TLC Rule 59A-12(a): FHV Insurance Not Maintained

What the rule says

From §59A-12 of chapter 59, "Compliance with Law – Vehicle Insurance Coverage":

• (a)(1) An FHV owner "must maintain the required insurance coverage on all of Owner's Vehicles at all times."
• (a)(2) When the owner is told the liability insurance will end, the owner "must surrender the For-Hire Vehicle License and Decal(s) to the Commission on or before the termination date of the insurance."
• (a)(3) That surrender isn't needed if, before the old policy ends, the owner submits "proof of new insurance effective on the date of termination of the old policy."

In short: either show new coverage that starts the same day the old coverage ends, or hand in the license and decals. There is no grace period built into the rule.

Related insurance duties

Minimum limits, by vehicle

The rule also says policies "cannot have any limitations or restrictions on location or timeframes of coverage" — coverage must be 24 hours a day, 7 days a week, whatever the car is being used for.

What TLC itself tells owners

TLC's vehicle insurance page says licensed vehicles must keep "proof of a current liability insurance policy (insurance certificate / FH-1) on file with the TLC". If a policy expires, is cancelled or changes, "it is the vehicle Owner's responsibility to submit proof of a new insurance policy to the TLC, effective on the date the prior policy ended." TLC also says new, renewal and transfer applications won't be approved while insurance is expired or below the minimums, and that owners can view the insurance TLC has on file at any time in TLC UP.

How often this charge appears

The yearly count closely tracks the chart for 59A-08(c)(2), the non-use revocation for an insurance lapse: both peak in 2019 (1,829 here), drop sharply in 2022, and rise again to 550 in 2025. That is consistent with the two charges often coming from the same lapse, though the data can't confirm it.

Common situations

• A missed premium payment led the insurer to cancel, and the owner kept driving.
• The owner switched insurers, but the new FH-1 started a day or more after the old one ended — a gap.
• The owner switched insurers and didn't tell TLC within seven days (that is 59A-12(b)).
• The car was sold or off the road, the policy was dropped, and the plates and decals weren't surrendered.

What to do now

1. Log into TLC UP and see what insurance TLC has on file and for which dates.
2. Close any gap. Ask your insurer or broker to file the FH-1 with TLC. TLC wants new coverage effective the day the old policy ended.
3. If you can't get coverage, stop driving for hire and ask TLC about surrendering or storing the license. Driving uninsured for hire risks a far bigger case.
4. Answer the summons by the hearing date. Appearance is required.
5. Watch the 60-day line. A lapse of 60 days or more means mandatory revocation for non-use.

After the hearing

The penalty range ($150–$350 and/or up to 30 days' suspension) gives the OATH judge discretion, so the facts you show matter: how long the gap was, whether you stopped driving, and how fast you fixed it. If you are fined, §59A-02(c) says the fine is due within 30 days of the decision, and an unpaid fine leads to a written notice that the license will be suspended in 10 business days. If the lapse ran 60 days or more, expect a separate non-use revocation case under 59A-08(c)(2), which no fine can settle.

Defenses to discuss with a lawyer (general information)

Not legal advice. Representatives often start with the policy documents: was the vehicle actually covered on the summons date, perhaps by a policy TLC had not yet received? Was there a real gap, or a filing delay by the insurer? Did the owner surrender the license and decals on time? See what TLC must prove.

Documents to gather

The summons, the cancellation notice, every declaration page and FH-1 for the period, emails with your broker, TLC UP screenshots, and proof of any surrender. Our FHV insurance requirements guide and TLC plates guide cover the wider rules. If TLC also sent you a directive about insurance, see 59A-13(j)(1).