BILL NUMBER: S5482
SPONSOR: COMRIE
 
TITLE OF BILL:
An act to amend the vehicle and traffic law, in relation to indemnity
bonds or insurance policies for common carrier ambulettes and paratran-
sit vehicles
 
PURPOSE:
This legislation will provide 'relief from unaffordable insurance premi-
ums for ambulettes and paratransit vehicles
 
SUMMARY OF PROVISIONS:
Section I: Amends the vehicle and traffic law to require ambulette and
paratransit vehicles to have a combined single limit policy of at least
five hundred thousand dollars.
Section 2: Effective date.
 
JUSTIFICATION:
Ambulettes and paratransit vehicles all serve important roles for New
Yorkers. Ambulettes provide an alternative option for patients who
require transportation to medical facilities but do not need treatment
along the way. People depend on this service to get to chemotherapy
treatments, dialysis, and other crucial medical treatments. Under
current law, these entities are grouped with other for-hire-vehicles,
like limos, in relation to their required minimum insurance policies.
Due to this classification, ambulettes and paratransit vehicles are now
faced with unaffordable insurance premiums even though they serve very
different purposes and have different risk characteristics from other
for-hire-vehicle services.
Under Medicaid, recipients who require medical services but do not have
a means of travel to obtain the necessary care, may be provided with
approved transportation. Approved carriers are then reimbursed at a set
rate, which does not reflect the cost incurred by the increased insur-
ance premiums. This sudden increase has caused numerous companies to go
out of business since they can no longer afford to operate. To make sure
people still have access to these services, the state needs to adjust
the required minimum insurance policies. This legislation therefore
modifies the current minimum combined single limit policies to ensure
the statutory amount reflects the services ambulettes and paratransit
vehicles provide.
 
LEGISLATIVE HISTORY:
2023-24: S.409 (Thomas) / no same as
2021-22: S.6245-A (Thomas) / A.2153-A (Jean-Pierre): Referred to Trans-
portation.
2019- 20: S.8335 (Kaminsky) / A.10734 (Jean-Pierre): Referred to Trans-
portation.
 
FISCAL IMPLICATIONS:
None.
 
EFFECTIVE DATE:
This act shall take effect immediately.

Statutes affected:
S5482: 370 vehicle and traffic law, 370(1) vehicle and traffic law