This antiquated law makes insurance prohibitively expensive and drives up the cost of construction in New York State
This antiquated law exposes owners and contractors to unfair strict liability, which makes insurance prohibitively expensive and ultimately drives up the cost of
construction in New York State.
New York is the only state that still keeps this law on
the books, costing taxpayers upwards of $785 million dollars annually.
Because of this law, New York’s general liability
insurance is the highest in the nation for construction and has resulted in fewer
carriers that will actually write policies in New York. Today, the situation
has become so bad that getting general liability insurance has become a crisis
of availability. The current standard of “absolute liability” isn’t working and
must be replaced with a standard of “comparative negligence.” Under this common-sense
reform, liability is apportioned by a jury, in proportion to the actual fault.
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