Review of insurance settings for e-micromobility devices in NSW

E-micromobility is becoming an increasingly important part of the NSW transport system, providing people with more travel choices, helping connect communities, encouraging active transport and reducing congestion and emissions. E-bike ownership in NSW has increased from around two per cent of households in 2019 to approximately eight per cent in 2025. 

In June 2026, the Minister for Transport asked the NSW Productivity and Equality Commission to review the appropriateness and effectiveness of current insurance settings for e-micromobility riders, and to explore options for rider insurance.

Measures that improve rider safety through education and enforcement would deliver a $55 million net benefit to NSW, while mandatory insurance schemes for e-bikes and other e-micromobility devices would cost the community hundreds of millions of dollars more than they return

The Commission has presented six policy options to the Minister for Transport, addressing concerns about safety, accountability and compensation associated with e-micromobility devices. 

Key findings determined the costs of administering, enforcing and complying with insurance schemes outweigh the benefits, imposing net costs on the NSW community of between $470 million and $1 billion. By contrast, the Commission found that better outcomes would be achieved for the NSW community by improving safety through education and enforcement.

Rather than introducing mandatory insurance requirements for private device owners, the Commission recommends prioritising measures that prevent crashes before they occur, including:

• expanded public education campaigns promoting safe and lawful riding.
• targeted enforcement of existing road rules and device standards.
• greater coordination between government agencies, schools and community organisations.
• increased visibility of enforcement activities in high-risk areas.
• data-driven interventions to identify emerging risks and improve compliance.