The early days of Summer 2017 have seen a spate of activity involving important changes to the statutes and regulations governing automobile insurance, of which practitioners should take note. The recent legislative and regulatory amendments pertaining to “transportation network companies,” such as Uber, Lyft, Gett, and the like, which include amendments to the SUM Endorsement set forth in Regulation 35-D, are described below.

In the next installment of this article, I will discuss another set of amendments to the SUM Endorsement, expected to go into effect on Aug. 1, 2017, as well as an update on the SUM Limits bill recently passed by both houses of the New York State Legislature, and presently awaiting Gov. Andrew Cuomo's signature.

VTL Article 44-B

By the Laws of 2017, Chapter 59, part AAA, §2, effective June 29, 2017, the New York Vehicle and Traffic Law was amended to add a new Article 44-B, titled Transportation Network Company Services, to deal with the proliferating phenomenon of such services as Uber, Lyft, Gett and the like. Although these services have several different models, the most typical model utilizes drivers that are not professional livery drivers and who use their own personal vehicles to provide prearranged rides. Article 44-B, which consists of 11 subsections, VTL §§1691-1700, containing legal requirements applicable to “transportation network companies” (or TNC as they are referred to throughout the new statutes), TNC vehicles and TNC drivers, includes, as pertinent hereto, several provisions dealing with the financial responsibility/insurance for such vehicles.