Toronto Wants E-Bike Licenses and What Does That Mean for Newcomers Delivering Food Across the City?

It sounds like a small tweak, but for many newcomers who rely on these bikes for work, the idea hits a nerve. And strangely enough, it might also be the thing that protects them the most.

Why Toronto Is Talking About Licensing 

City council has asked staff to explore whether “motorized micromobility devices” should be licensed. It sounds very official, but it mostly means e-bikes. E-scooters are still banned. 

What licensing could do is close some quiet but serious insurance gaps that leave riders in tough situations. 

The Newcomer Question “Will I Even Qualify for a License” 

This is where things get tricky. Take Armaan Singh, for example. He delivers for Uber Eats, like thousands of newcomers do. Armaan worries that a licence system might shut people out before they even get a chance to start. 

A lot of riders don’t have stable housing yet, or a formal lease, or the kind of Canadian documents a licensing office might demand. 

So yes, licensing could make their work harder to begin. But it might also make their work safer. 

The Insurance Gap 

E-bikes do not require insurance in Ontario. That sounds convenient, but it leaves major holes when something goes wrong. 

• If a car hits an e-bike rider, they are covered under Ontario’s no-fault insurance. 

• If anything else happens, such as a bad curb, another cyclist, a mechanical issue, or even a runaway shopping cart, coverage becomes unclear. 

• Many riders end up with no income support and sometimes no compensation at all. 

It is surprising that a rider can be injured and unable to work but still be left without a safety net because a car was not involved. 

A Complication With Modified E-Bikes 

If a car hits an e-bike rider, no-fault insurance applies, even if the rider was on an e-scooter that is not legal on Toronto roads. A bylaw violation does not cancel accident benefits.

The trouble begins when the e-bike has been modified to go faster than the legal 32 km per hour limit. At that point, it no longer counts as an e-bike. The province treats it as an illegal motor vehicle unless it is registered, insured, and operated with an M-class license. 

When riders do not meet those requirements, they can lose access to civil claims for things like pain and suffering, long-term care, or lost income. They still get basic no-fault benefits if a car was involved, but some riders have been denied income support because their bike was not legally allowed on the road. 

The problem is that many riders are unknowingly using bikes the law treats as uninsured motor vehicles, and that strips away protections they assume they have. 

Can You Get Your Own E-Bike Insurance? 

It would be nice if riders could buy an affordable policy and stop worrying. There are e-bike insurance products in Canada, but most protect the bike itself, such as theft or damage. 

The coverage riders actually need is much harder to find. The few policies that offer liability or personal injury coverage can be expensive or complicated, and many riders cannot afford them. 

So insurance exists, but it does not solve the biggest problems. Proper protection for riders and the people they might collide with is still limited, costly, or out of reach. 

Licensing could encourage insurers to finally offer affordable coverage for delivery workers.

What About Delivery App Coverage 

Uber offers third-party injury coverage and WSIB protection, but only while a delivery is active. From tapping “accept” to handing off the order, riders are covered. Roaming between orders is not. 

DoorDash puts the responsibility on riders to carry their own insurance, even though the type of insurance they need barely exists. When pedestrians are injured, they often receive no compensation at all. 

The Province Is Looking at Changes 

Ontario is reviewing how e-bikes are defined under the Highway Traffic Act. The details are unclear, but the province says it is listening to feedback from riders, insurers, and industry groups. E-scooters are not part of this review. 

What Newcomers Should Pay Attention To 

If you are new to Canada and thinking about delivery work, here are a few things worth watching. 

• Documentation: If licensing becomes real, what will you need to show? 

• Insurance changes: Could new policies finally become available? 

• Bike compliance: That great deal on a used e-bike might come with legal strings. 

• Gig app safety nets: How apps update their coverage matters more than ever. 

Even with the uncertainty, one thing is clear. The current system leaves too many people exposed. Licensing, while imperfect, could give newcomers a safer footing in a job that already demands long hours, tough weather, and constant navigation through downtown streets. 

Licensing might feel like more red tape. It might even feel like another cost. But it could also be the first real step toward safety and financial protection for the people keeping Toronto’s delivery economy moving. 

If the system changes, newcomers should not be left scrambling. They should be informed, prepared, and able to work with confidence.