Electric scooter liability insurance. What is the difference between business…

Electric Scooter Insurance That Protects Your Investment.

You finally took the plunge and bought an electric scooter. Whether you went with a Bird, Lime, Spin, or something else entirely, you’re now the proud owner of a fast, fun, and environmentally-friendly way to get around town. But before you start zipping around, there’s one more thing you need to do: get insurance.

Yes, you read that right. Just like your car or your home, your electric scooter needs to be insured in case of damage, theft, or liability. Don’t worry, though; insuring your ride is easier than you might think. In fact, we’ve got all the info you need right here.

In this article, we’ll cover the basics of electric scooter insurance and help you decide if it’s the right coverage for you. We’ll also discuss the types of insurance policies available and the conditions that need to be met for each type to be valid.

Finally, we’ll provide a few tips on how to make sure you’re getting the best electric scooter insurance possible. So whether you’re new to the world of electric scooters or just looking to upgrade your coverage, read on!

Why You Need Electric Scooter Insurance

There are several reasons you should consider getting electric scooter insurance, even if it isn’t required by law to be insured. First and foremost, accidents happen.

Even if you are the most careful rider, there’s always a chance that something could go wrong. If you don’t have insurance and something happens, you could be left with expensive medical bills or repairs that would be difficult to pay out of

Second, electric scooters are becoming an increasingly popular target for thieves. If your scooter is stolen, it could cost hundreds or even thousands of dollars to replace it without insurance.

And finally, if you live in an apartment complex or other shared living space, having insurance can protect you from liability in the event that someone is injured while riding your scooter.

Types of electric scooters covered by insurance

As we mentioned earlier,the best way to get around city is on an electric scooter., but be aware that they can be easily damaged or stolen. That’s why it’s essential to have insurance coverage for them.

Typically, insurance coverage includes damage to the scooter, accidental injury, and theft. Make sure to read the policy carefully to find out what is and isn’t covered, as not all policies are the same. In addition, be sure to have a motorcycle insurance policy in case of an accident.

Moped-style electric scooters

Moped-style electric scooters typically have a small motor and a maximum speed of 30 miles per hour. They usually have a step-through frame, making them easy to mount and dismount.

Most insurance plans cover electric scooters that look like mopeds because they are low-speed vehicles.

Motorized bicycles

Motorized bicycles, also known as e-bikes, are electric bicycles with a motor and can also reach speeds of up to 20 miles per hour.

E-bikes are becoming increasingly popular as they offer a green and efficient way to travel. Most insurance companies consider e-bikes to be low-speed vehicles and will provide coverage for them.

Electric scooters

Electric scooters are powered by batteries and can reach speeds of up to 15/16 miles per hour. They are a popular mode of transportation for short trips, as they are easy to use and can be stored in small spaces.

While most insurance companies do not currently cover electric scooters, some may offer coverage in the future as the market for these products grows.

Hoverboards are self-balancing scooters that use sensors to detect when a rider is leaning forward or backwards. They can reach speeds of up to 10 miles per hour and are becoming increasingly popular among commuters and leisure riders alike.

While most insurance companies do not currently cover hoverboards, some may offer coverage in the future as the market for these products grows.

Do scooters require insurance?

Yes, scooters do require insurance. All vehicles, including scooters, must have liability insurance to operate on public streets and roads. This is because all vehicles—including scooters—are considered the state’s property under California law.

If you’re unfortunate enough to get into an accident while riding a scooter, not only will your injury attorney likely be interested in pursuing compensation on your behalf, but so too may the police department or municipality you were in when the accident occurred.

Scooter operators who fail to carry liability insurance risk hefty fines and potential jail time should they be caught operating without adequate protection.

Stand-alone policy

Electric scooters are easy to use, and a great way to get around town. That’s why it’s important to get affordable electric scooter insurance if something goes wrong.

A stand-alone policy is a cheap and easy way to do just that. It’s also a good way to cover the cost of damage or loss to your scooter, up to a certain limit. If you’re looking for added protection, you can add riders and additional properties to the policy for extra coverage.

Ensure you read the fine print, as some policies exclude liability for intentional injury or criminal acts. So, whether you’re new to electric scooters or have been riding them for years, insurance is a good idea!

Purchase protection policy

E-scooters are a great way to get around town without having to worry about the hassle of parking. However, accidents can happen; if they do, it can be costly to repair or replace your scooter. That’s why it’s important to purchase electric scooter insurance.

This type of protection covers your scooter, the battery, and any personal belongings that are on it at the time of the incident. Plus, it can provide financial assistance in cases of theft or damage.

Make sure you understand all of the coverage options available and choose the policy that best suits your needs.

3.Supplemental Insurance Policy

Electric scooters are a fun and convenient way to get around, but accidents can happen. That’s why it’s important to have supplemental insurance in case of an accident.

This type of insurance covers things like property damage and injuries caused by the rider or the scooter. Compare rates and understand the coverage offered before buying a policy. As electric scooters are a new mode of transportation, limited policies are currently available.

However, as the popularity of electric scooters continues to grow, so will the number of available policies. So, whether you’re just starting on your electric scooter journey or an experienced rider, make sure to have insurance in case of accidents.

Rental insurance

When it comes to electric scooters, accidents can happen at any time. That’s why it’s important to have insurance that covers accidents and damage caused by the scooter while in use.

Make sure to get a policy that covers your specific needs, such as driving privileges in other countries. Additionally, register your scooter with the rental company so they can track its location and ensure proper safety measures are followed. Thanks for reading!

Car Insurance

Your automobile insurance does not cover accidents involving electric scooters. If you get into an accident while riding one, you might be liable because your car insurance does not provide coverage. This is because car insurance does not cover vehicles with fewer than four wheels, as well as those with no registration or license plates. This is a very important distinction. Most people are used to the idea of automobile insurance covering additional activities with which you may be involved with. Quite frequently a personal car insurance policy may provide you with coverage for liability due to accidents involving motor scooters (moped-like), other people’s bodily injury as well as damage to the other party’s vehicles. In other words, your car insurance will not cover your liability sustained from accidents involving your motorized scooter use.

Unlike a privately-owned electric kick scooter (motorized scooter) for which there usually is no specific liability insurance available on the market, companies that provide ride share scooters may include partial liability insurance with their service. This is because some cities require that these companies provide proof of insurance. Rideshare usually have a 450 million insurance policy that basically protects the company in case an accident occurs as a result of a faulty or damaged scooter. This insurance does not cover the rider who happens to cause an accident as a result of his or her own fault or negligence. Furthermore, riders who rent a scooter from one of the rideshare companies must accept the Terms of Use before unlocking the scooter. In most cases the Terms of Use state that the rider will not hold the company liable for any damage or medical harm sustained while riding the scooter. This practice is not universal, but rather changes from city to city. For this reason check with individual companies to find out if insurance is included with their service, and if so, what does it include. The fact that scooter riders are not insured by those big ride share companies is not surprising, but it also isn’t something that many people take into consideration before renting a scooter.

Type of insurance to consider getting:

Electric scooters certainly are not the safest vehicles to travel with. Currently there is no insurance available on the market that would be designed specifically for electric kick scooters. Fortunately, there are other options available that should provide eScooter riders with the coverage and a piece of mind they need. Umbrella insurance – currently this type of personal liability insurance might be the best option for most electric scooter riders. In the past, umbrella insurance policy was used for the purposes of extending liability coverage beyond a house, such as private pool, bicycle use, etc. As such it was mainly used by wealthy individuals looking to extend their liability insurance coverage beyond the offering of standard insurance policy. Umbrella insurance will cover damage to other people’s property, as well as their medical bills. It will not cover you own medical bills. Until other insurance options become available on the market, this choice of insurance appears to be one of the “go to” options for people who own an electric scooter and use it on a regular basis. In other words, if you happen to be regularly commuting to school or work on an electric scooter, an umbrella policy is quite possibly the best option for you that is currently available on the market. Health insurance – in the event of personal injury resulting from an accident, this form of insurance will help you cover the costs of medical treatment. As noted earlier, umbrella insurance will only cover medical expenses of other people. This is where a well-designed health insurance comes in. This option will provide you with a second form of insurance that will assist you in the event of personal medical expenses sustained during an accident. Just remember that health insurance only covers your health-related expenses. It will not cover liability for vehicle and property damage.

If you happen to search online for “Scooter insurance” or anything similar to this term, you will find results that are specific for mopeds and electric scooters. In this case the term “electric scooters” refers to those seated, Vespa-like vehicles that are closer to motorcycles than kick scooters.

Why are electric scooters associated with increased risk of injury?

• For decades, scooters have been largely regarded as toys. In reality, electric scooters are agile and fast vehicles that are also extremely fun to ride.
• Large proportion of electric scooter riders are ride share users, meaning that they may not be experienced riders who may be more at risk of an accident.
• Unlike helmet use in bicycle riders, it has been documented that well over 95% of all electric scooter users do not use a helmet.
• The are no specific and well-designed traffic rules of the road for electric scooters. Furthermore, quite often the rules change from city to city or do not exist at all. In some municipalities electric scooters are required to use sidewalks, at other locations they must use standard roads, while at still other areas they have no clear set rules. This tremendous disparity creates significant confusion for the riders, pedestrians and other users of the road.

Although electric kick scooter riding can be lots of fun, it can also be dangerous to the rider, his or her surroundings and other road users. Electric kick scooters have only been around for a few years, therefore we still don’t have much statistical data regarding electric scooter safety.

Fortunately, there have only been a few isolated reports of deaths attributed to electric scooter use. However, the overall number of injuries associated with electric scooter use has been on the rise. The vast majority of injuries were reported in riders who were not wearing a helmet at the time of accident.

Additional liability insurance provides a piece of mind in the form of an umbrella insurance policy and health insurance. Together these policies will ensure the best liability coverage in the event of an accident involving an electric scooter.

Why doesn’t automobile insurance cover electric scooters?

As a general rule, automobile insurance only covers vehicles with at least four wheels. For this reason, electric scooters are not covered by car insurance.

Electric kick scooters are likely here to stay because they are extremely mobile, inexpensive and fun. Even if you decide to buy one for you private use instead of renting, you will still save money on gas.

However, electric kick scooters should not be confused with toys, which they are not. They are relatively fast electric vehicles that also happen to be really fun to drive. As such, they can be dangerous in the event of an accident involving the scooter and a pedestrian, another scooter, automobile or another vehicle.

Electric scooter riders, both ride share users and those who personally own a scooter, should be aware that their automobile insurance policy does not automatically offer coverage for electric scooter use. As a result, those who want to be safe (and we all should) are encouraged to look for additional types of insurance that will cover accidents involving electric scooters. One of the best fit options is an umbrella insurance policy along with proper health insurance.

Cost of General Liability Insurance

On average, scooter rental companies in America spend between 450. 450,000 per year for 450 million in general liability coverage.

Compare the average cost of general liability insurance for a scooter rental business to other professional industries using the graph below:

Several factors will determine the price of your policy. These include your:

• Location
• Deductible
• Number of employees
• Per-occurrence limit
• General aggregate limit

You may be able to acquire general liability insurance at a discounted rate by purchasing it as part of a business owner’s policy (BOP) rather than as a standalone policy.

A BOP is a more comprehensive solution that includes multiple forms of coverage, such as business interruption and property insurance.

Find the Best Rate

Discover the best coverage at the lowest rate in our low-cost business insurance review.

Common Situations That General Liability Insurance May Cover for a Scooter Rental Business

Example 1: An inexperienced rider reverses rather than accelerates forward, crashing before leaving the parking lot. The customer is injured and causes physical damage to a neighboring business’ delivery van. General liability insurance would cover the customer’s medical bills and costs to fix the damage to the delivery van.

Example 2: While visiting your business, a customer trips and inadvertently knocks down a row of scooters. One of the scooters falls onto another customer’s leg. The injured customer must later have surgery due to complications stemming from the accident and is seeking payment for damages. A general liability policy will cover legal representation and any resulting payout.

Example 3: Your marketing representative uses a tagline from a local author’s book. The author names both you and the marketing representative in a lawsuit. General liability insurance would cover the cost of legal representation and the damages ruled by the court, up to the limits of your policy.

Other Types of Coverage Scooter Rental Businesses Need

While general liability is the most important type of insurance to have, there are several other forms of coverage you should be aware of. Below are some of the most common types of coverage:

Commercial Property Insurance

If you own the building in which you run your scooter rental business, commercial property insurance is an essential part of your insurance package. This would cover the building as well as business property you keep on-site.

When considering your coverage amount, be sure to include the cost of any renovations you’ve made to the building and the replacement cost of all business property and specialized equipment stored there. Because your customers drive your rental scooters on public roadways, you may also need a separate auto policy for your fleet.

You can typically purchase this coverage as part of a business owner’s policy (BOP).

Workers’ Compensation Insurance

Your team is an essential part of your business’ success, so it’s important to cover them should an injury occur on-premises. Workers’ compensation is the state-mandated insurance that covers employees in the event of a work-related illness or injury. This covers medical bills for an employee’s work-related injuries, offers payment for lost wages, and also provides legal representation should a lawsuit occur.

You must purchase workers’ compensation insurance as a standalone policy.

Business Interruption Insurance

Could you keep your business afloat if you were forced to shut down for an extended amount of time? If not, you should consider purchasing business interruption insurance. In addition to replacing a portion of lost revenue, this insurance will help pay the expenses to move to a temporary location and any additional costs incurred because of that move.

You can typically purchase business interruption insurance as part of a business owners’ policy (BOP).

Commercial Umbrella Liability Insurance

While rewarding, the transportation industry faces increased liability risks with claims often exceeding the limits of primary liability policies. Commercial umbrella liability insurance increases liability coverage, protecting your business against sizable covered lawsuits.

Additional Steps To Protect Your Business

Although it’s easy (and essential) to invest in business insurance, it shouldn’t be your only defense.

Here are several things you can do to better protect your scooter rental business:

• Use legally robust contracts and other business documents. (We offer free templates for some of the most common legal forms.)
• Set up an LLC or corporation to protect your personal assets. (Visit our step-by-step guides to learn how to form an LLC or corporation in your state.)
• Stay up to date with business licensing.
• Maintain your corporate veil.

Moped and Scooter Insurance Discounts

When you insure a moped or scooter you may be able to score a discount such as:

• Multi-policy discount.Bundling insurance is when you buy two or more policies from one insurance company and get a discount. You may be able to bundle moped or scooter coverage with another insurance type, such as auto, home, RV or boat insurance.
• Multi-vehicle discount. When you insure more than one vehicle, such as a car, motorcycle, moped, ATV or snowmobile, you might get a discount. You may also qualify for a multi-vehicle discount if you insure at least two mopeds or scooters.
• Safety discount. If you take an approved moped or scooter safety course, you may be able to pick up a discount.
• Storage discount. Some companies give discounts if you keep the moped or scooter in a garage.

How Much Is Moped and Scooter Insurance?

Moped and scooter insurance can be as cheap as 4 to 6 per month. For example, scooter insurance through Progressive is as low as 75 a year for basic liability insurance. A company called Voom sells pay-per-mile coverage for mopeds and scooters that it says costs as little as 50 a year. Those are inexpensive compared to how much motorcycle insurance costs, which is an average of 178 per month, according to Forbes Advisor’s analysis.

To find the best deal on moped and scooter insurance, compare quotes from multiple insurers—starting with your current insurance company for car, home or renters insurance.

Your cost for moped and scooter insurance depends on factors such as:

• Coverage you choose
• Driving record
• Engine size
• Location of your home
• Mileage
• Model, make and vehicle year of moped or scooter
• Years of riding experience
• Your age

Do I Need Insurance If I Rent a Moped, Scooter or E-Scooter?

Insurance laws vary by location regarding mopeds, scooters and e-scooters insurance, so depending on the state and city you’re renting in, you may need insurance.

Before hopping on a rented moped, scooter, e-bike or e-scooter, review the rental agreement’s terms of service to see if any insurance is provided or if you’re left personally liable and responsible if you don’t buy your own insurance. Ask for clarification if you’re uncertain about whether insurance is required and what—if any—coverage is included with the rental contract.

For instance, the Texas Department of Insurance notes some cities in Texas require scooter rental companies to have insurance coverage, but this mainly covers damage to public property, not injuries or other property damage, like damage to a vehicle you crash into.

Will My Car Insurance Cover a Rented Moped, Scooter or E-scooter?

Don’t assume your car insurance will extend to a rental of a moped, scooter or e-scooter, as most likely it will not.

While car insurance coverage usually extends to a rental car, it doesn’t typically cover a rented motorcycle, moped, scooter or e-scooter. That’s because these vehicles have fewer than four wheels.

Will Motorcycle Insurance Cover a Rented Moped, Scooter or E-scooter?

Yes, it might. Some insurance companies extend motorcycle insurance coverage to rentals of other two-wheeled vehicles. For example, with Foremost’s Elite motorcycle insurance package a rental motorcycle or moped is covered under the policy’s enhanced rental coverage.

If you need insurance for a rented two-wheeled vehicle and have a personal motorcycle, moped or scooter insurance policy, contact your insurance company to verify what coverage will extend to rentals.

A motorcycle insurance policy (or one for a moped or gas-powered seated scooter) likely won’t extend to an electric scooter because it’s not a two-wheeled vehicle and you stand on the e-scooter.