E-Bike Liability: The Million-Dollar Risk Most Parents Don’t Know They’re Taking

As a parent in 2025, you're likely familiar with the scene: Your tween or teen is begging for an e-bike or e-scooter. Their friends have them. They're eco-friendly. They're undeniably cool. And let's be honest—they look like a lot of fun.

But before you click "buy now" on that sleek new ride, there's something critical you should know: if your child causes an accident while riding that e-bike, you could be personally liable for thousands—or even millions—of dollars in damages. And your homeowner's insurance almost certainly won't cover it.

The Hard Truth About E-Bike Liability

Remember when bikes just had pedals? The legal landscape for electric micro-mobility is completely different. These aren't toys—they're motorized vehicles that can reach speeds of 20-28 mph. That's why every state has specific laws governing who can ride them and where.

Here's what should keep you up at night: In Los Angeles last year, the parents of an 11-year-old e-bike rider agreed to a $1.5 million settlement after their daughter's 12-year-old passenger was killed in an accident. That's not a typo—$1.5 million.

The kicker? Standard homeowner's insurance policies typically exclude coverage for motorized vehicle accidents. As one Allstate policy explicitly states: "Property we do not cover" includes "Motorized land vehicles, including, but not limited to, any land vehicle powered or assisted by a motor or engine." This leaves parents to cover these costs entirely out-of-pocket.

Know Your State's Laws (Because Ignorance Won't Save You)

The e-bike regulatory landscape is a complex patchwork that varies significantly by state:

Illinois

• Riders must be at least 16 years old to operate class 3 e-bike

• E-bikes are explicitly prohibited on sidewalks statewide

• Maximum speed limit of 20 mph on any public roadway

• All e-bikes must display a label showing class, top speed, and motor wattage

California

• Class 3 e-bikes (reaching 28 mph) require riders to be 16+

• Throttle functionality is banned on Class 3 e-bikes

• Motors limited to 750W continuous power

Other States

• Michigan: Minimum age for Class 3 e-bikes is 14

• Maine: No one under 16 can ride Class 2 or 3 e-bikes

• Connecticut: All riders under 15 must wear helmets

Breaking these laws doesn't just mean your child might get a ticket—it creates what lawyers call "negligence per se." Translation: If your child breaks an e-bike law and causes an accident, you're essentially automatically liable.

Landmark Cases Parents Should Know

The legal landscape for e-bike liability is evolving rapidly, with several cases setting important precedents:

Peck v. State Farm (Illinois)

This ongoing federal case involves a widow suing after her husband was killed by an e-bike rider on an Illinois State University sidewalk. Despite the rider clearly violating Illinois law by operating on a sidewalk, State Farm denied the insurance claim, arguing an e-bike is not a "motorized vehicle" under their policy. This case highlights the dangerous gap between traffic laws and insurance coverage.

Mason v. Rad Power Bikes

This class action lawsuit alleges defective design in e-bikes that causes front wheels to disengage from the frame during operation. The case demonstrates how manufacturing defects can create additional liability concerns for parents.

The Financial Reality Check

Let's talk money. If your child causes an accident:

• Your homeowner's insurance likely won't cover it

• Your umbrella policy probably excludes it too (unless you've specifically added coverage)

• Medical bills, property damage, and potential lawsuits come straight from your pocket

• Settlements can reach six or seven figures

As one insurance expert put it: "Parents are often shocked to learn they have zero coverage for these incidents. By the time they find out, it's too late."

Five Essential Questions Before Your Kid Rides

1. Does my child know both general road safety AND specific e-bike regulations in our state? Illinois laws, for example, completely prohibit sidewalk riding regardless of age.

2. Have they demonstrated responsible judgment? These vehicles reach speeds that even adults find challenging to handle safely.

3. Do I have proper insurance coverage? Standard policies almost certainly exclude e-bikes unless specifically added.

4. Am I prepared for the worst-case financial scenario? Because hoping nothing goes wrong isn't a strategy.

5. Has my child received comprehensive training? Not just a quick spin around the driveway, but thorough instruction on safety protocols and traffic laws.

There's a Better Way: Certification Before Liberation

This is why we created wheelWISE—a comprehensive e-bike and e-scooter safety training and certification program specifically designed for kids and teens.

Our program includes expert-led safety micro-sessions with:

• Police Officers: Top 3 mistakes teens make & how to avoid them

• Firefighters: Battery safety and fire prevention (critical as battery fires increase nationwide)

• EMTs: First aid essentials, proper helmet fitting, and required safety gear

• Mental Health Professionals: Strategies for resisting peer pressure to ride unsafely

• Insurance Experts: Understanding liability and legal consequences

• Driver's Ed Teachers: Rules of the road, defensive riding, and hazard recognition

After completing our program, your child receives certification demonstrating they've been properly trained—which not only helps keep them safe but provides valuable documentation if liability questions ever arise.

Legislative Developments to Watch

The e-bike regulatory landscape continues to evolve:

• Illinois: Bill HB4123 proposes registration requirements for Class 3 e-bikes

• Federal: The proposed E-Bike Act (HR 1684) would offer 30% tax credits for certified safety-compliant models

• California: AB 2856 prohibits the sale of switchable-class e-bikes (effective January 2025)

• New York: Considering statewide registration mandate and license plates for micro mobility vehicles

  
  

The Bottom Line

As parents, we want to say yes to our kids. We want them to have freedom, independence, and fun. But when it comes to e-bikes and e-scooters, saying yes without proper training and insurance coverage is a gamble with potentially devastating consequences.

The good news? With the right preparation, your child can safely enjoy all the benefits these amazing vehicles offer. And you can sleep better knowing you've taken responsible steps to protect them—and your family's financial future.

Ready to learn more about our certification program? Visit www.wheelwiseteens.org or email wheelwisecert@gmail.com.

Because when it comes to e-bike safety, an ounce of prevention isn't just worth a pound of cure—it could be worth millions.