N.Y. General Business Law § 902: Program liability

§ 902. Program liability. 1. Notwithstanding any other provision of

law, or any provision in a shared vehicle owner's policy of motor

vehicle liability insurance, in the event of a loss, death, or injury

that shall occur during the peer-to-peer car sharing period, the

peer-to-peer car sharing program insurers providing coverages under

section nine hundred one of this article shall provide financial

responsibility for any bodily injury, death, or damage to property in

amounts not to exceed those stated in the peer-to-peer car sharing

program agreement and not less than those amounts required in section

nine hundred one of this article, and the peer-to-peer car sharing

administrator shall retain such liability irrespective of a lapse in the

group policy or any other insurance policy or financial security

maintained by the administrator.

2. The insurer or insurers providing group liability insurance to the

peer-to-peer car sharing program pursuant to section nine hundred one of

this article shall be primary during each car sharing period. Provided

however, where: (a) a good faith dispute exists regarding who was in

control of the vehicle when the loss, death, or injury occurred giving

rise to such claim or whether the loss, death, or injury occurred

outside of the car sharing period; and (b) the peer-to-peer car sharing

program administrator does not have available, did not retain, or is

otherwise unable to provide information demonstrating who was in

possession or control at the time of the loss, death, or injury or

whether the loss, death, or injury occurred outside of the car sharing

period, the shared vehicle owner's private motor vehicle insurer shall

indemnify insurer or insurers providing group liability insurance, to

the extent of its obligation under the applicable insurance policy, if

it is determined that the loss, death, or injury occurred outside of the

peer-to-peer car sharing period. The peer-to-peer car sharing program

administrator shall notify the shared vehicle owner's insurer of any

such dispute within fifteen days of becoming aware that such a dispute

exists.

3. In the event that the shared vehicle owner or the shared vehicle

owner's personal motor vehicle insurer is named as a defendant in a

civil action for a loss, death, or injury that occurs during any time

within the peer-to-peer car sharing period, or otherwise under the

direct and immediate control of a peer-to-peer car sharing program, the

peer-to-peer car sharing program administrator shall have the duty to

defend and indemnify the shared vehicle owner and the shared vehicle

owner's insurer subject to the provisions of this section, section nine

hundred one of this article and section three thousand four hundred

fifty-eight of the insurance law.

4. A motor vehicle liability insurer who defends or indemnifies a

claim against a shared vehicle which is excluded under the terms of its

policy shall have the right to seek contribution against the

peer-to-peer car sharing program administrator's insurer, if the claim

is made against the shared vehicle owner, the shared vehicle driver or

authorized driver for loss, death, or injury which occurs during the car

sharing period.

5. A peer-to-peer car sharing program administrator may contractually

assume the risk of loss due to physical damage to shared vehicles during

the time that such shared vehicles are in the custody of the shared

vehicle driver or peer-to-peer car sharing program, and that such

assumption of risk:

(a) shall not be deemed to be physical damage insurance;

(b) that the terms of such contractual assumption may provide that the

program assumes the risk of physical damage loss to the vehicle in

excess of a sum certain; and

(c) if the terms of such contractual assumption include a separately

itemized fee charged to the shared vehicle driver solely for the

contractual assumption of the risk of loss due to physical damage, then

it shall be provided under the terms set forth in this article.

6. To the extent not otherwise prohibited by state or federal law, in

a claims coverage investigation, a peer-to-peer car sharing program

administrator shall cooperate to facilitate the exchange of relevant

information with directly involved parties and any insurer of a shared

vehicle owner's or shared vehicle driver's participation in a

peer-to-peer car sharing program.

7. In addition to other remedies available at law, the attorney

general shall have authority to enforce this article as authorized by

law, including injunctive and other legal and equitable relief for

non-compliance by a car sharing program administrator or any other party

through civil proceedings.

8. Any provision in a peer-to-peer car sharing agreement designated by

the courts of another jurisdiction as the exclusive forum for resolving

disputes shall be deemed void as against public policy with respect to

the use of a peer-to-peer car sharing program or shared vehicle in this

state.

9. A peer-to-peer car sharing program administrator shall be deemed to

have received notice of injuries to or death of persons or losses of

property covered under the insurance and financial security requirements

of this article at the earlier of notice received by the peer-to-peer

car sharing program administrator or notice received by the shared

vehicle owner. A shared vehicle owner shall promptly give actual notice

to the peer-to-peer car sharing program administrator and its insurers,

including notice in the form and manner as required in the peer-to-peer

car sharing agreement, of any injuries to or death of persons or losses

of property potentially covered by insurance maintained by the

peer-to-peer car sharing program administrator. A peer-to-peer car

sharing program administrator or its insurers shall be deemed to have

received actual notice when a shared vehicle owner notifies the

peer-to-peer car sharing program administrator or its insurers when the

shared vehicle owner provided notice in the form and manner required in

the peer-to-peer car sharing agreement.

10. For purposes of article fifty-one of the insurance law, 11 NYCRR

Part 65 and general liability claims, notice to the shared vehicle

owner, shared vehicle driver, peer-to-peer car sharing program

administrator or any insurer of the shared vehicle owner, shared vehicle

driver, or peer-to-peer car sharing program administrator of any claim

shall be deemed notice to all appropriate parties and insurers. Any

shared vehicle owner, shared vehicle driver, peer-to-peer car sharing

program administrator or any insurer of the shared vehicle owner, shared

vehicle driver, or peer-to-peer car sharing program administrator

receiving such notice shall provide such notice to all appropriate

parties.