Walter T. Mosley: Auto insurance rates need to be fair, and affordable

Like most New Yorkers, I start my workday by dropping my daughter off at school before heading to the office. Unfortunately, like some, I recently got involved in a rear-end accident as I waited to find parking. The crash served as a sudden reminder of something New Yorkers experience every day.

Auto insurance has become too costly, too complicated and too disconnected from the concept of fairness. Nearly every household in the state depends on a car, and when insurance premiums rise, families feel it immediately.

Across New York, people rely on their vehicles to get to work, to take their children to school, to care for loved ones and to stay connected with their communities. Car insurance is not optional. It is a basic requirement of daily life. Yet too many responsible drivers are paying inflated rates because fraud, staged crashes and systemic abuse continue to push costs higher for everyone.

A fair system should discourage reckless and unlawful behavior, not create incentives that undermine accountability. When responsibility breaks down, law-abiding New Yorkers are left to absorb costs that do not reflect how they live or drive. Restoring balance is not about punishment. It is about fairness, responsibility and trust.

Gov. Kathy Hochul has put forward a clear and thoughtful plan to address these challenges. Her proposal strengthens efforts to combat insurance fraud, closes loopholes that contribute to unnecessary litigation, and reinforces the principle that responsibility should matter. At the same time, it preserves protections for those who are legitimately injured and ensures that the system continues to function for those who follow the rules.

The proposal reflects the important role of government — not simply reacting when costs spiral upward, but stepping in when systems no longer operate as intended. New Yorkers expect their government to protect consumers, promote fairness and ensure that everyday people aren’t left paying the price for the misuse or exploitation of the system.

Hochul is advancing a coordinated, statewide approach to restore accountability and bring greater balance to the auto insurance system. Her proposal includes:

•  Strengthening efforts to identify, investigate and prosecute staged accidents and organized insurance fraud.
• Expanding accountability for people who organize or financially benefit from fraudulent crash schemes.
• Increasing oversight of medical providers who participate in fraudulent claims or improper diagnoses.

Addressing illegal out-of-state vehicle registrations that shift costs onto law-abiding New York drivers

• Strengthening insurer anti-fraud programs by giving insurers more time and flexibility to investigate suspicious claims.
• Limiting non-economic damage awards for those engaged in unlawful or reckless conduct at the time of an accident.
• Ensuring that drivers who are primarily responsible for causing accidents are not rewarded with excessive damage awards.
• Clarifying and tightening the definition of serious injury to reduce abuse while protecting those who are genuinely harmed.
• Ensuring that cost savings benefit consumers by maintaining strong oversight and protection so reduced system costs translate into relief for policyholders.

This approach reflects the values New Yorkers expect from their government. As part of the governor’s proposed budget, these reforms recognize that affordability is not abstract. It is personal. Bringing down auto insurance costs means easing pressure on household budgets, supporting workers and small businesses, and making our state more livable for everyone.

We all share the road, and we all share responsibility for one another. Governor Hochul’s proposal moves New York toward a system that reflects that shared responsibility and puts fairness back where it belongs. That is a goal worth advancing for families in every corner of New York state.

Walter T. Mosley is New York’s secretary of state.