In the second quarter, it posted more than $700 million in net losses, according to a filing with the National Association of Insurance Commissioners.
Edit: I mean both the company and auditors. Internally, everyone had to see the approaching disaster. Premium hikes were obvious necessary. Or were there bonus structures for selling more packages, even if they cost the company money?
Seems to dovetail with this trend of skyrocketing insurance costs nationwide [1]. So unlike other insurers this one didn't increase their rates accordingly or were just massively mismanaged. Regardless, the options for cabbies/uber drivers is going to suck.
https://apnews.com/article/auto-insurance-inflation-deductib....
this is NYC... look for the corruption and embezelling
“ In that case, “every taxi driver or limo driver is going to have a significant increase in their insurance premium” as rates adjust to reflect real risk”
Absolutely devastating… rates adjusting to real risk. Nah let’s have government intervention
Too big to fail my ass. Let it fail.
Temporarily increase unemployment benefit caps for drivers to cover vehicle payments. Zero-interest loans for natural persons who own only one medallion and represent they drive for it. No help for other medallion owners—they should have had the resources to diligence their insurer.
Then launch independent inquiries into the regulators’ inaction and the competitiveness of this insurance market and encourage prosecutors to go over AITC’s books and filings with the DFS for discrepancies.