New York Car Accident Claims: How Governor Hochul’s Proposed Auto Insurance Changes Could Affect Your Case

If You’re Injured in a Future Car Accident, Your Rights May Be Severely Limited

Most people don’t think about their legal rights until after a serious car accident. But in New York, that may be a mistake.

Proposed changes to the law could mean that if you’re injured in the future, your ability to recover compensation may already be restricted before your case even begins. Governor Kathy Hochul’s insurance reform plan is being promoted as a way to reduce fraud and lower premiums. But from our perspective—as a plaintiff-focused law firm representing injured individuals and families—these changes raise serious concerns. Because if this law passes, the rules change.  And not in your favor.

Why This Matters

If enacted, these changes could significantly impact future accident victims by:

Limiting or eliminating compensation for pain and suffering
Making it harder to qualify for a lawsuit
Reducing recoveries in serious and multi-vehicle accidents
Giving insurance companies more power to challenge and deny claims
In short: your rights may be reduced before you ever need to use them.

1. Fault Could Cost You Your Case

Under current law, you can still recover compensation even if you are partially at fault for an accident.

The proposed changes would alter that balance. If you are found to be more than 50% responsible, you may lose your right to recover damages for:

Pain and suffering
Emotional distress
Loss of enjoyment of life
Why this is a problem

Fault is rarely clear-cut. In many common accidents—such as intersection collisions, left-turn crashes, and multi-vehicle accidents—liability is heavily disputed. Insurance companies already work to shift blame. These changes would give them even more incentive to do so. The result? More disputes, more pressure on injured victims, and lower settlements.

2. Some Injuries May No Longer Qualify for a Lawsuit

New York law already requires victims to meet a “serious injury” threshold before filing a lawsuit.

The proposed reforms would make that threshold more difficult to meet.

What this means for you

If your injuries don’t qualify under the new standard:

You may be limited to no-fault benefits only
Your medical care may not be fully covered
You may lose the right to recover for pain and suffering entirely
This could affect individuals suffering non-permanent injuries.  These are real injuries with real consequences—but they may be harder to pursue under stricter rules.

3. You May Not Recover Full Compensation—Even If You Win

In multi-vehicle accidents, current law helps protect victims when one at-fault party lacks sufficient insurance. The proposed changes would weaken that protection. If a defendant is found to be less than 50% at fault, they would only be responsible for their share of the damages.  

The risk to injured victims

If another responsible party has limited or no insurance, you may never recover the full value of your case—even if you win in court.

That burden shifts to you—not the insurance companies.

4. Expect More Obstacles from Insurance Companies

We believe in efforts to stop fraud!  However, while preventing fraud is important, these measures may be obtrusive:

Increased documentation requests
Increased surveillance (watching you)
Further delays in claim processing (delayed benefits)
More denials and higher insurance company profits.
No reduction in rates.

Credit to Kate Feroleto - Feroleto Law