A US judge sided with Uber Technologies Inc. in its complaint that American Transit Insurance Co., the largest taxi insurer in New York City, failed to defend the ride-hailing company in crash cases involving its drivers.<\/p>\n
ATIC breached its duty to defend Uber in 23 lawsuits brought against the rideshare company and its drivers over crashes involving bodily injuries, US District Judge Analisa Torres said in an order Tuesday. ATIC is liable for resulting damages, and is also required to pay for Uber\u2019s legal fees in the lawsuits.<\/p>\n
ATIC did not immediately respond to a request for comment.<\/p>\n
The decision comes as the city\u2019s for-hire vehicle industry has been reeling from ATIC\u2019s insolvency. ATIC had, in part, built its almost 60% market share on low policy rates. That has contributed to decades-long financial troubles as the company didn\u2019t have enough money to cover the losses it insured, Bloomberg News reported in 2024.<\/p>\n
Read More: NYC\u2019s Top Taxi Insurer Is Insolvent, Risking Transit Chaos<\/a><\/p>\n In its February 2024 complaint, Uber said<\/a> ATIC\u2019s failure to honor coverage for its drivers left Uber to pay \u201csubstantial amounts\u201d to defend itself.<\/p>\n \u201cThe court\u2019s decision is an important step toward ensuring insurers meet their obligations, but it doesn\u2019t change the bigger reality that New York\u2019s system is being exploited in ways that drive up costs for everyone,\u201d said Uber spokesperson Josh Gold.<\/p>\n Read More: New York Says Cab, Rideshare Insurance Rates to Rise 25%<\/a><\/p>\n Uber has made a multimillion-dollar lobbying<\/a> push for insurance reforms to help drive down costs, including supporting New York Governor Kathy Hochul\u2019s recent proposals<\/a> to crack down on staged-crash fraud and lawsuit abuse.<\/p>\n Read More: New York City Cab Crash Sends Rider on \u2018Nightmare\u2019 to Get Insurance Money<\/a><\/p>\n The company has also filed several racketeering lawsuits around the country, including in New York, Los Angeles and Florida<\/a>, accusing law firms and clinics of taking advantage of insurance policies and getting large payouts.<\/p>\n Photo: Uber signage on a vehicle in New York, US, on Thursday, Aug. 8, 2024. Photographer: Yuki Iwamura\/Bloomberg<\/p>\n Copyright 2026 Bloomberg.<\/p>\n \n Topics Interested in Carriers?<\/p>\n Get automatic alerts for this topic.<\/p>\n","protected":false},"excerpt":{"rendered":"A US judge sided with Uber Technologies Inc. in its complaint that American Transit Insurance Co., the largest…\n","protected":false},"author":2,"featured_media":152366,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[63497,9,63498,11,10,89,63499,6480],"class_list":["post-152365","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-york","tag-american-transit-insurance-co","tag-new-york","tag-new-york-commercial-auto","tag-new-york-headlines","tag-new-york-news","tag-rideshare","tag-taxi-insurance","tag-uber"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/152365","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=152365"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/152365\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/152366"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=152365"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=152365"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=152365"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\n Carriers<\/a>
\n Legislation<\/a>
\n New York<\/a>
\n Sharing Economy<\/a>
\n Ridesharing<\/a>\n <\/p>\n