NY fined vehicle insurers $20.4 million for failure to report information

New York State Department of Financial Services Superintendent Adrienne A. Harris concluded of a multi-year investigation into motor vehicle insurers’ failure to timely report insured vehicle information to the New York State Department of Motor Vehicles (DMV).

The investigation resulted in 37 consent orders and a total of $20.4 million in fines imposed on insurers across the industry.

“Accurate and timely reporting by insurers is critical to protecting New Yorkers on the road, ensuring compliance with state laws, and maintaining the integrity of our enforcement systems,” said Superintendent Harris. “These actions demonstrate DFS’s unwavering commitment to holding insurers accountable and safeguarding consumers.”

Under New York Insurance Law, insurers are required to report newly insured vehicles to the DMV’s Insurance Information & Enforcement System (IIES) within seven days of the policy's effective date. Additionally, most termination or suspension of insurance must be reported within thirty days of the policy’s termination or suspension. These requirements are vital to ensuring law enforcement can identify uninsured vehicles, maintaining accurate DMV records, and protecting New Yorkers in the event of an accident.

As part of the consent orders, the insurers are required to implement comprehensive remediation plans subject to DMV approval to correct deficiencies in their reporting processes.

In response to a query, a DFS spokesperson sent the following list of fined insurers:

State Farm IL
Zurich Insurance Group
Progressive Group
Chubb Ltd. Group
Liberty Mutual Group
Berkshire Hathaway Group
Allstate Ins. Group
Travelers Group
Farmers Insurance Group
Tokio Marine Holdings
National General Group
Amtrust Ngh Group
American International Group
Nationwide Group
AXA Insurance Group
Fairfax Group
Old Republic Group
Hartford Fire & Casualty Group
Metropolitan Group (now part of Farmers)
Markel Corporation Group
Erie Ins Group
Utica National Insurance Group
Selective Insurance
American National Financial Group
USAA Group
Main Street America Group
American Financial Group
Central Serv. Group
Arch Insurance Company
New York Marine and General Insurance Company
W.R. Berkley Corp Group
The Hanover Insurance Group
CNA Insurance Group
Starr Indemnity & Liability Company
Preferred Mutual Insurance Company
Kemper Corp. Group
Munich Reinsurance Group