Illinois Electric Scooter Laws and the Rising Cost of Insurance
The popularity of electric scooters as a convenient and eco-friendly mode of transportation is growing, but owners in Illinois are facing a significant hurdle: the high cost of insurance. While Illinois has begun to regulate low-speed electric scooters, the insurance landscape remains complex and often surprisingly expensive, potentially discouraging adoption and creating challenges for riders.
The New Illinois Scooter Law: Public Act 103-0899
As of August 9, 2024, Illinois Governor Pritzker signed Public Act 103-0899 into law, amending the Illinois Vehicle Code to specifically address low-speed electric scooters. This legislation defines a “low-speed electric scooter” as a device weighing less than 100 pounds, with two or three wheels, handlebars, and a floorboard, powered by an electric motor and human power, with a maximum speed of 10 miles per hour. Notably, this law does not include mopeds or motor-driven cycles.
The law allows local governments – municipalities, park districts, forest preserve districts, and conservation districts – to authorize and regulate the operation of these scooters on highways, sidewalks, trails, and public rights-of-way where bicycles are permitted. Authorization from a local government is required for operation within its jurisdiction.
The Unregulated Side: High-Speed and Self-Propelled Scooters
Despite the new regulations for low-speed electric scooters, a significant gap remains. The statute does not regulate high-speed electric scooters or self-propelled scooters, leaving these types of vehicles in a legal gray area. This lack of comprehensive regulation presents challenges for municipal and public safety officials.
The Insurance Conundrum: Costs and Concerns
One of the most pressing issues for scooter owners in Illinois is the cost of insurance. Premiums can be surprisingly high, even for low-speed scooters. The cost of RC (required civil liability) policies can range significantly, with some policies exceeding $800 per year for a scooter equivalent to a 125cc motorcycle. For younger riders (age 16), premiums can climb to $2,500 or even $3,200 annually.
Adding to the complexity, the cost of insurance for an electric scooter can be higher than for a comparable gasoline-powered scooter, a discrepancy that some operators justify with higher repair costs, despite the fact that the policies are for third-party liability, not comprehensive coverage. Some insurance providers also offer monthly installment plans with high interest rates, potentially reaching 25% annually.
Challenges with Merit Classes and New Policies
Illinois’s “Bersani” merit class system, designed to reward safe drivers with lower premiums, can also work against new scooter owners. If insuring a vehicle for the first time, the benefits of the merit class system may be reduced due to the vehicle’s lack of insurance history.
Looking Ahead: The Necessitate for Collaboration
To foster the growth of sustainable urban mobility, a change in approach is needed. Manufacturers and importers should seek agreements with insurance companies to create package deals that address the total cost of ownership for scooters. This would help to make scooters more accessible and encourage wider adoption. The high cost of insurance has already contributed to the decline of the moped market, and a similar fate could befall electric scooters if the issue is not addressed.