New York Codes, Rules and Regulations › Title 11 - INSURANCE › Chapter V - Rates And Rating Organizations › Subchapter H - Noncommercial Insurance Merit Rating Plans › Part 169 - Noncommercial Motor Vehicle Insurance Merit Rating Plans › Section 169.1 - Procedures

Current through Register Vol. 46, No. 28, July 10, 2024
The following procedures shall be applicable to all merit
					 rating plans which are subject to the provisions of section 2334  of the
					 Insurance Law.
(a) Property damage
				  threshold. An accident that does not result in aggregate damage to property in
				  excess of $2,000 shall not result in the assignment of points or any surcharge
				  under the rules of any merit rating plan. However, if an insured has two or
				  more accidents involving any property damage during the experience period, a
				  surcharge may be imposed.
(b)
				  Comprehensive coverage and comprehensive claims. Comprehensive premiums may not
				  be surcharged under any merit rating plan. Comprehensive claims may not be used
				  to surcharge any other coverage.
(c) Claims for bodily injury. A surcharge may
				  be imposed for an occurrence involving bodily injury (including a no-fault
				  injury subject to article 51 of the Insurance Law), provided the motor vehicle
				  was in operation and the insured was at fault. The establishment of a residual
				  bodily injury liability reserve shall not in itself imply that the insured was
				  at fault. An additional surcharge may not be imposed for bodily injury, if the
				  accident which resulted in the bodily injury is already surchargeable under
				  subdivision (a) of this section.
(d)
Other exceptions and
				  restrictions.
(1) No points or
				  surcharge may be imposed for an accident occurring under the following
				  circumstances:
(i) when the motor vehicle was
				  lawfully parked;
(ii) when the
				  motor vehicle of the insured or other operator resident in the same household
				  was struck in the rear by another motor vehicle, and the insured or other
				  resident operator has not been convicted of a moving traffic violation in
				  connection with the accident;
(iii)
				  when the motor vehicle operated by the insured or other operator was struck by
				  a hit-and-run vehicle, if the accident is reported to the proper authority
				  within 24 hours by the insured or resident operator;
(iv) when the insured or other resident in
				  the insured's household operates a vehicle for hire or a motor vehicle other
				  than a noncommercial motor vehicle, and the accident occurred while in the
				  course of employment and said accident did not result in a conviction for a
				  moving traffic violation;
(v) when
				  the insured has had an accident while operating, as an employee, a commercial
				  motor vehicle in the course of employment and in the discharge of the
				  employee's duties at the time of the accident, unless the accident is
				  determined to have been caused by the intentional action or gross negligence of
				  the insured. For purposes of this rule only, the term gross negligence shall
				  not mean the insured's failure to refuse to drive or operate a commercial motor
				  vehicle which has a defective condition that is known to the insured, provided
				  the insured had reported such defective condition to the insured's immediate
				  supervisor or employer;
(vi) when
				  the insured or other resident in the insured's household has had an accident
				  while, pursuant to article 44-B of the Vehicle and Traffic Law, the insured or
				  other resident in the insured's household was logged onto a TNC's digital
				  network but not engaged in a pre-arranged trip or engaged in a TNC prearranged
				  trip, and the accident did not result in a conviction for a moving traffic
				  violation, unless the policy is providing coverage for such operation of the
				  motor vehicle. If the coverage is provided pursuant to an endorsement, then the
				  insurer may impose a surcharge on the separate premium for the endorsement ;
				  or
(vii) when the insured or other
				  resident in the insured's household has had an accident while, pursuant to
				  article 40 of the General Business Law, the insured or other resident was
				  operating a shared vehicle through a peer-to-peer car sharing program during
				  the peer-to-peer car sharing period, unless the policy is providing coverage
				  for such operation of the motor vehicle. If the coverage is provided pursuant
				  to an endorsement, then the insurer may impose a surcharge on the separate
				  premium for the endorsement.