PUBLIC TESTIMONY
Testimony by Geoff Berman, Director of Public Policy at Lyft
2:07:18
ยท
140 sec
Geoff Berman from Lyft testifies in support of legislation to lower the required Personal Injury Protection (PIP) insurance coverage for TLC drivers from $200,000 to $50,000. He argues this change would align TLC coverage with other rideshare drivers and personal vehicle owners, reducing costs for drivers while maintaining sufficient protection.
- The current requirement places an undue financial burden on for-hire vehicle drivers.
- Lowering PIP requirements would reduce duplication of coverage, combat insurance fraud, and encourage market competition.
- Berman urges the city council to support this reform to bring relief to licensed drivers.
Geoff Berman
2:07:18
There we go.
2:07:20
Chair Brooks Power, members of the committee, I'm Jeff Berman, director of public policy at Lyft.
2:07:24
Nice to speak to you, this afternoon.
2:07:27
I'd also like to express my gratitude to council member Carmen de la Rosa for her leadership in sponsoring this critical legislation.
2:07:35
As you've heard, currently, TLC drivers are required to carry $200,000 in personal in in PIP coverage, four times the amount for TNC drivers and personal call drivers throughout the rest of New York state.
2:07:48
That's a requirement.
2:07:49
There's nothing if the coverage limit is lowered to 50,000 that would prevent somebody who feels they want more coverage from buying more.
2:07:57
We're simply saying eliminate the requirement.
2:08:02
The excess requirement places an undue financial burden on for hire vehicle drivers, making it increasingly difficult for them to afford necessary insurance premiums.
2:08:11
Lowering the PIP requirement to 50,000 would align TLC coverage with that of other rideshare drivers and personal vehicle owners, reducing costs for drivers while maintaining specific, sufficient protection in three ways.
2:08:26
It would reduce duplication of coverage.
2:08:28
As you've heard, four high vehicle drivers in New York already received benefits largely duplicative of PIP coverage through the black car fund or through workers' compensation.
2:08:38
It would combat insurance fraud.
2:08:41
The high no fault limits incentivize fraudulent claims, which drive up costs for insurers and in turn for drivers.
2:08:47
Lowering the limits would help mitigate these abuses.
2:08:51
And it would encourage market competition.
2:08:53
The diminishing availability of commercial auto insurance in New York City poses a growing risk to the industry.
2:08:59
Excessive insurance requirements discourage new carriers from entering the market, reducing competition and further increasing costs.
2:09:07
A reduction in PIF PIP requirements would help stabilize the market and create more affordable insurance for drivers.
2:09:14
The current state of commercial auto insurance in New York City creates significant challenges for for hire vehicle drivers, including Uber, Lyft, and Yellow taxis.
2:09:22
While no single policy solution will change or fully resolve these challenges, lowering these requirements is smart, practical, and necessary.
2:09:30
I urge the city council to support this important reform to bring much needed relief to licensed drivers.
2:09:36
Thank you for your time and consideration.
Selvena N. Brooks-Powers
2:09:38
How do you see this bill, combating fraud?