New York Auto Insurance

The state of New York requires all insurance companies to offer uninsured and underinsured motorist insurance to all their policy holders.  Uninsured and underinsured coverage provides protections against drivers who do not carry the mandatory liability auto insurance demanded by the state.  Underinsured and uninsured coverage is mandatory in the state of New York.  Your insurance agent may recommend that you purchase more than the mandatory amount to cover yourself in the case of an accident.

You or your insurance company may exclude members of your household from coverage on your insurance policy.  If the individual is not listed on your policy, the insurance company does not have to provide coverage for that person.  Any exclusion will be listed in the section of your policy titled exclusions.  This section also covers any and all circumstances which would allow the insurance company to deny a claim. 

According to New York law, the insurance companies in the state must notify the DMV every time they write an insurance policy or an insurance policy lapses.  If your policy lapses or cancels you can be cited for driving without the required insurance so you must pay the premium to reinstate the policy.  If the policy is cancelled, then you must find a new auto insurance policy right away. 

New York insurance companies can use your credit history to accept applicants, set insurance rates, and determine which services they will provide.  They may also use your credit score to determine your risk factors, determine how often you have to pay your premiums, as well as create your personal insurance risk score.  However many other factors are used to determine your rates such as the age of the drivers on the policy, the car you drive, driving record, where you live and your marital status.  Since New York is a No Fault state, each individual’s insurance policy will cover their own injuries and damages.  For this reason, insurance companies advise policy holders to buy more than the minimum liability auto insurance.  The average insurance premium in New York as of 2006 is approximately $1,083.00 and the state is ranked as the 4th most expensive state for insurance premiums in the nation.

As of November 1, 2009, drivers in the state of New York are prohibited from operating a cell phone or texting while in control of a motorized vehicle.  The law includes cell phones, blackberries, laptops, or any other electronic communications device which can also be used to text or email.  There is a $150.00 fine for breaking this law.  Hands free devices are allowed as long as they do not interfere with the safe operation of the vehicle.  You are also allowed to use the devices in the case of an emergency or if you feel yourself to be in danger.

There are 35 officially accepted insurance companies listed in New York.  They include Adirondack Insurance Exchange, AIG Advantage and AIG National Insurance Companies, Allmerica Financial Alliance Insurance Company, Allstate Property & Casualty Insurance Company, Amica Mutual Insurance Company, Assigned Risk Plan, Auto Risk Plan, AutoOne Insurance Company, Chubb Indemnity Company, Countrywide Insurance Company, Electric Insurance Company, Encompass Indemnity Company, Erie Insurance Company, Esurance Insurance Company, GEICO General and GEICO Indemnity Company, Government Employees Insurance Company, Great Northern Insurance Company, IDS Property Casualty Insurance Company, Kemper Independent Insurance Company, Liberty Mutual Fire Insurance Company, Metropolitan Casualty and Metropolitan Group Property & Casualty Insurance Companies, Nationwide Insurance Company of America, New South Insurance Company, New York Central Mutual Fire Insurance Company, Preferred Mutual Insurance Company, Progressive Direct and Progressive Preferred Insurance Companies, Sentinal Insurance Company, State Farm Fire & Casualty and State Fare Mutual Auto Insurance Companies, Travelers Home & Marine Insurance Company, United Services Auto Association, and USAA Casualty Insurance Company.

One of the methods you can use to reduce the cost of your auto insurance premiums is to purchase more than one type of insurance policy with the same company.  You will also get discounts for a clean driving record and possibly for renewing you policy with the same company repeatedly.  Making sure you insurance never lapses will sometimes reduce your premiums.  Younger drivers can get discounts for maintaining good grades, and completing a driver safety course approved by the state.  Insuring multiple vehicles will also reduce your premiums.  Anti theft devices and safety mechanisms such as airbags and seat belts will contribute to the reduction of your auto insurance premiums.  It may also be useful to know which cars are frequently targeted by thieves.  The list of the top ten most often stolen cars in the state of New York are listed below.

1. 1990 Toyota Camry
2. 1990 Honda Accord
3. 1993 Honda Civic
4. 1994 Dodge Caravan
5. 1997 Nissan Maxima
6. 1994 Plymouth Voyager
7. 1994 Jeep Cherokee/Grand Cherokee
8. 1994 Acura Integra
9. 1993 Ford Taurus
10. 1993 Oldsmobile Cutlass