New Erie Insurance survey shows consumers underestimate the dangers of lithium-ion batteries; nearly 70% of Americans are not concerned or have not given any thought to the many risks
ERIE, Pa., May 6, 2025 /PRNewswire/ -- Found in everything from phones to tablets to computers to e-bikes to cordless tools, shavers and toothbrushes, lithium-ion batteries now power literally billions of personal items that are found throughout the average home. Despite their popularity, a recent study by Erie Insurance found that nearly one-quarter (23%) of respondents had no idea what lithium-ion batteries are, and nearly 70% had little-to-no concerns about their serious safety risks.
Today, more lithium-ion batteries are used than ever before—and for good reasons. They include 90% cost reductions since 2010, longer lifetimes and higher energy densities (which means they can go longer in between charges).
There is, however, a dark and relatively unknown dangerous side to these increasingly popular energy sources. In particular, lithium-ion batteries can cause fires and explosions if they are mishandled—the type of fires that burn faster and hotter than most other types of fires. When they fail, they can also release toxic gases like hydrogen fluoride, carbon monoxide, hydrogen cyanide and hydrogen chloride, posing serious health risks. A demonstration of the speed and intensity of an average lithium-ion battery fire can be viewed at UL FSRI Lithium-Ion Battery test.
"The high energy density of lithium-ion batteries is what causes them to release so much heat when they are overcharged, discharged too quickly, stored improperly or damaged," said Skip Donnell, regional risk control consultant for Erie Insurance, who spends much of his time at work educating consumers and business owners on the additional fire risks of lithium-ion batteries.
Added risks, added costs
As a result of their intense heat levels and the faster speed at which they burn, lithium-ion battery fires allow less time for inhabitants to safely escape a home or business, and they often cause more extensive property damage. In tracking claims data over the past few years, Erie Insurance documented that fires started by lithium-ion batteries caused more than three times as much in property damage with claims averaging $222,000, compared to the average loss payment due to fire, regardless of cause, of $73,000. Insurers like ERIE are also seeing a higher frequency of these fires in residences and businesses, likely because they are found in so many different household and business products today.
Despite the growing frequency and intensity of these fires, the same Erie Insurance survey showed an overall lack of awareness by consumers, with 30% admitting they were unaware of the added fire risks. Worse is that 40% of respondents confirmed they didn't know how to put out these fires.
Due to their unique structure and chemical composition, along with their comparatively high energy density, lithium-ion batteries present added risks and must be handled very carefully. Only fire and explosion control solutions designed explicitly for lithium-ion battery failures should be used, as other options may be ineffective or could make the situation worse.
The National Fire Protection Association (NFPA) notes the proper way to extinguish these highly volatile fires is to use specialized extinguishing agents like the F-500 or a standard ABC or dry chemical fire extinguisher and then cool the batteries by submerging them in water. If not properly extinguished, these fires can burn for hours. Once cooled, disconnect the battery from the device or charger and move to a non-combustible surface.
Thermal runaway an added risk, especially for highly popular e-bikes and e-scooters
When damaged or overcharged, lithium-ion batteries don't just burn. Rather, they can go into what is known as a thermal runaway, a rapid and uncontrolled chain reaction where multiple cells heat rapidly and begin to spew toxic and flammable gases. These gases can cause unpredictable explosions that shoot flaming debris at high enough temperatures to melt through metal storage containers.
Donnell notes another challenge is the tendency of these fires to reignite. "A burning battery can appear to be extinguished but then unexpectedly reignites days or even weeks later." He further points out potential electrocution risks from unspent energy that has been stranded in damaged battery cells.
Larger, multi-cell lithium-ion batteries, like those used to power e-bikes and e-scooters, are especially vulnerable to thermal runaway because they're designed with multiple cells. One cell can ignite and easily start a chain reaction. According to Donnell, in an effort to bring down the cost of lithium-ion batteries, some manufacturers — especially some ones overseas that sell primarily online — have been making the separators between the cells thinner and less durable. This increases the chances of multiple cells burning and exploding.
Ever since the COVID pandemic, more people are heading outdoors for exercise and recreation and more of them are taking their e-bikes and e-scooters with them. A study from the Physical Activity Council found that in 2023, 19.4% of Americans who rode a bike at least once reported using an e-bike, up from 7.7% in 2021.
In late 2024, Harvard Health Publishing reported that between 2018 and 2022, sales of e-bikes rose from around 250,000 per year to more than a million. E-bike and e-scooter rentals have also increased dramatically. There are many reasons for this growing popularity. Not only do e-bikes and e-scooters provide an easy and affordable mode of transportation, but they have a very low carbon footprint, luring environmentally conscious consumers to use them in lieu of a gas-powered vehicle for shorter trips.
Lack of awareness, concern and knowledge represent a triple threat
In the Erie Insurance survey, not only was it revealed that more than two-thirds (69%) of respondents have little or no concern about associated fire risks, but few of them knew what typically causes the fires. For example, less than one in five respondents (21%) knew that overcharging the battery could cause a fire, even though this is one of the most common causes of a device like an e-bike exploding into flames.
Such lack of awareness and concern explains why companies like ERIE and nonprofits like NFPA and Underwriters Laboratories (UL), as well as some local fire departments, have invested in education programs to help spread the word. Part of the education process is getting users to understand the common causes of fires which include:
- Overcharging the battery (especially when left on overnight)
- Improperly storing the battery in environments that are too hot, too cold or too humid
- Allowing the batteries to become damaged. (There have been reports of dogs literally eating them, along with other unfortunate mishaps.)
- Using the wrong battery or charger or a damaged one with your device.
- Purchasing low-quality batteries. (In recent years, the market has been flooded with less expensive batteries that don't meet UL standards.)
- Improperly disposing of batteries.
Erie Insurance was able to confirm the positive impact of education. Simply by having adults take the survey, the company saw the percentage of respondents who were at least somewhat concerned about the potential fire risks rise from 31% (when they first started the survey) to nearly 54% (upon completion).
Minimizing risks
In order to minimize the risk of fire or, at minimum, limit the intensity of the fire, Erie Insurance offers the following tips:
- Always follow manufacturers' instructions regarding the charging, storage and disposal of lithium-ion batteries
- When replacing the battery, ensure you are purchasing from a reputable seller and never buy second-hand. Confirm it is listed by a nationally recognized testing lab and labeled accordingly.
- Don't continue charging the device after the battery is fully charged.
- Don't store rechargeable batteries together as this could cause a chain reaction if one battery explodes. And don't store them in direct sunlight or inside hot vehicles
- Don't toss an old battery in the trash, as it could become crushed and explode at the landfill.
- Remove the battery if you don't plan to use the device for a while.
- Charge your devices in rooms with working smoke alarms.
- Don't charge devices near highly flammable materials, like those commonly used in furniture today, as those materials could provide more energy and intensify the fire.
- Don't store e-bikes or e-scooters near an entranceway, as you could block an escape route if a fire occurs. This is especially important in apartments, where there may be only one entrance/exit.
- Never try to tackle this type of fire by yourself, since standard fire-fighting solutions don't work in containing these fires. Call 911 for help.
About Erie Insurance
According to A.M. Best Company, Erie Insurance Group, based in Erie, Pennsylvania, is the 12th largest homeowners' insurer, 13th largest automobile insurer and 13th largest commercial lines insurer in the United States based on direct premiums written. Founded in 1925, Erie Insurance is a Fortune 500 company and the 17th largest property/casualty insurer in the United States based on total lines net premium written. Rated A+ (Superior) by A.M. Best, ERIE has more than 7 million policies in force and operates in 12 states and the District of Columbia. News releases and more information are available on ERIE's website at www.erieinsurance.com.
Survey Methodology
This survey was conducted online by Falls & Co. on behalf of Erie Insurance from Feb 21 through Feb 24, 2025, among a nationally representative sample of 1,000 U.S. residents ages 18 and older who self-reported they held a current driver's license. Falls established the sampling quotas, designed the questionnaire, tabulated the survey responses, and managed the overall project. Falls used SightX (New York, NY) to administer the survey via the internet, including mobile devices to U.S. panels who met the key demographic criteria. Our results are statistically weighted for age and U.S. Region to align the sample distribution with U.S. population characteristics per 2023 ACS 1-year estimates from the U.S. Census Bureau and 2022 estimates from the USDA Economic Research Service. This technique was used to mitigate the effects of oversampling that can occur when using online survey panels.
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SOURCE Erie Indemnity Company