The UK government plans to quicken the pace of introducing electric scooters onto roads, and GlobalData insurance analyst Jazmin Chong believes this could create both challenges and opportunities for insurers.

“Due to the rapid launch of e-scooter trials, and fears of overcrowding on public transport in the midst of the Covid-19 pandemic, the popularity of e-scooters could soar.

“However, the UK Government might not have the appropriate time to pass the much-needed regulation insurers require to cover these vehicles.

“This would leave a market opportunity for UK insurers that can deliver pay-as-you-go insurance services and overcome legal barriers in a time of crisis.”

The government wants to make e-scooter rentals available to the public in the same way they are in countries like Belgium and France, in order to give people an alternative to public transport, which they want travellers to avoid.

London-based insurer Zego has signalled a desire to insure new mobility vehicles in the past, and currently providers coverage for the fleet of Amsterdam-based Dott.

As of yet though, the insurtech hasn’t been able to insure fleets of e-scooters in the UK simply because they’re not legal to ride outside of private land.