E-scooters

E-scooters

Despite the prevalence of e-scooters throughout Australia, legislative frameworks and insurance policies are yet to keep up with the protections that are needed to ensure that anyone injured by an e-scooter or while riding an e-scooter can receive fair compensation.

The ALA is calling for a detailed review of the insurance and regulation options for e-scooters and the development of a system that ensures all riders – e-scooter owners and those who hire e-scooters alike – have appropriate insurance cover. Action is needed to ensure that members of the public are not left without the ability to recoup compensation against an e-scooter rider because the e-scooter owner has no insurance or the exclusions existing within the commercial e-scooter operators’ insurance policies mean they are not covered.

The ALA strongly supports government and insurance companies reforming their respective legislative and policy frameworks to ensure that those who are injured by or while riding e-scooters are protected and adequately compensated.

The ALA has been advocating for these reforms, including in Victoria in the lead-up to the Victorian Election in 2022 and in NSW where the ALA made a submission to the NSW Parliament in August 2024 reiterating our position on the urgent need for these reforms as part of the Portfolio Committee No. 6 - Transport and the Arts’ inquiry into the use of e-scooters, e-bikes and related mobility options.

Genevieve Henderson, ALA NSW Branch Committee President, represented the ALA on 30 October 2024 at NSW Parliament House at a public hearing for this inquiry. Genevieve provided evidence on the need for legislation, regulations and insurance requirements to adapt to the popularity, power and use of e-scooters and e-bikes in NSW. The responsibility for these urgent reforms is shared between the Federal Government, the NSW Government and local councils.

  • The recent spate of serious injuries

    There has been a spate of very serious injuries involving e-scooters, and resulting claims, throughout Australia since 2018:

    • In Victoria, after extensive trials, private e‑scooters will be permanently legalised from October with additional safety and compliance measures.1 However, hire e-scooters have been banned from Melbourne’s CBD mid trail due to safety concerns.2 There has been a doubling of hospital presentations for e-scooter related injuries in 2023 – with almost 1000 people rushed to Victorian emergency departments during the course of the year.3 A study examining data from the Royal Melbourne Hospital in the year to January 2023 found that the total hospitalisation cost for the hospital was more than $1.9 million, with a median cost of $1,321.66 per patient.4
    • Royal Perth Hospital in Western Australia reported 62 e-scooter patient admissions in 2022, and within the first two months of 2023 there had been 19 patient admissions related to e-scooter injuries.5 In Broome, there were 190 e-scooter-related injuries between 1 April 2023 and 30 April 2024.6 St John WA reported that ambulance callouts had increased by more than 60 per cent in 2023 for e-scooter related incidents. 7
    • In Queensland, e-scooter related presentations to hospitals have been rising – from 691 in 2021 to 1,273 in 2023.8 Joint research conducted by the Jamieson Trauma Institute (funded by the Royal Brisbane Women’s Hospital Foundation and the RACQ) found that 50 per cent of e-scooter related patients incurred head and facial injuries.9 Relatedly, the Jamieson Trauma Institute reported that workers’ compensation claims for e-scooter crashes had tripled, with 421 claims being made between 2018 and 2022.10 The public e-scooter company Beam lost its licence to continue operating in Brisbane as did Neuron in the Sunshine Coast.11
    • In June 2024, privately owned e-scooters were legalised in South Australia.12 In the city of Adelaide, there were 14 reported e-scooter injury related incidents in 2023, prompting serious concerns within Adelaide City Council about extending Adelaide’s e-scooter trial (which has been running since February 2019) without the South Australian Government reforming legislative insurance requirements – this is unlikely to occur until at least early 2025.13
    • One-third of the 135 e-scooter injury presentations to emergency departments in Tasmania during the first six months of the Hobart e-scooter trial (December 2021 to June 2022) required “operative interventions”.14
    • In the Northern Territory over an eight-month period to September 2021, 111 emergency department presentations were related to e-scooter usage – including brain bleeds and broken spines.15
    • There have been media reports of increased hospital admissions due to incidents involving e-scooters in the Australian Capital Territory.16 A clinical study conducted by two doctors from Brindabella Orthopaedics found that there were 520 presentations related to e-scooters between July 2020 and July 2021.17
    • In New South Wales, where it is currently legal to buy an e-scooter but illegal to use it in public (unless as part of a shared e-scooter trial),18 there were 124 e-scooter crashes reported to police between 2020-2023 resulting in 3 fatalities, 116 injuries and 40 serious injuries.19
    • The Australian Automobile Association (AAA) published a statement on 29 January 2024 highlighting that nationally, “Australian official road deaths are failing to accurately record deaths and injuries among e-scooter riders because of glaring inconsistencies in data collection and reporting between states and territories.”20 This highlights that the numbers of deaths and injuries as a result of e-scooters could be far more than is known and reported currently.
    1 Premier of Victoria, Honourable Jacinta Allan MP, ‘Leading the Nation on E-Scooter Safety’ (Media Release, 19 July 2024); ‘Share hire e-scooters to be permanently legalised across Victoria’, ABC News (online, 19 July 2024).
    2 Allanah Sciberras, ‘Hire e-scooters now banned from Melbourne’s CBD’, 9 News, (online, 13 August 2024)
    3 Henrietta Cook, ‘Brain Injuries and smashed teeth: Hospitals grapple with doubling in e-scooter injuriesThe Age (online, 12 February 2024)
    4 Jevan Civik et al, ‘The impact of electric scooters in Melbourne: data from a major trauma service’ (2023) 94(4) ANZ Journal of Surgery 572, 572.
    6 Mya Kordic, ‘Broome records nearly 200 e-scooter injuries in a year’, ABC News, (online, 24 August 2024)
    7 Caleb Runciman, ‘New figures reveal St John WA rushed to record number of e-scooter incidents last year’, The West, (online, 27 April 2024)
    8 Evie Drinnan and Jack McKay, ‘Reported e-scooter injuries on the rise at Queensland emergency departments’, ABC News, (online, 15 July 2024); Kathryn Fisk, ‘Injuries from e-scooter accidents nearly double as lawmakers scramble to tackle safety issues’, Drive, (online, 16 July 2024)
    10 Royal Brisbane and Women’s Hospital, RBWH Foundation research shows more e-scooters crash in morning (Web Page, 7 March 2023)
    11 Joe Hinchliffe, ‘Brisbane e-scooter operator Beam loses licence over alleged breach of daily cap’, The Guardian, (Online, 2 September 2024)
    13 Thomas Kelsall, ‘End of the road threat for city e-scooters as council puts foot down’, In Daily (online, 24 May 2023); Thomas Kelsall, ‘South Australia’ e-scooter laws might not change until 2025’, In Daily (online, 20 February 2024)
    14 Jennifer Jamieson, Jenni Hawkins, Clare Collins and Adam Mahoney, ‘The rise and falls of electronic scooters: A Tasmanian perspective on electronic scooter injuries’ (2023) 35(1) Emergency Medicine Australasia, 159-161 .
    18 Transport for NSW, ‘Exploring Options for e-scooter use in NSW’, NSW Government, (online, 2024)
    19 NSW Government, ‘E-micromobility Action Plan’, October 2024
    20 Australian Automobile Association, ‘Date failings prevent e-scooter safety analysis’, (online, 29 January 2024); Jennifer Dudley-Nicholson, The New Daily, ‘E-scooter deaths remain a mystery as motoring group warns of data inconsistencies,’ (online, 29 January 2024)
  • Options for those injured by or while riding e-scooters

    Currently, gaps in insurance coverage have meant that those injured by or while riding e-scooters are not eligible to recover compensation.

    This can leave people injured by or while riding e-scooters in a financially precarious position, especially where the rider does not have CTP insurance (which is largely not required in Australia). Riders can thus only rely on personal insurance, and anyone else injured must rely on loss of income insurance and/or the ride having third party insurance. The ALA submits that, especially given the age of those riding e-scooters generally, only a small group of Australians will be adequately covered by insurance.

    Many who use an e-scooter or e-bike are probably unaware, therefore, that they put the entirety of their assets (including their home) on the line if they cause injury to someone else while using that e-scooter or e-bike. E-scooter or e-bike users need insurance cover to avoid being sued personally.

    Similarly, those who are run down by an e-scooter or e-bike could suffer serious injury and yet be left to meet their own lost wages and medical bills. No one should be in the position of losing their own home after being the innocent victim of the negligent use of an e-scooter or e-bike by an impecunious, uninsured rider.

    Though many commercial providers have recently updated their insurance policies to provide users wider scope, accidents involving any illegality are uncovered.1 There are also gaps within many government-regulated compensation frameworks affecting recovery of compensation.2

    1 There previously were also many exclusions within commercial provider insurance policies of which were arguably arbitrary. For example, policies that excluded any rider who used headphones while riding. However, this has since been removed in most if not all policies.
    2 For example, TAC excludes e-scooter injuries as they are not considered a motor vehicle: Transport Accident Commission, e-scooters (Web Page, 2023)
  • Recommendations to protect those injured by e-scooters

    The ALA proposes the following reforms for consideration by state and territory jurisdictions across Australia, where applicable:

    • Government- and council-run e-scooter hiring trials should be comprehensively reviewed before being extended and certainly before any e-scooter hiring programs are made permanent, to ensure that the general public is safe when hiring e-scooters and that those riding them are properly insured.
      • Approvals for e-scooter programs or areas where e-scooter riding (via commercially-hired e-scooters and/or privately-owned e-scooters) has been allowed should be regularly reviewed.
      • The reviews recommended above should all assess whether:
        • riders and the general public are safe, including in terms of injuries and deaths, and that safety requirements for riders, such as wearing helmets, are enforced by commercial e-scooter hire companies and also by local authorities;
        • riders are covered by adequate insurance coverage; and
        • legislation, regulations, policies, contracts and road safety requirements are up-to-date to ensure safety in relation to e-scooter programs and areas where people can hire/ride e-scooters, and that unsafe behaviour can be responded to (for example, with fines).
    • Relatedly, it must be mandated in all states and territories that commercial e-scooter hire companies offer high-level insurance, which covers both riders and any injured members of the general public.
    • It must be mandated that private owners of e-scooters have insurance, including third-party insurance, especially if/when they are able to ride their e-scooter on public roads and in public areas.
    • The Federal Government should ensure the Australian Road Rules are periodically updated to respond to developments in how e-mobility devices like e-scooters are made (including any new technology which improves their power and performance) and how these devices are used.
    • Any remaining loopholes for those injured on bikes/e-bikes as compared with e-scooters should be closed.
  • Case law and related resources

    CFD v AAI Limited t/as AAMI [2023] NSWPIC 592

    R v Fortuna [2024] NSWDC 328

    Please email Elenore Levi, ALA Policy and Advocacy Manager, at elenore@lawyersalliance.com.au with any cases or determinations made concerning e-scooters and related devices.

Legislative, regulatory and insurance approaches across Australia

The following table summarises the relevant legislative, regulatory and insurance approaches to e-scooters across every state and territory jurisdiction in Australia, in conjunction with the Australian Road Rules framework:

Click here or on the graphic below to view the table.