Bradford J. Sandler Quoted in Financial Times Article on Potential American Transit Insurance Company Insolvency

Bradford J. Sandler recently spoke to P&C Commercial Specialist, a vertical of Financial Times, in its article “NYC Taxi Insurer on Verge of Financial Collapse. It Likely Faces Two Paths Forward,” which explores the lack of action from New York State as leading taxi insurer American Transit Insurance Company remains on the brink of insolvency.

While the New York Department of Financial Services has not officially sought rehabilitation or liquidation, it continues to work closely with the insurance company alongside the New York Taxi and Limousine Commission to assess the financial situation and mitigate impacts on regulated fleets, drivers, and passengers. Brad weighs in on the predicament, explaining to P&C, “Liquidating would create havoc, because all of a sudden these drivers will have to procure insurance from somewhere, and no doubt, the cost of insurance is going to skyrocket.”

He continues to express that the avenue of rehabilitation can allow for the potential avoidance of liquidation but comes with its own concerns. “Rehabilitation, which is the most likely result, is going to require some type of capital infusion,” he expresses, further questioning, “Where that capital comes from is anybody’s guess at this point. Will it come from the private sector? Maybe there’s even a combination of public and private funds that go into it.”

Read the full article on P&C Commercial Specialist (subscription required).