Section 25.13. Liability insurance

1. A snowmobile which shall be operated
  on the roadway or shoulder of a highway or on property which  is  owned,
  leased  or held in easement by a person other than the owner or operator
  of the snowmobile, shall be covered by a policy of  insurance,  in  such
  language  and  form  as  shall  be  determined  and  established  by the
  superintendent of insurance, issued by an insurance  carrier  authorized
  to do business in this state. Such policy shall provide coverage for any
  one  person sustaining bodily injuries or the death of one person in any
  one accident in the amount  of  at  least  ten  thousand  dollars,  and,
  subject  to  said  limit of one person, in the amount of at least twenty
  thousand dollars because of bodily injury to or death  of  two  or  more
  persons  in any one accident, and in an amount of at least five thousand
  dollars because of injury to or destruction of property of others in any
  one accident, for damages arising out of  negligent  operation  of  said
  snowmobile.  In lieu of such insurance coverage as hereinabove provided,
  the  commissioner,  in  his  discretion  and  upon  application   of   a
  governmental   agency   having  registered  in  its  name  one  or  more
  snowmobiles, may  waive  the  requirement  of  insurance  by  a  private
  insurance  carrier and issue a certificate of self-insurance, when he is
  satisfied that  such  governmental  agency  is  possessed  of  financial
  ability  to respond to judgments obtained against it, arising out of the
  ownership, use or operation of such  snowmobile.  The  commissioner  may
  also  waive  the requirement of insurance by a private insurance carrier
  and issue a certificate of self-insurance upon application of any person
  or any other corporation, having registered in its  name,  one  or  more
  snowmobiles,   and   furnishing   of   proof   that   a  certificate  of
  self-insurance has been issued and is in effect by the  commissioner  of
  motor  vehicles,  pursuant  to  the  provisions of section three hundred
  sixteen of the vehicle and traffic law.
    2. Proof of insurance as required by this section  shall  be  produced
  and  displayed  by  the  owner  or  operator of such snowmobile upon the
  request of any magistrate or any person having authority to enforce  the
  provisions  of  this chapter. The failure to produce such proof upon the
  request of any such  person  shall  not  be  an  offense  but  shall  be
  presumptive  evidence  that  the  snowmobile  is  being operated without
  having such insurance in force and effect.
    3. Proof of insurance as required by this section  shall  be  produced
  and  displayed by the owner or operator of such snowmobile to any person
  who has suffered or claims to have suffered either  personal  injury  or
  property  damage  as a result of the operation of such snowmobile by the
  owner or operator, if such insurance coverage  was  required  under  the
  circumstances  of  such operation. It shall be an affirmative defense to
  any prosecution for a violation of this subdivision that such proof  was
  so produced or displayed within twenty-four hours of receiving notice of
  such injury or damage, or the claim of such injury or damage.
    4.  No  owner  of  a snowmobile shall operate or permit the same to be
  operated upon the shoulders and roadways  of  highways  or  on  property
  which  is  owned,  leased or held in easement by a person other than the
  owner or operator of the snowmobile, without having in  full  force  and
  effect the liability insurance coverage required by this section, and no
  person  shall  operate  a  snowmobile upon the shoulders and roadways of
  highways or on property which is owned, leased or held in easement by  a
  person  other  than  the  owner  or  operator  of  the  snowmobile, with
  knowledge that such insurance is not in full force and effect.