Reduces the cost of auto insurance for any automobile equipped with side door airbags

Title of bill

An act to amend the insurance law, in relation to reducing the cost of auto insurance for any automobile equipped with side door airbags

Purpose or general idea of bill

This bill would allow for premium reductions for non-commercial private passenger vehicles equipped with side door inflatable restraint systems (airbags).

Summary of provisions

Section 1. Amends Section 2336 of the Insurance Law by adding new subsection (i) that would give any schedule or rating plan for non-commercial private passenger automobile insurance an appropriate reduction in premium charges for personal injury protection and medical payment coverage's with respect to any insured vehicle equipped with a side door inflatable restraint system (airbags), which meet federal or appropriate equivalent standards. Provides that with respect to vehicles other than non-commercial private passenger vehicle, any schedule rating plan may include an appropriate premium credit, which reflects the existence of a side door inflatable restraint system.

Section 2. Effective Date

Justification

Studies show that side airbags which protect people's heads, reduce driver deaths in drivers side-struck cars by an estimated 37 percent. Airbags that protect the chest and abdomen but not the head, while still protecting the passengers, reduce deaths by only 26 percent. New York State law currently provides for premium reductions for vehicles equipped with passenger and driver side airbags. Since there is clearly a reduction in passenger injuries and deaths with vehicles equipped with side door airbags, this legislation aims to address those benefits with appropriate premium reductions.

Prior legislative history

2008: S.7939 (Referred to Senate Insurance Committee)

Fiscal implications

None.

Effective date

This act shall take effect immediately after it shall have become a law.