Being in a car accident may get even more expensive that is if you live in New York City. Beginning on July 1 of next year the New York City Fire Department will start charging drivers for the services it provides to them. The new policy is a strategy to help alleviate the budgetary problems that the city is facing. Drivers will be charged $490 for a crash that involves injuries or a car fire. A car crash with a fire that does not involve any injuries will cost drivers $415, and a car accident that does not involve a fire or any injuries will cost $365. All drivers involved in the crash will be charged with the fee.
The spokesperson for the New York City Fire Department said that the fire department faces budgetary problems and that the department wanted to reduce the financial burden on taxpayers by placing the cost of emergency services on those responsible and their insurance companies. Insurance experts believe that the policy will raise insurance rates as insurance policies would be expanded to include accident response services.
A spokesperson from AAA called the fire department's new policy misguided and said the policy may create a disincentive for motorists to call police. The policy change by the FDNY is not the first to happen in an American city, but the changes may not stop there. Mayor Bloomberg would like the city to start charging private hospitals for ambulances dispatched by the city's 911 system. Private hospitals could be charged up to $1 million per year for the service.
Source: Gothamist.com, "FDNY Charging for Car Accident Help," John Del Signore, 12/10/10