A person, firm, association or corporation subject to the provisions of the transportation
law and required under the provisions of section three hundred seventy of this chapter to file evidence of a corporate surety bond or policy of insurance
with the commissioner of motor vehicles in order to so operate any such motor vehicle,
may file with the commissioner of motor vehicles, in lieu of the surety or evidence
prescribed in section three hundred seventy of this chapter, a certificate of the department of transportation certifying that
such person, firm, association or corporation has complied with the regulations of
the department of transportation as to public liability and property damage responsibility
and, in the case of such a person, firm, association or corporation also engaged in
the business of carrying or transporting passengers for hire in operations not subject
to the provisions of the transportation law, that the arrangement of coverage in effect
has been extended to cover motor vehicles used in such operations.
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