§ 370. Indemnity bonds or insurance policies; notice of accident. 1.\nEvery person, firm, association or corporation engaged in the business\nof carrying or transporting passengers for hire in any motor vehicle or\nmotorcycle, except street cars, and motor vehicles or motorcycles owned\nand operated by a municipality, and except as otherwise provided in this\nsection, which shall be operated over, upon or along any public street\nor highway of the state of New York shall file with the commissioner of\nmotor vehicles for each motor vehicle or motorcycle intended to be so\noperated evidence, in such form as the commissioner may prescribe, of a\ncorporate surety bond or a policy of insurance: (a) approved as to form\nby the superintendent of financial services in a company authorized to\ndo business in the state, approved by the superintendent as to solvency\nand responsibility; or (b) where a vehicle is registered by a\nnot-for-profit organization that is tax-exempt under section 501(c)(3)\nof the federal internal revenue code, a risk retention group not\nchartered in this state but which is registered with the superintendent\nof financial services under the federal liability risk retention act of\n1986, comprised entirely of organizations that are tax-exempt under\nsection 501(c)(3) of the federal internal revenue code and where the\nrisk retention group qualifies as a charitable risk pool under section\n501(n) of the federal internal revenue code, provided that the vehicle\nbeing registered does not have a seating capacity of more than fifteen\npassengers, is not a limousine or luxury limousine, and where such\nvehicles are not solely for personal use by a director, officer,\nauthorized person, or key person, their relatives or related parties.\nSuch surety bond or policy of insurance shall be conditioned for the\npayment of a minimum sum, hereinafter called minimum liability, on a\njudgment or judgments for damages, including damages for care and loss\nof services, because of bodily injury to, or death of any one person in\nany one accident, and subject to such minimum liability a maximum sum,\nhereinafter called maximum liability on a judgment or judgments for\ndamages, including damages for care and loss of services because of\nbodily injury to, or death of two or more persons in any one accident\nand for the payment of a minimum sum, called minimum liability on all\njudgments for damages because of injury to or destruction of property of\nothers in any one accident, recovered against such person, firm,\nassociation or corporation upon claims arising out of the same\ntransaction or transactions connected with the same subject of action,\nto be apportioned ratably among the judgment creditors according to the\namount of their respective judgments for damage or injury caused in the\noperation, maintenance, use or the defective construction of such motor\nvehicle or motorcycle as follows:\n For damages for and incident to death or injuries to persons and\ninjury to or destruction of property: For each motorcycle and for each\nmotor vehicle engaged in the business of carrying or transporting\npassengers for hire, having a seating capacity of not more than seven\npassengers, a bond or insurance policy with a minimum liability of\ntwenty-five thousand dollars and a maximum liability of fifty thousand\ndollars for bodily injury, and a minimum liability of fifty thousand\ndollars and a maximum liability of one hundred thousand dollars for\ndeath and a minimum liability of ten thousand dollars for injury to or\ndestruction of property; for each motor vehicle engaged in the business\nof carrying or transporting passengers for hire, having a seating\ncapacity of not less than eight passengers, a bond or insurance policy\nwith a combined single limit of at least one million five hundred\nthousand dollars for bodily injury or death to one or more persons, and\nbecause of injury to or destruction of property in any one accident;\nprovided, further that for commuter vans that are engaged in the\nbusiness of carrying or transporting passengers for hire, having a\nseating capacity of not less than eight passengers, a bond or insurance\npolicy with a combined single limit of at least five hundred thousand\ndollars for bodily injury or death to one or more persons, and because\nof injury to or destruction of property in any one accident. For the\npurposes of this paragraph, the term "commuter van" shall have the same\nmeaning as such term is defined in section 19-502 of the administrative\ncode of the city of New York.\n Such bond or policy of insurance shall contain a provision for a\ncontinuing liability thereunder, notwithstanding any recovery thereon.\nAny such bond or policy of insurance shall also contain a provision that\nsuch bond or policy of insurance shall inure to the benefit of any\nperson legally operating the motor vehicle or motorcycle in the business\nof the owner and with his permission, in the same manner and under the\nsame conditions and to the same extent as to the owner. If at any time,\nin the judgment of the commissioner, such bond or policy is not\nsufficient for any cause the commissioner may require the owner of such\nmotor vehicle or motorcycle to replace such bond or policy with another\napproved by the commissioner. A corporate surety or an insurance company\nevidence of whose bond or policy has been so filed, must file a notice\nin the office of the commissioner that upon the expiration of twenty\ndays from such filing such surety will cease to be liable upon such\nbond, or in the case of such insurance company, that upon the expiration\nof such time such policy will be cancelled; provided, however, that\nwhere the owner of such motor vehicle or motorcycle has replaced\ncoverage with another insurer, the expiration date shall be the date the\nnew coverage has commenced; further provided that where such owner has\nhad a total loss, the expiration date shall be the earlier of twenty\ndays or when the plates have been turned in to the commissioner. The\ncommissioner shall thereupon notify the owner of such motor vehicle or\nmotorcycle of the filing of such notice, and unless such owner shall\nfile a new bond or evidence of new bond or policy, as provided by this\nsection, on or before such date as shall be specified by the\ncommissioner, or shall place the number plates belonging to the motor\nvehicle or motorcycle in the custody of the commissioner or his agent\nwithin such time, to remain in such custody until a new bond or evidence\nof a new bond or policy is filed, the registration of such motor vehicle\nor motorcycle shall be revoked as of the date specified in said notice\nof the commissioner and no new registration shall be issued for a period\nof thirty days. Forthwith after his registration has been so revoked\nsuch owner shall return the number plates issued for such vehicle to the\ncommissioner. The provisions of subdivision seven of section five\nhundred ten of this chapter shall apply to such revocations.\n Notwithstanding any contrary provision of this chapter, any such bond,\nor policy of insurance shall also provide for uninsured motorists\ncoverage in the minimal amount and in the form provided for in\nsubsection (f) of section three thousand four hundred twenty of the\ninsurance law.\n Nothing in this subdivision shall be construed to prevent compliance\ntherewith by filing a combination of bonds or policies or of a bond and\npolicy or evidence thereof if the commissioner approves and the\nrequirements of this subdivision are otherwise met.\n (c) As a condition to filing evidence of a corporate surety bond, the\nregistrant shall pay annually in addition to any other fee prescribed by\nthis chapter, a fee of one dollar and fifty cents for each motor vehicle\nregistered in his name and the aggregate amount of such fees shall be\napplied in the reduction of the assessment levied pursuant to section\nthree hundred seventeen of this chapter.\n (d) As used in this section, a judgment or judgment for damages shall\ninclude a final arbitration award and any unpaid fees due to the\narbitration forum established pursuant to section five thousand one\nhundred six of the insurance law.\n 1-a. Every person, firm, association or corporation engaged in\ncarrying or transporting sick or injured persons in any hearse,\ncombination hearse or ambulance operated over, upon or along a public\nstreet or highway within a town having a population of less than two\nthousand inhabitants, shall secure either a corporate surety bond or\npolicy of insurance executed by a surety or insurance company authorized\nto do business in this state, containing like conditions to secure the\npayment of damages as is required to be provided for motor vehicles\noperated for the transportation of passengers for hire; provided,\nhowever, that any bond or policy of insurance so secured, may contain\nthe condition that it shall secure the payment of damages only during\nthe time or times such hearse or combination hearse or ambulance is used\nor operated for the transportation of sick or injured persons and shall\nnot be operative or effective during any other time or times or for the\npayment of damages incurred while being operated for any other purpose.\nA bond or policy of insurance executed pursuant to the provisions of\nthis subdivision need not be approved or filed notwithstanding any\ninconsistent provision of this section.\n 2. Any person, firm, association or corporation operating a motor\nvehicle or motorcycle as to which a bond or policy of insurance is\nrequired by this section who or which shall operate such vehicle, or\ncause the same to be operated, while such a bond or policy, or evidence\nthereof as required by this section, is not on file with the\ncommissioner, and in full force and effect shall be guilty of a\nmisdemeanor.\n 3. A person, firm, association or corporation engaged in the business\nof renting or leasing rental vehicles to be operated upon the public\nhighways for carrying passengers shall be subject to the provisions of\nthis section in the same manner and to the same extent as if such\nperson, firm, association or corporation were actually engaged in the\nbusiness of carrying or transporting passengers for hire.\n Notwithstanding the provisions of subdivision one of this section, a\nperson, firm, association or corporation engaged in the business of\nrenting or leasing motor vehicles, having registered in this state more\nthan twenty-five motor vehicles subject to the provisions of this\nsection and who qualifies as hereinafter provided, may file a\ncertificate of self-insurance. The commissioner of motor vehicles in his\ndiscretion may, upon the application of such a person, firm, association\nor corporation issue a certificate of self-insurance when he is\nreasonably satisfied that such person is possessed and will continue to\nbe possessed of financial ability to respond to judgments obtained\nagainst such person, arising out of the ownership, maintenance, use or\noperation of any such person's motor vehicle. Upon due notice and\nhearing, the commissioner may, in his discretion and upon reasonable\ngrounds, cancel a certificate of self-insurance.\n As a condition to the issuance of a certificate of self-insurance\nunder this subdivision the registrant shall pay annually in addition to\nany other fee prescribed by this chapter, a fee of one dollar and fifty\ncents for each motor vehicle registered in his name and the aggregate\namount of such fees shall be applied in reduction of the assessment\nlevied pursuant to section three hundred seventeen.\n As a further condition to the issuance of a certificate of\nself-insurance, the registrant shall pay annually in addition to any\nother fee prescribed by this chapter, an amount per vehicle to be\ndetermined by the Motor Vehicle Accident Indemnification Corporation\npursuant to section five thousand two hundred seven of the insurance law\nand the aggregate amount of such fees shall be transmitted by the\ncommissioner to the Motor Vehicle Accident Indemnification Corporation\ncontinued pursuant to section five thousand two hundred three of the\ninsurance law to be applied in reduction of assessments levied by said\ncorporation pursuant to section five thousand two hundred seven of the\ninsurance law.\n 4. Every person operating a motor vehicle or motorcycle as to which a\nbond or policy of insurance is required by this section, which is in any\nmanner involved in an accident, shall within five days give written\nnotice of the time and place of the accident to the surety or insurer.\nFailure to give notice of an accident as herein provided shall\nconstitute a misdemeanor, but shall not affect the liability of the\nsurety or insurer.\n 5. If a vehicle subject to the provisions of this section or section\nthree hundred seventy-one of this chapter shall be operated on a public\nhighway without having the minimum corporate surety bond or policy of\nliability insurance, unless the owner shall have filed an approved\ncertificate of insurance therefor, the driver's license, privileges and\nregistration certificate or privilege of operation within this state of\nthe owner and operator shall be subject to revocation and suspension as\nprovided in articles six and seven of this chapter, in the same manner\nas if such vehicle were a private passenger vehicle, not used to carry\npersons for hire or profit.\n 6. Notwithstanding any other provision of law, the commissioner, may,\nby regulation, in addition to, or in lieu of any requirements relating\nto notice of insurance required by this section, extend all or part of\nthe provisions of article six of this chapter concerning insurance\nidentification cards to vehicles subject to the provisions of this\nsection. Furthermore, the commissioner may exempt by such regulations\nany type or types of vehicles subject to the provisions of this section\nwhere he deems the application of the provisions of such regulations to\nbe inappropriate. If the commissioner promulgates any such regulations,\nthe failure to produce an insurance identification card when requested\nby any peace officer, acting pursuant to his special duties, police\nofficer or magistrate shall be presumptive evidence of a violation of\nsubdivision two of this section. In addition, any such regulations may\nrequire that the insurance identification card be placed in plain view\nof any for-hire passengers carried in such vehicle.\n 7. Nothing contained in this section shall prohibit any person, firm,\nassociation or corporation subject to this section from purchasing\nliability insurance coverage in excess of the maximum liability set\nforth in subdivision one of this section.\n 8. Notwithstanding any other provision of this article, an individual\nshall not be deemed to be engaged in the business of carrying or\ntransporting passengers for hire if the individual does so solely as a\ntransportation network company driver in accordance with article\nforty-four-B of this chapter.\n