As the holiday season approaches, authorities are sounding the alarm on the potential hazards associated with illegal or modified e-scooters and e-bikes. These devices not only risk causing significant fire dangers but may also void insurance coverage, creating additional concerns for buyers.

The Insurance Council of Australia is urging consumers to exercise caution and choose electronic gifts from reputable suppliers this Christmas. With e-scooters and e-bikes likely topping many wish lists, ensuring they are purchased legally and without modifications is crucial.

Lithium-ion batteries, common in these devices, are notorious for their volatility. They can ignite due to factors such as overcharging, physical damage, exposure to heat, or even manufacturing defects. This year alone, there have been 303 incidents linked to lithium-ion batteries across the state, with 106 involving e-micromobility devices like scooters and bikes.

Moreover, buyers should be aware that if these gadgets are illegal or have been altered after purchase, it could lead to complications with home and contents insurance policies. The lack of coverage could leave owners vulnerable to significant financial loss in the event of an incident.

And if the device is illegal, like those modified after purchase, they may not be covered by home and contents insurance policies.

It may also impact public liability cover if the rider or a third party is injured or third-party property is damaged.

“We are now too regularly seeing fires caused by owners who are careless using, charging, and storing their devices, resulting in serious injuries and damage to assets and property,” ICA CEO Andrew Hall said.

“We encourage anyone with an e-bike or e-scooter to have a discussion with their insurer to ensure they have the appropriate coverage they need.”

Fire and Rescue NSW Commissioner Jeremy Fewtrell said choosing reputable brands and using the charger that came with it could help avoid incidents.

”Unfortunately, we’ve seen how lithium-ion battery fires have led to fatalities and we’ve seen other people lose their homes and all their possessions due to such blazes,” he said.

“Christmas is a really exciting time of the year. We want people to enjoy that time with their families. We don’t want things to go wrong.”