New York Auto Insurance Coverage

It is one of the most expensive states to live in the USA. Car ownership is one of the lowest in the country with only 570 automobiles per capita. Good public transport facilities may be the main reason behind low ownership figures. Numbers of Uninsured Drivers are pretty low at 5% compared to 14% national average. This is a great news not only for motorists but also general public since their losses are likely to be paid by liability policies. It appears that motorists get cheap car insurance in New York on average.

However, in some areas especially in the New York City it can be really high. There is no surprise there since it is a well-known fact that city motorists pay a lot more for insuring automobiles. Risks are higher in cosmopolitan areas due to over-congestion, high auto theft and vandalism crimes and lack of private parking. You should have a look at them and see if you can reduce costs if you are living in NY City.

Minimum Liability Requirements

New York is a “no-fault” state and has strict rules. You can check them at Department of Motor Vehicles site. Minimum Required Coverage are;

  • $25,000/$50,000 for injury
  • $50,000/$100,000 for death
  • $10,000 for property damage

Cheap New York Auto InsuranceLiability coverage must be bought in the name of vehicle registrant. If the auto is sold it lapses and the new owner must buy a new policy immediately. The minimum liability component must be kept as long as it remains registered even it is not in use. If the coverage is not going to be kept vehicle registration must be returned to the DMV. Also, you cannot operate a NY registered car with an out of state policy. It must follow the rules here.

You can see that it is a bit more restrictive in the way it legislates vehicle registration and insurance. There are many people every year moving here. They should familiarize themselves with the rules and make sure that they follow. It can be a lot different from others. Especially you should learn about implications of no-fault. In addition, you should think carefully how you will insure the auto before buying since ownership affects the way you must arrange it.

If you have just moved in you may want to talk to an Independent Broker. You can purchase a policy in a few different ways. You can go direct by calling one or two of them or use a comparison website to find them. You would probably be able to buy the minimum coverage off the shelf as they are not allowed to sell anything less anyway. However, find out what are “no-fault” requirements and specific rules as early as you can.

How Much Does Car Insurance Cost in New York?

It is one of those states in which where you live is very important when you want to know premium costs. While there are a few nice little towns there are number of highly populated regions as well. You probably know already that moving from a picture perfect little town to NYC would mean hundreds of dollars increase on premiums.

There are some parts in Big Apple that are considered high risk zones and rates there are much higher than the rest. When you accidentally end up in one of those spots you will see how fast rates will shoot up. The situation may appear to be even worse with some insurers quoting thousands of dollars to compensate for the exposure or scare you away. But this shouldn’t dishearten you since there are ways to find lower prices no matter where you live in.

When we look at the average premium expenditure we see interesting readings. According to NAIC the average premium per vehicle is $1,182 and it is one of the most expensive in the US. However, you can get inexpensive full coverage at about $1,050, according to an independent study.

This suggest that most policyholders buy full coverage or more. You may be confused but you can have many optional add ons on top of it. A standard full policy may be reasonably priced but it starts going up dramatically when you tailor it the way you want.

Cheap New York Auto Insurance Companies

While the average cost is affordable this doesn’t necessarily apply to NY City and its suburbs where premiums can be seriously high. That is why it is very important to shop around for the best deals, especially when you are living in a high risk area. The price differences can be thousands of dollars between the cheapest and the most expensive company without any exaggeration. Don’t count on your luck when you can economize by just shopping around. Start with getting a few quotes and compare them. You might as well start with the names below.

Here are the cheapest automobile insurance companies.

  1. GEICO, $799
  2. Erie, $907
  3. Allstate, $969

These can easily shave half of the premium off. The good news is that they are consistent across most parts. You can count on them no matter where you live; a highly congested high crime suburb or a smaller town. You may still find cheaper ones if you get a few quotes. Remember that each company reviews rates several times a year that can quickly change the dynamics in the market.

Also, what you are looking for can determine your view of the leading vehicle insurance companies. Some people may just look at the price but you may be looking for a reliable one in terms of claim payments, or prefer a local name to a large conglomerate. Most people don’t realize that it can be pretty personal arrangement in many ways. You decide what type of coverage you need, what to include or leave out to start with. Then you have unique driving history and choose to include more drivers on or restrict them to the people you list.

There are certain principles that can help you find great rates no matter what is the zip code. Take a little time to familiarize yourself with possible discounts you can ask for, get a few quotes and find the best policy for your circumstances.

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