BILL NUMBER: S2528
SPONSOR: FELDER
 
TITLE OF BILL:
An act to amend the vehicle and traffic law and the insurance law, in
relation to requiring liability insurance for bicycles, bicycles with
electric assist and electric scooters in cities having a population of
one million or more
 
PURPOSE:
Requires all bicycles, E-Bikes and E-Scooter operating in NYC have
liability insurance.
 
SUMMARY OF PROVISIONS:
Section 1 amends the Vehicle and Traffic law by adding a new section
1244 that requires bicycles or bicycles with electric assist operating
in a city having a population of one million or more shall be covered by
a policy of insurance, issued by an insurance carrier authorized to do
business in this state. Proof of the minimum-required insurance must be
present upon the request of a judge, police officer or a person claiming
to have suffered injury or property damage as a result of the operation
of a bicycle or bicycle with electric assist.
Section 2 amends the Vehicle and Traffic law by adding a new section
1290 that requires scooters with electric assist operating in a city
having a population of one million or more shall be covered by a policy
of insurance, issued by an insurance carrier authorized to do business
in this state. Proof of the minimum-required insurance must be present
upon the request of a judge, police officer or a person claiming to have
suffered injury or property damage as a result of the operation of a
scooter with electric assist.
Section 3 amends section 5103 of the insurance law to include bicycles,
bicycles with electric assist, and electric scooters in New York State's
No-Fault Insurance System.
Section 4 sets forth the effective date of this legislation.
 
JUSTIFICATION:
Currently, to register and operate a vehicle in New York State, you must
have New York State issued automobile liability insurance coverage.
According to the Department of Financial Service's website, the purpose
of New York's No-Fault insurance law is to restore individual's hurt in
auto accidents to health and productivity as swiftly as possible.
The benefits of requiring automobile liability insurance coverage are
that pedestrians and drivers are better protected from injury and harm
in the event of an accident. In fact, it is such a good idea that it is
a requirement in 49 out of 50 states.
While all pedestrians injured by motor vehicles in New York State are
protected by No-Fault insurance, that is not true if a pedestrian is hit
by a bicycle, bicycle with electric assist, and electric scooter. By
requiring that bicycles, bicycles with electric assist, and electric
scooters have liability insurance in order to operate in NYC, we would
be better protecting pedestrians, as well as operators of bicycles,
e-bikes, and e-scooters.
As more and more individuals operate these types of vehicles, our road-
ways are becoming more dangerous for everyone. One way to help address
that danger and make our roadways safer is by requiring bicycles,
e-bikes, and e-scooters to have liability insurance.
When Governor Rockefeller began advocating for changes to New York's
automobile liability insurance system, he said " 
It is time to bring
our accident compensation out of the horse-drawn era into which it was
born, and into the motorized age which it is supposed to serve."1 It is
now time that we do the same and update our current laws to conform to
the new normal on our streets.
1. http://scholarship.law.stjohns.edu/cgi/viewcontent.
cgi?article=3541&con text=lawreview
 
PRIOR LEGISLATIVE HISTORY:
2021/22: S7294 - Transportation Committee
2023/24: S1373 - Transportation Committee
 
FISCAL IMPACT:
To be determined.
 
EFFECTIVE DATE:
This act shall take effect 120 days after it shall become law.

Statutes affected:
S2528: 5103 insurance law, 5103(f) insurance law