New York Insurance

The automotive industry has mounted a major lobbying campaign to repeal a law unique to New York State, car rentals, not consumers, opening the largest portion of the cost of repairing cars destroyed .

The law has been on the books since 1988, and business car rental have tried several times to free itself. One cap responsibility of the tenant is $ 100 additional costs and prohibitions of conflict known as damages, which critics claim are a waste of money to the tenant, but an additional cost for companies.

A bill repealing the ban was rejected by the Assembly Consumer Protection Committee without a public hearing and may be put to a vote in the Assembly as soon as Tuesday.

Last year, a similar law was arrested in the Assembly, Alexander B. Grannis, Manhattan Democrat, spoke with passion and cons. Members of the Republican minority, the spontaneous revolt on the lonely road between the democrats. Speaker Sheldon Silver was forced to pull the legislation timetable or suffer a defeat.

Since then, the industry has doubled its efforts. Major car rental companies have spent more than $ 400000 in lobbying in the past year and have paid $ 300000 lobbying in the first three months of this year, after receiving the reports public. They hired Patricia Lynch, a former close adviser of Mr. silver, and five other pressure groups.

Money was spent on car rentals in the legislative process of driving licence “in the campaign committees since 15 months as many discs campaign. Speaker Silver’s Democratic Assembly Campaign Committee, for example, received $ 19725 of the company car rental of last year, during the campaign of Republican Senate committee has received $ 15,650. The Assembly Republican Committee received a payment of $ 10,000 last July notice just two weeks after the last financial year was defeated.

Adviser money this week, said in an interview that he had always supported repeal of the law on the theory that most tenants can obtain auto insurance for credit card companies. Republican Senate, led by Senator Joseph L. Bruno, are also ready for a new bill, when and if it passes the House, said the Republican leader.

Car rental leaders argue that the law that forced hundreds of small businesses in the store because they could not afford insurance. They say the law has also forced the rest of the cars, higher prices in New York and offer fewer cars. The number of car rentals in New York rose from 64000 to 120000 a decade ago.

These leaders also argue it is unfair by its nature, so that bad drivers to go far on accidents to pay only $ 100. Someone has to decide on the tab, but also to recall and the law in force, it ends with another tenant. In addition, many consumers already have their reports on auto insurance or credit cards and pay the price to cover the structures they do not need.

Each loss est”par car rentals,’’said John Murray, Vice President Enterprise Rent-a-car. This bekommen”berücksichtigt rental costs in New York.”

But opponents say private auto insurance price increases, if the legislature lifts the ban on sale of exemption, because insurance companies must now take costs per car. They also point out that the bill does not guarantee rents fall.

The new law would lift the ban on the sale of conflict of exemptions and hat for the price of $ 9 per day for cars with a value of less than $ 30000 and $ 13 for vehicles more expensive. In other countries, consumers pay as much as $ 20 for such an exemption, who have no insurance in the proper sense. The biggest donor to pay for repairs on their profits.

The legislation should also lift the lid on $ 100 tenants’ liability for collisions. The bill puts rental companies to disclose consumers, they need to not buy, if the waiver of their automobile insurance or insurance of a credit card. Tenants also have a day to stop the margin.