Motorized Kids Toys Insurance Implications to Consider

When purchasing an all-terrain vehicle (ATV), it’s probably obvious to you by their size and functionality that there is a liability risk involved and making sure you have the appropriate insurance coverage is top-of-mind. However, does that same thought cross your mind when purchasing smaller, less obvious, “vehicles”, such as a motorized kid’s car or a hoverboard? Although the possibility of seriously injuring a person or damaging property with a motorized toy is less likely than an ATV, it’s still important to make sure you are protected.

Are you covered?
There are several factors that decide whether or not standard homeowners insurance will cover these types of toys. You will want to ask yourself a few questions:
– Will this motorized toy be driven off of your property?
– Does this toy have the capability of going faster than 3 mph?
– Does this toy have 2 or 4 wheels?

Coverages apply differently based on the number of wheels.

Even if the answer to all of the above questions are no, you should still look into whether your motorized toy is covered under your insurance plan just to be sure you’re protected.

Depending on your plan and/or insurance company, different types of motorized toys may or may not be included. Specifically, you need to make sure the liability portion of your homeowners policy offers plenty of protection. For example, if a guest gets hurt while riding the ‘toy’ in or around your house and you don’t have sufficient liability insurance, you may be paying hospital bills and/or legal fees out-of-pocket. In addition, with so much risk and controversy surrounding hoverboards, carriers may elect to decline providing insurance protection altogether.

Furthermore, most homeowners insurance policies DO NOT extend liability coverage for motorized toys once they are off your property. Simply put, if your son or daughter takes this toy into the neighborhood, to the park, or to a friend’s house and they accidentally injure another child or damage property, your homeowners insurance may not cover those claims or any litigation that follows.

As these motorized toys rise in popularity they are quickly becoming one of the leading causes of injury for kids. Ride-on toys, including motorized kid vehicles, now account for 35% of injuries and 43% of hospital visits for kids under 181. With those injuries come the risks of mounting hospital bills and potential lawsuits from other parents.

Again, the likelihood of damaging property or injuring someone is fairly low, especially when you are talking about motorized toy cars, but it is still important to think about protecting yourself against the potential risk. Having a “that will never happen to me” attitude, could end up costing you a lot more pain and money in the long run.

We encourage you to contact an AgQuest/MN River Insurance agent today to make sure your liability risk is covered. Our agents know the complexities of the different homeowner, car and farm insurance plans and will be able to tailor your policies to protect your increasingly mobile family.

For those of you who still enjoy the “old fashioned” form of transportation, such as a non-motorized bicycle, never fear; it’s only motorized kid toys that pose a coverage issue.

AgQuest Insurance Agency is an Equal Opportunity Provider.

1U.S. Consumer Product Safety Commission’s National Electronic Injury Surveillance database