NYC's Taxi Mess Was Driven by Decades of Inaction

American Transit Insurance Company insures a significant portion of NYC's commercial vehicles but has been insolvent for nearly its entire history. Despite political neglect, the company's financial issues have come to light, with lawmakers now seeking solutions to prevent disruption in the city's transit system. The Department of Financial Services has ordered a sale, but no buyer has been found. American Transit claims to have provided affordable insurance and blames fraud for its troubles.

What percentage of New York City's commercial vehicles is insured by American Transit Insurance Company?

• 100%

• 80%

• 60%

• 30%

How long has American Transit Insurance Company been insolvent?

• Almost its entire 50-year history

• 10 years

• 5 years

• Since last year

What is the main concern for lawmakers regarding American Transit's insolvency?

• Loss of government funding

• Decrease in public transportation usage

• Disruption of daily travel in New York City

• Rising insurance premiums

What action did the Department of Financial Services take in response to American Transit's financial issues?

• Ordered a shutdown of the company

• Mandated an increase in insurance rates

• Instructed the company to explore a sale

• Provided a government bailout

What does American Transit claim regarding its financial obligations?

• It has defaulted on several obligations

• It has been unable to pay its employees

• It has never faced any financial issues

• It has consistently paid all its financial obligations