A bill passed earlier this summer that would allow nonprofits in New York, including carshares, to have auto insurance. But Governor Kathy Hochul hasn’t yet signed the bill into law.
Ithaca Carshare paused its operations on May 19, and now all it can do is wait. This started back in January with a letter to the governor, when Ithaca Carshare knew its current insurance plan would run out soon.
“Our insurance carrier left the carshare market in New York and we had eight other insurance carriers decline coverage for us, so it’s not something that’s easy to get when you’re operating a carshare in New York," said Liz Field, director of Ithaca Carshare.
What You Need To Know
- A nonprofit carshare in Ithaca is waiting for Gov. Hochul to sign a bill that would allow state nonprofits to get auto insurance
- Once the bill is signed, it would take six months to go into effect
- Ithaca Carshare anticipates a permanent Sept. 1 closure if the bill isn't signed before then
The nonprofit needs a risk retention group to write it auto insurance. But without a law in place, the fleet of vehicles has been parked since May. Since then, Ithaca Carshare has furloughed its staff, sold off four of its oldest cars — and is running out of time.
Carshare directors say they need the governor to immediately sign the bill as is. Ithaca Carshare says many of its 1,500 members are Cornell students and staff.
“We think of ourselves as public transportation adjacent, so we fill these gaps where public transportation doesn’t meet the needs of people to get around," said Field.
Ithaca Carshare has a permanent closing date set for September 1, but that’s only if the governor doesn’t sign the bill before then.
Assemblymember Anna Kelles, who represents Ithaca, echoed the urgency for the governor to sign this bill, saying it would apply not just to carshares, but all nonprofits in the state to get auto insurance.
If the governor signs the bill, it would take six months for the law to go into effect.