N.Y. Comp. Codes R. & Regs. Tit. 11 §§ 60-4.3

Current through Register Vol. 46, No. 51, December 18, 2024

Section 60-4.3 - Mandatory liability provisions

A group policy shall contain in substance the following minimum provisions that are equally or more favorable to the insured and judgment creditors, so far as such provisions relate to judgment creditors:

(a) insurance against loss from the liability imposed by law for damages, including damages for care and loss of services, because of bodily injury to or death of any person, and injury to or destruction of property arising out of the ownership, maintenance, use, or operation of a specific motor vehicle or vehicles within this State, or elsewhere in the United States in North America or Canada, subject to a limit, exclusive of interest and costs, with respect to each such occurrence, of at least $1,250,000 because of bodily injury to or death of one or more persons, and injury to or destruction of property;

(b) with respect to such insurance as is afforded, the insurer, subject to the policy terms, shall: defend any suit, with the right to make such investigation, negotiation and settlement as it deems expedient; pay all premiums on attachment bonds and appeal bonds; pay all expenses incurred by the company, all costs taxed against the insured in any such suit, and all interest accruing after entry of judgment until the insurer has paid or tendered or deposited in court such part of such judgment as does not exceed the applicable policy limits; pay expenses incurred by the insured for first aid to others at the time of accident; and reimburse the insured for reasonable expenses other than loss of earnings, incurred at the company's request. The amounts so incurred under this subdivision, except settlement of claims and suits, shall be payable by the company in addition to the applicable policy limits;

(c) a provision insuring as insured, during the peer-to-peer car sharing period:

(1) the named insured, the named insured's spouse if a resident of the same household with respect to the motor vehicle or vehicles;

(2) and any other person using the motor vehicle with the permission of the named insured or such spouse provided the person's actual operation or (if the person is not operating) the person's actual use thereof is within the scope of such permission; and

(3) any other person or organization but only with respect to the person or organization's liability because of acts or omissions of an insured within subparagraph (1) or (2) of this subdivision. As respects any person or organization other than the named insured the policy need not apply:

(i) to any person or organization, or to any agent or employee thereof, employed or otherwise engaged in operating an automobile sales agency, repair shop, service station, storage garage or public parking place, with respect to any accident arising out of the maintenance or use of a motor vehicle in connection therewith;

(ii) to any employee with respect to injury, sickness, disease or death of a fellow employee injured in the course of the employee's employment in an accident arising out of the maintenance or use of the motor vehicle in the business of their common employer; or

(iii) to any person or organization, or to any agent or employee thereof, with respect to bodily injury, sickness, disease or death, or injury to or destruction of property arising out of the loading or unloading of the motor vehicle. The insurance shall apply separately to each insured against whom claim is made or suit is brought, provided the inclusion of more than one insured shall not operate to increase the limits of the insurer's liability;

(d) a provision that the group policy shall afford bodily injury and property damage liability insurance during the peer-to-peer car sharing period for:

(1) any other vehicle of which the insured acquires ownership, leases, or otherwise is authorized to use provided it replaces the insured's shared vehicle described in the policy;

(2) any motor vehicle, used with the permission of the owner, and not owned by the insured or the insured's spouse or any resident of the same household, which is temporarily substituted for the shared vehicle while withdrawn from service because of breakdown, servicing, repair, loss or destruction; or

(3) the incidental use of a motor vehicle not owned by the named insured or a member of the insured's household, nor furnished or available for their regular use, provided the actual operation or other actual use thereof is with the permission of the owner and is within the scope of such permission;

(e) a provision required by subdivision (d) of this section need not apply to any accident arising out of the maintenance or use of a motor vehicle by a person employed or otherwise engaged in the business of a motor vehicle sales agency, repair shop, service station, storage garage or public parking place;

(f) a provision that when a motor vehicle is used or operated in any other state or Canadian province, a policy currently in effect or hereafter issued shall provide at least the minimum amount and kind of coverage that is required in such cases under the laws of such other jurisdiction. Any policy not containing such provision shall nevertheless be deemed to provide such coverage. This provision is not intended to create a duplication of coverage or benefits to the extent that a New York insured carries additional coverages under any automobile or motor vehicle insurance policy or is covered under an automobile or motor vehicle policy of a resident of the jurisdiction wherein an injury occurs;

(g) a provision that the insurer will not provide coverage for any insured who intentionally causes, or directs another person to cause, bodily injury or property damage;

(h) a provision that the insurance afforded by this policy is primary insurance during the peer-to-peer car sharing period; and

(i) a provision that if the insurer cancels the group policy, then the insurer shall provide written notice in conformance with Insurance Law section 3458.

N.Y. Comp. Codes R. & Regs. Tit. 11 §§ 60-4.3

Adopted New York State Register February 8, 2023/Volume XLV, Issue 06, eff. 2/8/2023