When you’re on the lookout for the best car insurance in New York and are hoping to save as much as possible, you need to focus on two things: thorough research and comparison shopping.
In the process, you will learn how to judge an insurance provider based on its financial strength ratings, customer satisfaction studies, and online reviews.
Several factors contribute to the price of your insurance premium, such as where you live, your age, and what car you drive.
Gaining a deeper understanding of how these elements influence prices, and coming prepared with a few competing offers, can help you negotiate the best price on the best car insurance policy for your situation.
With the help of this guide, readers should be able to answer the question, “How much is car insurance in New York?”
They may also be able to score a better deal on their insurance premium and save a substantial amount of money along the way.
Average Cost of Car Insurance in New York
According to the 2017 report by the National Association of Insurance Commissioners, the average price of a car insurance premium in New York during 2014 was $1,360.66.
This rate was considerably more than the national average of $1,009.38 for the same time, suggesting that New York is one of the most expensive states for vehicle insurance.
New York was ranked second on the Insurance Information Institute’s Top 10 Most Expensive And Least Expensive States For Auto Insurance, 2015 report.
The following table addresses the question: “How much is car insurance in New York and the surrounding areas?” by examining average prices in New York and the states around it:
|Average Cost of Car Insurance in New York||1360.66|
|Average Cost of Car Insurance in Pennsylvania||970.51|
|Average Cost of Car Insurance in Connecticut||1151.07|
|Average Cost of Car Insurance in New Jersey||1382.79|
|Average Cost of Car Insurance in Rhode Island||1303.5|
|Average Cost of Car Insurance in Massachusetts||1129.29|
|Average Cost of Car Insurance in Vermont||764.02|
|Countrywide Average Cost of Car Insurance||1009.38|
Driver and vehicle data are just some of the factors that affect the prices listed above. Local traffic conditions, vehicle theft rates, population density, and disposable income can also impact the cost of an insurance premium in New York.
Traffic Conditions in New York
The National Association of Insurance Commissioners (NAIC) report states that New York has a traffic density of 1,125,916 (calculated as the number of vehicle miles traveled per highway mile).
As this is considerably higher than the national average of 724,348, you may find that the price of your premium also to be higher.
The number of miles covered by registered vehicles in New York is 12,224, which is just above the national average of 12,010.
The NAIC shows fatal accidents occurred at a rate of 0.10 per 1,000 registered vehicles, slightly less than the national average of 0.13 per 1,000 registered cars.
Vehicle Theft Rates in New York
The FBI’s Crime in the United States report states that New York has a vehicle theft rate of 72.9 per 100,000 inhabitants—considerably lower than the national average of 236 per 100,000 inhabitants.
The National Crime Insurance Bureau’s Hot Wheels Report states that the top five cars most likely to be stolen in the New York area are: the 1997 Honda Accord, the 1998 Honda Civic, the 2015 Toyota Camry, the 2015 Nissan Altima, and the 2012 Ford Econoline E350.
Insurance providers could increase the cost of your premium if you drive one of these high-theft-risk vehicles.
Population Density in New York
Essentially, a higher population density means more people in a smaller space.
Insurance companies might look at this as increasing your accident risk, simply because there are more chances for collisions or interactions. New York has a rate of 418 persons per square mile, which is over four times the national average of 90 persons per square mile.
Because of this high population density, insurers could raise the price of your premium accordingly.
Disposable Income in New York
Generally, the higher the average personal disposable income in an area, the more likely it is that consumers will purchase luxury and sports cars, which then require a higher level of insurance coverage.
According to the NAIC report, New York has a per capita disposable personal income of $47,446.
As this is slightly higher than the national average of $40,859, you could find yourself paying somewhat more for your policy.
Companies with the Best Car Insurance in New York
While the price of the premium may initially be the most critical factor, there’s a lot more to consider.
It’s also necessary to examine the financial strength of your potential provider, as this ultimately speaks to the insurer’s ability to meet its obligations.
Choosing a financially stable company is easy thanks to independent financial agencies such as A.M. Best and Moody’s Investor Services, which rate companies according to their economic strength.
Another crucial point to look at is the quality of customer service.
After receiving a quote and setting up their policies, most people don’t consider the claims servicing process. However, after an accident or theft situation, there’s nothing you want more than efficient, friendly customer service.
Take the time to collect at least three quotes from top insurance providers such as these:
Progressive Car Insurance
From its humble beginnings back in 1937, Progressive has grown to be one of the largest, most-trusted insurance providers in the United States.
With a range of services including Immediate Response Vehicles™ and 24/7 availability, Progressive is a popular choice for drivers throughout the state.
Liberty Mutual Insurance
Liberty Mutual provides many types of financial services around the world, including auto and home insurance.
One of its offerings is a 12-month auto insurance policy with a rate guarantee for one full year.
Esurance is a relatively new company, founded in 1999 and backed by Allstate.
It has active policies with over five million motorists around the United States.
QuoteWizard is an online marketplace that helps connect customers and insurers.
When users access a company page on QuoteWizard, they also have the option to compare it alongside another insurance company directly.
With over ten million members around the United States, USAA is one of the biggest providers of auto insurance in the country.
USAA coverage is available to military personnel and their families, and the company offers coverage options for just about every kind of vehicle.
Allstate has several benefits for its customers including the Safe Driving Bonus® and the Drivewise® app, a program that rewards customers safe driving habits.
American Family Insurance
American Family provides several auto services as well as insurance, including a roadside breakdown service.
The company is available night and day and offers 24/7 claims servicing.
What is Mandatory for Car Insurance in New York?
If you’ve registered your vehicle with the New York Department of Motor Vehicles, you must adhere to the minimum New York liability amounts.
By law, you’re required to have bodily injury liability coverage of $25,000 per person and a total of $50,000 per accident, personal injury protection of $50,000, and property damage liability coverage of $10,000 per accident.
In New York State, driving without auto insurance is considered a criminal offense. If your vehicle is registered in New York, it must have New York State auto liability insurance coverage.
If you get pulled by a police officer for a traffic stop in New York, it’s likely you’ll be asked to present proof of your insurance policy.
You should always carry your insurance identification card with you or in your vehicle.
The penalties for driving without the appropriate level of insurance in New York can include fines of up to $1,500 (as well as an additional fee of $750 to restore your license if it is revoked), a vehicle impounding, and even jail time in the case of repeat offenders.
How to Reduce the Cost of Your Car Insurance in New York
Even after you’ve shopped around for the best car insurance in New York, you may be surprised to learn there are still more ways to lower your rates.
Raising Your Deductible: If you increase your deductible to the maximum allowable amount, you will save money on your premiums. However, when you file a claim, be prepared to pay more up front before your insurance kicks in.
Bundling Your Insurance: Bundles are an insurance provider’s way of rewarding loyalty, usually by offering savings off insurance policies. If you’re bundling more than one vehicle and driver as well as home insurance, the discounts could be even larger.
Secure Your Car: Fitting an approved alarm, immobilizer, or tracking device can get you a decent discount from some providers. Most new cars feature these anti-theft devices as standard, so make sure to declare them to your insurance company.
When you’re gathering quotes from different companies, be prepared with full details regarding your vehicle, household, and driving habits.
- Vehicle: make, model, trim style, year, and VIN
- Household: number of drivers and their ages, proof of driver’s training courses, and report cards for above-average grades (student drivers)
- Driving Habits: annual mileage, parking location, and typical commute
What Can Increase the Cost of Your Car Insurance in New York
Just as there are factors that can reduce the price of your premium, there are others that drive the price up.
Driving History: If you have a history of driving offenses, your premium is likely to reflect this. Drivers with a clean history are often eligible for special rates or discounts.
Vehicle Usage: A vehicle driven to and from work daily is more likely to be involved in an accident than a car that only leaves the garage once or twice a week. The more that you plan to use your vehicle, the more you should expect to pay on your premium.
If you are insuring a second car (without a designated driver), make sure the provider knows that its mileage will be limited.
Now that you know what contributes to the cost of an insurance premium in New York State, you should be in a better position to negotiate the best deal on your car insurance policy.
Use the suggested tips to successfully lower your rates and find the right provider for you.*While we make every effort to keep our site updated, please be aware that "timely" information on this page, such as quote estimates, or pertinent details about companies, may only be accurate as of its last edit day. Huntley Wealth & Insurance Services and its representatives do not give legal or tax advice. Please consult your own legal or tax adviser.