What must all admitted auto insurers selling auto insurance in New York do?

The requirement for all admitted auto insurers selling auto insurance in New York to belong to the assigned risk plan is rooted in the state's goal to ensure that all drivers can obtain necessary liability coverage, even if they have difficulty securing it through the standard insurance market. This plan serves as a means for high-risk drivers to gain access to auto insurance when they may be turned away by other insurers.

While offering uninsured motorist coverage is an important aspect of auto insurance, not all insurers are mandated by law to provide this coverage explicitly. The requirement to provide rental car insurance is not a universal obligation and often varies by specific policy terms. Similarly, while many insurers strive to accept all applications to remain competitive, there is no law in New York that requires them to do so indiscriminately, particularly for applicants deemed high-risk.

Thus, the necessity for auto insurers to belong to the assigned risk plan reflects the state's regulatory measures to ensure inclusivity and protection for all drivers on the road, highlighting the importance of access to auto insurance in maintaining overall road safety.