The UK government's ban on disposable vapes has so far failed to reduce the number of fires involving e-cigaretters, and for insurers, the claims trajectory pointed firmly in the wrong direction.
Freedom of Information data obtained by Zurich Insurance from 38 UK fire brigades showed that incidents involving electronic cigarettes were approximately a third higher in 2025, at 172 fires, compared with 132 in 2024, despite the ban on single-use vapes taking effect on June 1, 2025.
In 2021, just 31 such incidents were recorded. Zurich cautions that the true total is likely higher still, as the cause of serious fires is not always determinable, not all brigades collect the relevant data, and smaller fires in refuse vehicles are often dealth with before emergency services arrive.
Vape fires represent a fast-growing component of a broader and already costly lithium battery exposure for UK insurers.
Fire services attended approximately 1,330 lithium-ion battery fires across all device types in 2024 — almost double the 690 recorded in 2022 — with insurers facing claims that are increasingly complex, high-value and difficult to recover. Data from Allianz indicated that fires caused by lithium batteries now average £50,000 per claim.
The unpredictable nature of lithium battery fires is prompting some building and property insurers to consider declining or restricting cover, or charging additional premium. It is also becoming more difficult for companies whose businesses rely heavily on lithium batteries, including those in the manufacture, supply and retail of such products, to obtain cover from product liability insurers.
Charlie Bush, head of large and complex claims at Zurich UK, said the risk was real and present.
"Lithium-ion batteries are unpredictable and can cause particularly high temperatures in a fire. There are instances where blazes get out of control and people are seriously injured. Illegal imports and a general lack of understanding about fire risks are both issues which still need tackling," Bush said.
David Jones, director of underwriting at QBE Insurance, has stated that because fires caused by lithium-ion batteries represent a new and emerging risk, insurers need to adjust their pricing accordingly. DAC Beachcroft recommends that insurers set clear underwriting guidance for high-risk items, implement defined procedures for early site attendance that include asking about battery-powered devices at first notification of loss, and establish expert panels with proven experience in lithium battery causation and supply-chain analysis.
On the regulatory front, the UK Product Regulation and Metrology Act became law in July 2025, making lithium-ion batteries a priority product and mandating new safety, performance and labelling standards, as well as placing legal duties on online marketplaces to prevent the sale of unsafe battery products. Prestige Underwriting has noted that clearer product safety requirements could support more effective risk assessment and pricing, although the Zurich data made clear that regulation has yet to translate into a reduction in incidents on the ground.
With over £1 million worth of banned disposable vapes still sold in UK convenience stores during the first week of the ban alone, and illegal imports continuing to circulate, the enforcement gap remains wide.
The practical implication on insurers is straightforward -- vape-related fire risk is a mainstream and growing exposure that requires active management across underwriting, claims and recovery.
