Exhausting-Working New Yorkers Pressured to Pay Practically Double the Nationwide Common for Automobile Insurance coverage — $4,031 a Yr In comparison with $2,400 Nationwide.
Each household expense – from lease to groceries – could be extra manageable if Albany lastly addressed the authorized system failures driving up prices throughout New York.
NEW YORK—Residents for Reasonably priced Charges (CAR), a coalition of customers, advocates, and organizations preventing for working households battling crushing insurance coverage prices, in the present day highlighted the Partnership for New York Metropolis’s distressful new report, “Extreme Litigation Is Driving New York’s Affordability Disaster,” which exposes how authorized system abuse and rampant insurance coverage fraud are forcing New York households to pay auto insurance coverage premiums 52% increased than households anyplace else in America.
Working households throughout New York – from immigrant communities in Queens to Latino households within the Bronx, from African American households in Brooklyn to South Asian households on Lengthy Island – are being compelled to decide on between conserving their automobiles and placing meals on the desk. At $4,031 a yr for full protection, that’s almost $700 a month only for the privilege of driving to work.
The report’s despairing findings affirm what struggling working households have recognized for years – Albany’s inaction is instantly hitting their wallets:
· No-fault insurance coverage fraud: New York’s damaged system accounts for as much as 93% of all well being care fraud reported to the state, with working households paying the value by way of skyrocketing premiums.
· Taxi and for-hire automobile scams: NYC’s largest insurer experiences that as much as 70% of claims are fraudulent, threatening the livelihoods of hundreds of immigrant drivers who rely on these jobs to help their households.
· Crushing litigation prices: New York households are compelled to pay over $7,000 yearly in hidden tort prices – 67% above the nationwide common and the second-highest burden in the complete nation.
“Every single day, households who’re one automobile restore away from monetary catastrophe are additionally being crushed by exorbitant insurance coverage prices,” stated José Bayona, a spokesperson for CAR. “This isn’t about dwelling in a giant metropolis or city – that is about Albany refusing to face as much as the fraud rings and damaged authorized system which are choosing the pockets of working households each single month.”
Whereas lawmakers debate in Albany, actual households are making not possible selections. Dad and mom are compelled to pay insurance coverage premiums that they generally can’t afford. Small enterprise house owners are pondering closing outlets as a result of they will’t take in these crushing prices. Immigrant households who got here right here for alternative are being pushed out by bills that shouldn’t exist.
“Each month that Albany refuses to behave, one other thousand households fall behind on lease, small companies shut their doorways, and the neighborhood loses hope,” Bayona added. “Our elected officers have the ability proper now to cease this fraud, slash these charges, and provides working households throughout each neighborhood in New York the reduction they desperately want and deserve.”
Obtain the complete Partnership for New York Metropolis’s report by visiting this link.
About Residents for Reasonably priced Charges (CAR)
Residents for Reasonably priced Charges is a coalition of customers, advocates, and organizations preventing for working households crushed by excessive insurance coverage premiums throughout New York. Via relentless advocacy, neighborhood schooling, and the pursuit of actual coverage reform, CAR works to construct a good, clear, and inexpensive insurance coverage system that serves all New Yorkers, not simply the rich and well-connected.
For extra details about Residents for Reasonably priced Charges, please go to https://www.citizensforaffordablerates.com/
