A 17% rise in lithium-ion battery-related fires over the past year is raising concerns in New Zealand, with improper charging, storage, and disposal identified as key causes, according to AMI Insurance.
Wayne Tippet (pictured), AMI’s executive general manager of claims, said that over half of battery-related fire claims involved devices that were not actively in use.
“Consumer safety and battery handling education to ensure the safety of New Zealanders is vital. Lithium-ion batteries can be found in devices everywhere, including in our pockets, so it’s important we all learn how to take care of these items to ensure they don’t ignite,” he said.
More than 20% of AMI’s lithium-ion battery fire claims last year involved devices catching fire while charging. Incidents included fires in drones, e-bikes, cars, and campervans, often when left unattended for extended periods.
Battery-related fire claims have been spread across multiple insurance categories, including motor (27%), contents (25%), home (23%), commercial (23%), and marine/boat (2%).
Councils have also reported a rise in waste collection truck fires due to lithium-ion batteries being improperly discarded.
“Please don’t throw batteries and battery-powered devices in your household waste,” Tippet said. “There are a number of collection facilities around the country for used batteries, including at most Mitre 10 and Bunnings Warehouse stores, and e-waste services or recycling services for electronics.”
Tom Ronaldson, community education manager at Fire and Emergency New Zealand, said while lithium-ion batteries are widely used, they can pose a fire risk if punctured, overheated, or exposed to water.
“To protect your battery, always use the correct charger for the device. If your battery is damaged, or hot to touch while charging, replace it immediately with one from the manufacturer,” he said. “Always avoid charging devices on soft surfaces or leaving them plugged in for extended periods.”
As more everyday devices rely on rechargeable batteries, insurers are also reporting an increase in claims for stolen or damaged electronics, particularly among young renters.
According to State Insurance, electronics – including smartphones, laptops, and gaming consoles – account for 63% of contents claims from renters under 25.
Tippet, who also oversees claims at State, said theft is the primary reason for these high-value claims, with some individual claims exceeding $20,000. Many claims stem from thefts in vehicles parked outside gyms, universities, and other public spaces, where valuable electronics are frequently left unattended.
The increase in lithium-ion battery fires and electronic theft claims highlights the need for Kiwis to be mindful of both safety and security risks.
State reported a 67% rise in the average cost of claims, a trend attributed to both higher replacement costs and the increasing frequency of thefts, fires, and extreme weather events.
“We all know that the cost to repair our prized items has increased, and this hits New Zealanders in the pocket, too, especially for lower-income households. So, it’s important to find ways to minimise the financial strain that these unexpected events can cause,” Tippet said.