§ 312. Registration of motor vehicles. 1. (a) No motor vehicle shall
be registered in this state unless the application for such registration
is accompanied by proof of financial security which shall be evidenced
by proof of insurance or evidence of a financial security bond, a
financial security deposit or qualification as a self-insurer under
section three hundred sixteen; provided that, if directed by regulation
of the commissioner, upon renewal of registration an application
accompanied by a certificate of registration or renewal stub in force
immediately preceding the date of application for renewal, together with
a statement in a form prescribed by the commissioner certifying that
there is in effect proof of financial security, shall meet the
requirements of this section. Upon the issuance or renewal of a private
passenger automobile insurance policy subject to the provisions of
section one hundred sixty-seven-aa of the insurance law, the insurance
company shall provide the insured with an informational statement
outlining the legal and financial consequences of convictions under
section one thousand one hundred ninety-two of this chapter, pertaining
to operating a motor vehicle while under the influence of alcohol or
drugs. Such information shall be supplied to the company by the state
department of financial services in consultation with the commissioner.

(b) The owner of such motor vehicle shall maintain proof of financial
security continuously throughout the registration period and his failure
to produce proof of financial security when requested to do so upon
demand of a magistrate, motor vehicle inspector, peace officer, acting
pursuant to his special duties, or police officer, while such vehicle is
being operated upon the public highway, shall be presumptive evidence of
operating a motor vehicle without proof of financial security. Upon the
production of proof of financial security such presumption is removed.
Production of proof of financial security may be made by mailing such
proof to the court having jurisdiction in the matter, and any necessary
response by such court or acknowledgement of the production of such
proof may also be made by mail. When insurance with respect to any motor
vehicle, other than a motorcycle, is terminated the owner shall
surrender forthwith his registration certificate and number plates of
the vehicle to the commissioner unless proof of financial security
otherwise is maintained in compliance with this article.

2. No financial security bond shall be accepted by the commissioner
unless it is conditioned for payments in amount and under the same terms
and conditions as are required for an owner's policy of liability
insurance.

3. No financial security deposit shall be accepted by the commissioner
except in accordance with the provisions of section three hundred
fourteen.

4. The commissioner is hereby authorized to promulgate reasonable
regulations to provide effective administration and enforcement of the
provisions of this article in accordance with the purposes thereof.

5. Notwithstanding any inconsistent provisions of this article, the
commissioner may by regulation, in lieu of the provisions of subdivision
one requiring the submission of a certificate of insurance or evidence
of a financial security bond, require that an insurance identification
card be presented each time a vehicle is registered or a registration is
renewed in this state.