This article is about e-bike and electric scooter battery fire risks inside apartments and in Queensland body corporate buildings.
Table of Contents:
- QUESTION: With the problem of electric scooter chargers and battery fires, to mitigate fire risks, can unit owners make it compulsory for tenants not to have electric scooters in their units or the garage area?
- QUESTION: What position have insurance companies taken on E-bike and electric scooter battery fire risks? Would they deny any claim due to fire until legislation covers this area?
- QUESTION: How proactive should the building manager or body corporate committees be regarding educating, warning or banning the charging of devices such as computers, electric scooters or bike lithium-ion battery devices in apartments by residents due to fire risks?
Question: With the problem of electric scooter chargers and battery fires, to mitigate fire risks, can unit owners make it compulsory for tenants not to have electric scooters in their units or the garage area?
Answer: A blanket ban on scooters is likely to be unlawful until there is direction from a higher authority.
This is a really hard one at the moment. There is certainly evidence of issues, but which scooters? What batteries? How were they managed? Why hasn’t QFES or the government said something? I think a blanket ban on scooters is likely to be unlawful until there are some answers to those questions or directions from a higher authority.
Frank Higginson Hynes Legal E: frank.higginson@hyneslegal.com.au P: 07 3193 0500
This post appears in Strata News #679.
Question: What position have insurance companies taken on E-bike and electric scooter battery fire risks? Would they deny any claim due to fire until legislation covers this area?
We are hearing about more fires from E-bike and E-scooter batteries. Should the body corporate have a ruling in place? I have raised this question with the chairperson of our body corporate but have not received a reply other than that they will look into it.
What position have insurance companies taken? Would they deny any claim due to fire until legislation covers this area?
Answer: Insurers can only deny claims when policy coverage is not applicable.
A Strata Manager may need to be consulted to advise if a by-law is appropriate or possible.
Insurers can only deny claims when policy coverage is not applicable, such as when exclusions or policy conditions are triggered. Our experience is that many insurers have not yet incorporated specific exclusions or conditions related to the charging and storage of electric vehicles
To proactively address this potential gap and mitigate the risk of incidents, we recommend that the body corporate takes the following steps to raise awareness among residents:
Educational Outreach: The body corporate could initiate an educational campaign to inform residents about the potential risks associated with charging and storing electric scooters and bikes.
Appropriate Charging Areas: Encourage residents to charge their scooters and bikes in well-ventilated areas, away from combustible materials.
Use of Approved Chargers: Emphasise the importance of using only manufacturer-approved chargers. Non-compliant chargers may pose safety risks.
Unplugging Lithium Batteries: Remind residents to unplug lithium batteries once charging is complete. Overcharging can lead to safety hazards, and this simple practice can reduce the risk of potential fires.
Tyrone Shandiman Strata Insurance Solutions E: tshandiman@iaa.net.au P: 1300 554 165
This information is of a general nature only and neither represents nor is intended to be personal advice on any particular matter. Shandit Pty Ltd T/as Strata Insurance Solutions strongly suggests that no person should act specifically on the basis of the information in this document, but should obtain appropriate professional advice based on their own personal circumstances. Shandit Pty Ltd T/As Strata Insurance Solutions is a Corporate Authorised Representative (No. 404246) of Insurance Advisenent Australia AFSL No 240549, ABN 15 003 886 687.
This post appears in Strata News #679.
Question: How proactive should the building manager or body corporate committees be regarding educating, warning or banning the charging of devices such as computers, electric scooters or bike lithium-ion battery devices in apartments by residents due to fire risks?
How proactive should the building manager or body corporate committees be regarding educating, warning or banning the charging of devices such as computers, scooters or bike lithium-ion batteries in apartments by residents? Self-igniting batteries/chargers have caused serious fires. Could the building’s fire insurance be at risk if pre-emptive action is not taken?
In a similar vein, would it not be incumbent upon the building manager’s overall responsibility for maintenance and safety (preventative and actual) to have a plan for building-wide inspections and/or renewal of flexible water supply hoses periodically? I understand they are susceptible to failure after five years and could easily cause extensive damage to a high-rise apartment complex.
Answer: Placing restrictions on charging devices such as computers, scooters or bike lithium-ion batteries in apartments goes beyond what most strata buildings do.
A body corporate has limited jurisdiction on what it can make owners do inside their lot, and I would recommend the body corporate seek advice from their strata manager on whether a by-law can be drafted to cover off on any concerns the body corporate has about lot owner activities.
If an owner is doing anything contrary to law or council regulations when charging devices, the body corporate may report this breach to the relevant governing body. Regulations and laws are commonly established to help minimise risks associated with activities deemed to be risky.
A body corporate is expected to take reasonable action to minimise risk. Placing restrictions on charging devices such as computers, scooters or bike lithium-ion batteries in apartments currently goes beyond what most strata buildings do in this regard.
Claims history is a major consideration when insurers assess a proposal for new insurance. If there is a major fire claim, this may impact the insurability, premiums and excesses imposed by the insurer.
Concerning flexi-hose inspections, the building manager’s duties may only be limited to managing common property. However, they may facilitate the inspection if it is within the scope of their services or if they otherwise agree to assist in this regard.
Owners will typically be responsible for maintaining their lot (including flexi hoses) in good condition in accordance with the BCCM Act. The committee can make recommendations to owners to inspect their flexi-hoses but may have limitations on enforcing the inspection of hoses.
Tyrone Shandiman Strata Insurance Solutions E: tshandiman@iaa.net.au P: 1300 554 165
This information is of a general nature only and neither represents nor is intended to be personal advice on any particular matter. Shandit Pty Ltd T/as Strata Insurance Solutions strongly suggests that no person should act specifically on the basis of the information in this document, but should obtain appropriate professional advice based on their own personal circumstances. Shandit Pty Ltd T/As Strata Insurance Solutions is a Corporate Authorised Representative (No. 404246) of Insurance Advisenent Australia AFSL No 240549, ABN 15 003 886 687.
This post appears in the July 2023 edition of The QLD Strata Magazine.
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