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    NORTH AMERICAN Newsline                                                  APRIL 17, 2026    |  The Indian Eye 29

                UTRC Releases Analysis Highlighting Need for

                              Auto Insurance Reform In New York

                      Transit Experts: Governor Hochul’s Reforms Could Lead to Big Savings for Consumers

            OUR BUREAU
            New York, NY

                   etailing research that high-
                   lights the structural drivers of
            Drising auto insurance costs, the
            University Transportation Research
            Center (UTRC) at the City University
            of New York today released a letter
            to New York State legislative leaders
            calling for targeted reforms to im-
            prove affordability and return savings
            to consumers across the state.
                Addressed to Senate Majority
            Leader Andrea Stewart-Cousins and
            Assembly Speaker Carl E. Heastie,
            UTRC’s  letter  presents  data-driven
            research identifying the root causes
            of rising insurance costs and outlining   fraud detection, improved data shar-  rate decrease for 2026, with nearly 80   suggests  that  targeted  enforcement
            reforms that could help lower premi-  ing between insurers and regulators,  percent of policyholders expected to   in these areas could meaningfully re-
            ums for New Yorkers.              stronger oversight of claims and bill-  see lower premiums. It also referenc-  duce premiums.
               “New York drivers, small busi-  ing  practices,  and  the  adoption  of   es nearly $1 billion in refunds returned   “In light of these findings, we re-
            nesses, and transportation providers   modern underwriting tools such as   to consumers, underscoring how poli-  spectfully urge the Legislature to pri-
            are facing rapidly rising insurance   telematics and usage-based insurance.  cy and market changes can produce   oritize targeted,  data-driven reforms
            costs – nearly double the national av-  The research also highlights how   direct  financial  benefits  for  drivers.  to  address  fraud,  improve  account-
            erage – driven by structural issues that   strengthening the State’s Excess Profit   The analysis also examines the   ability, and modernize insurance prac-
            extend  beyond  market  fluctuations,”  Laws could help ensure that cost sav-  role of fraud and billing practices,  tices,” the letter concludes, noting
            the organization states. “Without tar-  ings are passed back to consumers. Cit-  identifying staged collisions, no-fault   that such measures can help “return
            geted reforms, these costs will contin-  ing recent data from Florida, UTRC   billing  abuse,  and  medically  unnec-  cost savings to policyholders” and
            ue to increase, placing further strain   notes that the state’s largest insurers   essary  treatment  as  significant  con-  create a more stable and affordable
            on consumers and key sectors of the   are delivering an average 8 percent   tributors to rising loss costs. UTRC   insurance market for New Yorkers.
            state’s economy.”
                UTRC  identifies  several  key
            structural drivers of rising premi-
            ums, including “systemic fraud and
            staged accidents, exaggerated and in-
            flated  claims,  [and]  litigation  dynam-
            ics,” which contribute to higher costs
            across the system. UTRC estimates
            that these factors function as a “hid-
            den fraud tax” of approximately $200
            per policy, directly increasing costs for
            drivers and consumers.
                New York drivers pay some of the
            highest auto insurance rates in the na-
            tion – nearly double the national aver-
            age. Bankrate estimates full coverage
            costs $4,031 annually in New York
            compared to $2,679 nationwide, while
            minimum coverage averages $1,729
            versus $808 nationally. Compounding
            the burden, drivers faced a 13.5 per-
            cent premium increase in 2025, the
            fourth-highest in the country.
                Transit experts emphasize that
            targeted policy changes can reduce
            these pressures and return savings
            to policyholders. UTRC outlines
            specific reforms, including enhanced

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