The New York State Department of Financial Services (“DFS”) has advised its regulated insurers to encourage commercial policyholders to use global positioning systems that specifically warn truck drivers, bus operators, and other commercial vehicles of height restrictions on New York's parkways.
The letter the DFS sent to insurers explained that policyholders investing in commercial GPS equipment could potentially reduce motor vehicle collisions and result in lower insurance premiums.
The DFS is urging property and casualty insurers to examine whether the prospective policyholder, or existing policyholder, should – and to what extent – use commercial GPS on insured vehicles. The DFS said that insurers should assist and encourage policyholders to use only commercial GPS equipment, if the equipment is in use in their vehicles at all.
The state has incurred more than $125 million in costs over the last five years to repair damaged bridges and overpasses across New York. Between 2009 to 2015 alone, more than 700 DOT bridges and overpasses were damaged by over-height vehicles.
According to the Federal Motor Carrier Safety Administration, GPS equipment designed for commercial use provides important information to drivers that they would not receive if using a non-commercial GPS, like low overpasses and other route restrictions.
“New York motor vehicle insurers have the opportunity to be at the forefront in protecting all New Yorkers from avoidable accidents,” the DFS superintendent, Maria T. Vullo, said in a statement. “DFS stands ready to work with our regulated motor vehicle insurers to urge them to develop and file programs and rules, in accordance with New York Insurance Law, that encourage the proper use of commercial GPS technology.”
Learn more: DFS Letter.
Steven A. Meyerowitz
Steven A. Meyerowitz, a Harvard Law School graduate, is the founder and president of Meyerowitz Communications Inc., a law firm marketing communications consulting company. He may be contacted at [email protected].