What's happening
This bill requires motorcycle insurance policies to inform policyholders that no-fault coverage does not apply and underinsured motorist coverage is available.
Why it matters
Increases consumer awareness. By requiring insurers to notify motorcycle policyholders that no-fault insurance does not apply to motorcycles, the bill ensures riders are not caught off guard about what their insurance will (and will not) cover after an accident.
Highlights financial risk. The mandated notice about the $25,000 minimum coverage limit and the absence of no-fault benefits draws attention to the potential for out-of-pocket costs in the event of serious injuries, prompting riders to assess their financial exposure.
Encourages informed choices. By emphasizing that underinsured motorist coverage is available and can help offset the lack of no-fault coverage, the amendment empowers consumers to make more informed decisions about purchasing additional protection.
Potentially reduces uncompensated losses. With clearer information, more motorcyclists may opt for underinsured motorist coverage, reducing the risk of being left with uncompensated medical or injury-related costs after accidents where the other driver’s insurance is insufficient.
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Who cares
Headline styles
Inform Motorcyclists About Insurance
Plain English, a few words. Used as the page title.
Sponsors
1 Co-sponsor
History
- Referred to insurance
- Delivered to assembly
- Passed senateVote 62–0
- Ordered to third reading cal.1846
- Committee discharged and committed to rules
- Referred to insurance
- Referred to insurance
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Inform Motorcycle Owners of Coverage
In Assembly Committee · Insurance · Sponsor Donna Lupardo
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
6455
2017-2018 Regular Sessions
IN SENATE
May 22, 2017
Introduced by Sen. DeFRANCISCO -- read twice and ordered printed, and when printed to be committed to the Committee on Insurance
AN ACT to amend the insurance law, in relation to motorcycle insurance policies
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 5103 of the insurance law is amended by adding a new subsection (f-1) to read as follows:
(f-1) Every owner's policy of liability insurance issued on a motorcycle in satisfaction of the requirements of article six or eight of the vehicle and traffic law or section twenty-four hundred seven of such law shall inform the insured that no-fault insurance provisions for automobiles or motor vehicles do not apply to motorcycles and that state underinsured motorist coverage is available, and that the lack of no-fault insurance under some circumstances can be offset by the purchase of state underinsured motorist coverage, since damages may exceed twentyfive thousand dollars, which is the amount of coverage required by law.
§ 2. This act shall take effect on the one hundred twentieth day after it shall have become a law; provided that any rules and regulations necessary to implement the provisions of this act on its effective date are authorized and directed to be promulgated and shall become effective on such date.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02178-01-7
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the insurance law, in relation to motorcycle insurance policies
Purpose
To ensure that the owners of motorcycles are aware that automobile no fault insurance law does not apply to motorcycles and that New York State underinsured motorist coverage is available.
Summary of provisions
Section 1 - Provides that insurance companies provide policy language advising motorcyclists that no fault insurance provisions for automobiles do not apply to motorcycles and that, as an alternative, state underinsured motorist coverage is available; and requires that motorcyclists who refuse state underinsured motorist coverage sign a statement confirming they were informed of the availability of that coverage.
Section 2 - Sets the effective date.
Justification
Motorcyclists currently do not have coverage for actual damages and lost wages if they do not possess state underinsured motorist coverage which puts assets at risk and/or leaves judgments for damages unpaid.
This bill will encourage motorcyclists to obtain this insurance by ensuring that they are aware of the potential risk in not possessing state underinsured motorist coverage and also afford protection for individuals who seek damages when damages might otherwise not be collected.
Legislative history
A5381a - 2011-12 A3600 - 2013-14 A3232 - 2015-16
Fiscal implications
None to the State.
Effective date
The 120th day after it shall have become law or on such date that any rules and regulations necessary to implement the provisions of this act are authorized to be promulgated and shall become effective.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.