Gov. Hochul's Uber-Backed Car Insurance 'Reforms' Threaten Payouts To Crash Victims - Streetsblog New York City
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Gov. Hochul's Uber-Backed Car Insurance 'Reforms' Threaten Payouts To Crash Victims - Streetsblog New York City
"Gov. Hochul is pursuing an Uber-backed plan to limit payouts to crash victims, under the guise of "affordability" and bogus claims that "staged crashes" drive up insurance rates, advocates and experts said."
"Hochul announced the plan, which constrains the state's definition of a "serious" traffic injury, during her State of the State address on Tuesday."
"Mayor Mamdani, who ran on a platform of street safety as well as affordability, endorsed the proposal on the same day. The new policies would shift the cost of traffic injuries and deaths from drivers and insurance companies onto crash victims, according to attorneys who have represented them."
""Who's going to pay for traffic violence?" asked attorney Steve Vaccaro. "Is it going to be people who drive, through higher insurance rates, or is it going to be people who are going to pay through life and limb?""
""It's a dense urban environment with a lot of people who can get hurt moving around, so that's just built in," Vaccaro said."
Hochul is pursuing a proposal backed by Uber to limit insurance payouts by narrowing what qualifies as a "serious" traffic injury, presenting the change as an affordability measure. Mayor Mamdani endorsed the proposal. Attorneys warn the policy would shift the costs of traffic injuries and deaths from drivers and insurers onto crash victims. Hochul cited New York's average full-coverage insurance cost of $4,030 versus the national $2,680 and blamed outdated laws and staged crashes. Advocates counter that high urban insurance costs stem from density and exposure, and question who will bear the burden of traffic violence.
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