Authorities have raised alarms about the significant fire hazards and insurance implications associated with illegal or altered e-scooters and e-bikes.

With the holiday season approaching, the Insurance Council of Australia advises consumers to buy electronic devices from trustworthy retailers, anticipating these gadgets to be popular gifts.

Lithium-ion batteries, common in such devices, pose fire risks due to overcharging, physical damage, exposure to heat, or manufacturing flaws.

So far this year, the state has recorded 303 incidents linked to lithium-ion batteries, with 106 involving e-micromobility devices like scooters and bikes.

Moreover, if these devices are illegal or have been modified, they might not be covered under home and contents insurance policies.

This lack of coverage can extend to public liability issues, potentially affecting claims if a rider or a third party is injured, or if third-party property is harmed.

“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.”