According to New York State Vehicle and Traffic Law §370, all for-hire vehicles — including taxis, limousines, and rideshare services — carry commercial insurance policies that meet specific liability minimums.

The goal is to ensure that, in the event of an accident, financial resources are available to cover medical expenses, property damage, and any potential legal claims. Failure to maintain a valid TLC insurance policy can lead to severe penalties, including license suspension, fines, and the potential loss of operating privileges.

Core Components of Commercial Insurance for TLC-Registered Vehicles

When selecting a policy from a TLC insurance company, you must ensure it includes these legally required coverages:

1. Liability insurance. The TLC requires substantial liability coverage, which protects against claims of bodily injury or property damage. As per New York State law, minimum liability limits are typically set at $100,000 per person and $300,000 per accident for bodily injury, as well as $200,000 for property damage.
2. Personal Injury Protection (PIP). New York’s no-fault insurance law (Insurance Law §5102) mandates PIP coverage, providing compensation for medical expenses and lost wages regardless of fault in the accident.
3. Uninsured/Underinsured Motorist Protection. Given the high traffic in NYC, accidents with uninsured drivers are not uncommon. TLC insurance companies must offer uninsured/underinsured motorist coverage to protect drivers financially when the other party lacks adequate insurance.
4. Optional Coverages. Comprehensive and collision coverages are often recommended for TLC drivers. While not legally required, they cover damages to your vehicle from accidents, theft, or other incidents, minimizing out-of-pocket costs and downtime.

Choosing a Reliable TLC Insurance Company

Selecting the right TLC insurance company is critical for meeting legal standards while ensuring efficient claims support and flexible coverage. To help make the best choice:

1. Verify that the company is licensed in New York and specializes in TLC-specific commercial insurance.
2. NYC’s high-traffic environment requires insurers who understand the particular challenges and liabilities that drivers face daily, from dense traffic to pedestrian-heavy streets.
3. Look for insurers with a record of expediting claims for TLC drivers, as downtime directly affects income. A&Y Royal Insurance 24/7 claims support to streamline this process.
4. Opt for insurers that offer flexible payment options, making it easier to manage premiums without compromising coverage quality.

Remember, thorough research into each insurer’s expertise, policy offerings, and claims support will pay dividends in the long term.