New York lawmakers are weighing new limits on the damages certain drivers can collect after car crashes, aiming to curb payouts tied to high-risk or unlawful conduct.
Assembly Bill 9218 would cap recoveries for uninsured motorists, intoxicated drivers, and people injured while committing a felony or fleeing a crime scene.
Under the measure, eligible damages would be restricted to property repair costs, medical expenses, and lost wages.
The felony provision comes with tight conditions. The car must have been used in committing the crime or during an immediate escape, and the individual must have been convicted of a felony.
The proposal also makes clear the restrictions wouldn’t apply in cases involving police misconduct.
AB 9218 keeps New York’s comparative negligence framework intact, meaning fault can still be shared among drivers – but the recoverable damages stay limited to economic losses.
If passed, the bill would take effect immediately.
Lawmakers say the move would align New York with other states tightening recovery rules for uninsured and high-risk drivers.
Earlier this year, Louisiana enacted a similar reform blocking uninsured motorists from recovering the first $100,000 of bodily injury claims, up from the previous $15,000 threshold.
We think the proposal signals growing frustration among insurers and legislators with claim inflation tied to drivers operating outside coverage or law.
Whether it clears both chambers, though, will depend on how much appetite there is in Albany to crack down on plaintiffs at the expense of broader recovery rights.
New York’s Assembly Bill 9218 is a proposed measure aimed at tightening how damages are awarded in automobile accident cases involving certain drivers.
The bill focuses on restricting financial recovery for uninsured motorists, intoxicated drivers, and individuals injured while committing a felony or fleeing a crime scene.
If enacted, the legislation would allow those drivers to recover only compensatory damages related to property damage, medical costs, and lost wages. It blocks access to non-economic or punitive damages in those cases, drawing a clearer line between lawful and unlawful conduct behind the wheel.
The bill includes safeguards: to limit recovery under the felony provision, the person must have used the vehicle in the crime or immediate flight and must be convicted of a felony. It also explicitly states that the restrictions do not apply to injuries caused by police misconduct.
The proposal keeps New York’s comparative negligence system intact, meaning that even when fault is shared, recovery remains limited to actual economic losses.
Lawmakers positioned the bill as a way to prevent individuals who break the law or ignore mandatory insurance requirements from collecting large settlements.
