurance Council of Australia CEO Andrew Hall:

The growing popularity of e-scooters and e-bikes underscores the need for users to be aware of the potential risks and implement safety measures.

We are seeing now too regularly fires caused by owner who are careless using, charging, and storing their devices, resulting in serious injuries and damaging assets.

Owners and landlords must ensure they have adequate insurance coverage to safeguard against unforeseen incidents.

With Christmas just around the corner and with many households looking to electric devices as gift ideas, now is the time to make sure your insurance coverage is up to date and you have a good understanding of the risks associated with e-bikes and e-scooters.

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