New York Says Cab, Rideshare Insurance Rates to Rise 25% (1)

New York officials have told rideshare companies, driver representatives and others in the for-hire vehicle industry that insurance policy rates will rise by an average 25% over the next three years, according to people with knowledge of the state’s plans, likely sending passenger fares up as a result.

The state has asked carriers to reset — essentially raise — their fees to actuarially justified levels as they work to stabilize the industry, which has been reeling from the insolvency of its largest provider, American Transit Insurance Co.

American Transit had, in part, built its almost 60% market share on low ...