Insurance for Micromobility

The potential of a customer being injured while operating a scooter or bike is the biggest risk facing the micromobility space. In addition to the need to insure yourself against this risk, it’s crucial to know that this coverage will be required in at least $1M per occurrence and $2M in the aggregate in every city you wish to operate. Most cities will actually require more.

Again, the potential of a customer being injured while operating a device is the largest exposure the micromobility space faces. Due to the potential catastrophic injuries that could be suffered, and the ensuing lawsuit, the standard $1M per occurrence and $2M in the aggregate, may not be enough to cover defense costs and damages. Additionally, most of the bigger markets you will look to move too will require anywhere from $3M to $10M in excess coverage.

When employees sustain work-related injuries, employers are typically responsible for their medical costs and lost wages. This policy covers these expenses, protecting employees while simultaneously keeping cannabis companies running smoothly.

An umbrella policy is an excess policy supplementing other coverages, such as general liability, auto, employer’s liability, to name a few. Companies can extend other vital “underlying” policies by using this overarching coverage to increase their limits of liability. The standard insurance requirement in most US cities is $5M per occurrence.

To operate in many U.S. cities, micromobility companies need a performance bond. This bond acts as a financial guarantee, ensuring the company fulfills its obligations to the city, such as maintaining its fleet and removing damaged vehicles. It’s a crucial requirement that holds providers accountable and protects public infrastructure.

Transporting scooters or bikes to and from the warehouse for deployment and maintenance typically requires the use of automobiles. This means that there is an exposure of drivers out on the road driving on your company’s behalf. Should there be an accident resulting in third party bodily injury or property damage, you would need to rely on this type of coverage for the damages. The insurance requirement in most US cities is $1M per occurrence.

With the need for maintenance and rolling out more scooters or bikes at any given location, there will be a need to store additional units at a location in the cities you operate. The property policy will help you recoup the value of this inventory (as well as your office property) should a damaging event (i.e., a fire) occur at one of these locations.

An umbrella policy is an excess policy supplementing other coverages, such as general liability, auto, employer’s liability, to name a few. Companies can extend other vital “underlying” policies by using this overarching coverage to increase their limits of liability. The standard insurance requirement in most US cities is $5M per occurrence.