Written by New York Governor Kathy Horchul announced plans today to tackle lawsuit abuse:
Money In Your Pockets: Governor Horchul Highlights Proposals to Bring Down Costs of Vehicle Insurance Rates and Tackle Fraudulent Claims
Governor Kathy Hochul today highlighted her proposals to bring down costs of vehicle insurance rates and tackle fraudulent claims across New York State. The Governor is taking common-sense steps to battle fraud, limit damages paid out to bad actors and ensure that consumers, not insurance companies, are prioritized. These proposals build on Governor Hochul’s ongoing efforts to make the state more affordable and put money back into the pockets of hardworking New Yorkers.“Since taking office, my top priorities have been to make New York more affordable and protect New Yorkers — and that’s why I proposed measures to bring down auto insurance costs and battle fraudulent claims that are driving up costs for everyone,” Governor Hochul said. “These common-sense proposals will not only increase auto insurance transparency for New Yorkers, but they will also put money back into people’s pockets, especially during a time when the cost of living is just too high.”
New Yorkers pay some of the highest car insurance rates in the nation — totaling just over $4,000 annually on average, nearly $1,500 above the national average. Car insurance rates are driven up by a combination of fraud, litigation, legal loopholes, and enforcement gaps, with staged crashes and associated insurance fraud inflating everyone’s premiums by as much as $300 per year on average according to some estimates.
Full press release here.