New York State lawmakers have passed the Auto Insurance Consumer Relief Act. The legislation would allow insurance companies to waive the photo inspection currently required to obtain comprehensive and collision coverage, a measure that dates back to the 1970s.
While these photo inspections were once useful in combating auto insurance fraud, technological advancements in anti-fraud measures have made them largely unnecessary.
The current process requires insureds to visit an inspection site within two weeks of their policy start date, or risk losing comprehensive and collision coverage. Many insureds have complained that the regulation is outdated and inconvenient.
The Auto Insurance Consumer Relief Act would make these inspections optional for insurance companies, who would still be able to require them if they deemed them necessary. The bill now awaits the signature of Gov. Kathy Hochul.