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California's New E-Moto Law Exposes Insurance Gaps for Riders

By Advos•
California's SB 1167 forces e-moto sellers to disclose that their products are motor vehicles, a change that could reduce crashes but leaves current riders facing serious insurance and liability risks.
California's New E-Moto Law Exposes Insurance Gaps for Riders

California Governor Gavin Newsom signed Senate Bill 1167 this week, creating a legal distinction between electric bicycles and more powerful electric motorcycles, often called e-motos. Effective January 1, 2027, sellers must state in all advertising that e-motos are motor vehicles requiring registration, an M1 or M2 motorcycle license, and insurance, as reported by Streetsblog California and Bicycle Retailer. E-bikes remain capped at 750 watts.

The law arrives as motorcycle crashes remain a serious concern in East County. In 2023, El Cajon recorded 34 motorcyclists killed or injured, ranking ninth worst among 62 similarly sized California cities, according to the California Office of Traffic Safety. Barry P. Goldberg, A Professional Law Corporation notes that the new classification could have broad implications for riders, drivers, and families involved in collisions.

Many e-moto owners believe they purchased a bicycle and never obtain the license, registration, or insurance the law already requires. That gap can complicate an injury claim in several ways. When an uninsured e-moto rider causes a crash, the injured person may turn to their own uninsured motorist coverage, which applies when the at-fault motor vehicle carries no liability insurance. When the e-moto rider is the one injured, many auto policies exclude uninsured motorist coverage for injuries on a vehicle the policyholder owns but did not insure, which can leave riders without a backup source of recovery. When fault is disputed, riding without a motorcycle license does not by itself make a rider responsible for a crash, but insurers often raise it to argue the rider shares the blame.

"Most families who buy these machines have no idea they've bought a motorcycle," said Barry P. Goldberg, founder of the firm and a recognized authority on uninsured and underinsured motorist law in California. "The new disclosures should help. Until they take effect, anyone who rides one or shares the road with one should confirm their auto policy carries uninsured motorist coverage, because that's often what pays after an e-moto crash."

The change matters beyond California's borders. As e-motos gain popularity nationwide, other states may follow with similar disclosure requirements. For now, the law leaves a window before enforcement begins, and riders who fail to secure proper coverage could face financial ruin after a crash. Insurers may also adjust policies, potentially raising premiums for e-moto owners. The firm's motorcycle accident lawyer in El Cajon, CA represents riders, drivers, and families of those killed in these collisions, and the new law could lead to more informed decisions and fewer disputes over fault and coverage.

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