The holiday season is a time for joy, but could the gifts under your clients’ trees pose an unexpected fire hazard? With the rising prevalence of lithium-ion batteries powering many of today’s electronics, the risk of fires caused by these batteries is growing—highlighting the importance of comprehensive home insurance to protect against fire-related damages.
Why Lithium-Ion Batteries Can Be Dangerous
Lithium-ion batteries are integral to smartphones, laptops, tablets, e-bikes, and gaming consoles. While they’ve revolutionized technology, they also come with inherent risks, particularly the potential for a dangerous thermal runaway reaction.
This occurs when the battery’s internal temperature rises uncontrollably due to factors like internal short circuits, overcharging, or physical damage. The process releases flammable gases that can ignite, leading to fires or even explosions. Unfortunately, once thermal runaway begins, it cannot be stopped.
A Growing Concern
The widespread use of lithium-ion batteries amplifies this risk. In 2023 alone, over one billion smartphones were sold globally, most powered by lithium-ion batteries. Beyond phones, these batteries power a range of everyday items, from smartwatches to e-scooters.
In fact, some high-profile cases have highlighted the dangers. For instance, manufacturing defects in a popular tablet led to global recalls due to battery fires and explosions.
Warning Signs to Watch For
While the risks are real, there are often warning signs of impending battery failure:
- Overheating
- Swelling or physical deformation
- Discolouration
- Leaking fluids
- Emission of strange odours
- Popping, hissing, or crackling sounds
Clients should be advised to monitor their devices closely and immediately act if these signs appear.
Lithium-Ion Battery Fire Risks and the Implications for Insurance
The hazards of lithium-ion batteries extend beyond homes. Fires caused by these batteries can lead to significant personal injury, property damage, and liability claims, especially in crowded public spaces like malls or airports. Additionally, used batteries stored for recycling or disposal are at an even higher risk of catching fire.
As QBE Insurance highlights in a recent report, “Monitoring and understanding battery health over the lifecycle is a crucial aspect of risk reduction. Taking preemptive action when a battery sustains damage greatly reduces the potential for dangerous incidents.”
Helping Clients Stay Safe
While lithium-ion batteries are here to stay, education and vigilance are key to mitigating risks. We encourage our clients to:
- Follow manufacturer guidelines for charging and storage.
- Replace damaged or old batteries promptly.
- Dispose of used batteries responsibly at designated recycling facilities.
- Be aware of warning signs and act quickly to prevent potential fires.
About Wedgwood Insurance
Wedgwood Insurance has offices in St. John’s & Corner Brook and is Newfoundland & Labrador’s largest independent insurance broker. We provide straightforward home, auto & business insurance advice.
With over 280 Google My Business reviews, experience the Wedgwood difference with expert advice from our dedicated team. We ensure that every client has the coverage that best suits their needs through upfront complimentary consultations and midterm reviews.
