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They claim that the mid mount location utilizes the gears better
That's the trade off, a hub motor has to work over the full range of wheel speeds, a BB motor only has to deal with the narrower range of crank speeds. Also, BB mount is better balanced if you have to pick the bike up, but that's not likely to be an issue for old people on cargo trikes.
gbj_tester
Tijmen
I'd think so too, and like tester says the losses will be slightly greater on a BB motor. That said, most ebike blogs seem to prefer that location, saying that hub motors get "bogged down" on long, steep climbs. They claim that the mid mount location utilizes the gears better, somehow is better integrated.