PUBLIC TESTIMONY
Testimony by Freddi Goldstein, Representative from Uber
2:01:41
ยท
121 sec
Freddi Goldstein, representing Uber, testified in support of Intro 1050, which aims to reduce personal injury protection (PIP) insurance requirements for for-hire vehicle drivers in New York City. She argued that the current requirements are unnecessarily high and costly for drivers, given the low rate of serious crashes and existing coverage through the Black Car Fund.
- Goldstein highlighted that NYC for-hire vehicle drivers are required to carry four times more PIP insurance than other drivers, despite TLC data showing fewer than one serious crash per month on average.
- She noted that 98% of settled claims in New York state were for under $50,000 for accidents in 2021 and 2022.
- Goldstein emphasized that reducing PIP requirements from $200,000 to $50,000 per person could save drivers around $600 annually, providing some relief in a market facing increasing insurance rates.
Freddi Goldstein
2:01:41
Good morning, chair Brooks Powers and members of the committee.
2:01:44
My name is Freddie Goldstein, and I'm testifying today in support of intro ten fifty.
2:01:49
This bill is really about the drivers.
2:01:51
It is the drivers who pay for their insurance in New York City, and it is the drivers who bear the cost of unnecessary high insurance requirements.
2:01:58
New York City for hire vehicle drivers are required to carry four times more personal injury protection insurance than any other driver on the road.
2:02:06
And yet, TLC data tells us that their rate of serious crash is extremely low.
2:02:11
In fact, in 2024, the TLC reported fewer than one serious crashes per month on average for four hire vehicle drivers.
2:02:20
Further, this coverage is largely duplicative.
2:02:23
Uber and Lyft drivers are covered by the Black Car Fund, which pays out before personal injury protection.
2:02:28
Since the Black Car Fund pays out first, drivers have even less need for PIP than other New York drivers.
2:02:35
Additionally, passengers, pedestrians, and other drivers would be covered under a driver's liability insurance, which covers $100,000 per person and would not be impacted by this legislation.
2:02:46
While we do not have data for New York City specifically, we know that in New York state where we cover the insurance on behalf of drivers, 98% of settled claims were for under $50,000 for accidents from 2021 and 2022.
2:03:01
New York City's for hire vehicle market is in crisis, an issue that primarily must be addressed by the state.
2:03:07
So far, the governor's solution is for insurers to raise rates.
2:03:10
Since 2024, drivers have already seen anywhere from a 10 to 20% increase on average.
2:03:17
The governor's budget makes clear this is just the beginning.
2:03:20
Drivers will continue to see large rate increases for years to come.
2:03:24
Reducing PIP requirements from $200,000 to $50,000 per person is the only related action the council can take, and it would save drivers around $600 annually.
2:03:34
I hope you pass ten fifty on behalf of drivers, riders, and the millions of New Yorkers who rely on for hire vehicles.
2:03:41
Thank you for your time.