I was carving on the sidewalk (bad idea, I know) and clipped a jogger coming around a corner. She fell, hit her head, and needed stitches. Two weeks later, I was served with a lawsuit for $75,000. I wasn’t worried because I have a $1 Million Umbrella Policy. I sent the lawsuit to my agent. They rejected it, citing the “Recreational Motor Vehicle” definition.
Key Takeaways
- Umbrella Follows Underlying: Umbrella insurance usually only kicks in after your home/renters liability pays. If your renters policy excludes the Onewheel/E-Skate as a “motor vehicle,” the Umbrella policy often excludes it too.
- The “Recreational” Loophole: Some umbrellas cover “recreational vehicles” (like golf carts), but only if they are used on your premises. A sidewalk three blocks away is not “insured premises.”
- Sidewalk Legality: If riding on the sidewalk is illegal in your city (which it is in many places), the insurer can deny the claim based on the “Criminal/Illegal Acts” exclusion.
- Defense Costs: The biggest loss isn’t the payout; it’s the lawyer fees. Without insurance, you pay $400/hour for your own defense.
The “Why” (The Motor Vehicle Trap)
“Excluded: Liability arising out of the ownership, maintenance, or use of a recreational motor vehicle… away from an insured location.”
A 20mph electric skateboard fits the definition of a recreational motor vehicle.
The Investigation: Seeking Defense
I interviewed brokers about umbrella coverage for PEVs.
1. GEICO / RLI Umbrella
- Analysis: They are strict. They typically require you to list every vehicle. If you didn’t list the Onewheel, it’s not covered. If you try to list it, they might refuse to write the policy.
2. Personal Liability (Oyster/Specialty)
- Analysis: The Solution. These policies act as primary liability for the board. They cover you on the sidewalk, in the street, or at the park.
- Limit: usually $100k or $300k.
3. Homeowners Endorsement
- Analysis: Rare. Some high-net-worth carriers (Chubb/AIG) might endorse it if you ask, but standard carriers (State Farm/Allstate) will likely say no.
Comparison Table
| Policy Type | Covers Sidewalk Crash? | Legal Defense Included? |
| Standard Umbrella | NO (Usually) | No |
| Homeowners Liability | NO (Motor Vehicle Excl) | No |
| Standalone PEV Liability | YES | YES |
Step-by-Step Action Plan
- Check Local Laws: Google “Is riding e-skate on sidewalk legal in [My City]?” If it’s illegal, no insurance will save you. Ride in the street or bike lane.
- Buy Standalone Liability: Do not rely on your umbrella. Buy a specific policy for the board. It is the only way to get a lawyer paid for by insurance.
- GoSlow around Pedestrians: The best insurance is not hitting anyone. Slow to walking speed.
FAQ
Can they garnish my wages?
Yes. If you lose the lawsuit and have no insurance, they can take a portion of your paycheck for years.
[IMAGE: Diagram showing “Umbrella Coverage” with a hole cut out labeled “Motorized Vehicles”]