What Is the Average Car Insurance Cost in New York? Rates, Factors, and Tips for Saving
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You might not be surprised to hear that the average car insurance cost in New York is among the highest in the nation. If you're looking for the cheapest rates for your next coverage policy, you can focus on everything from a clean driving record to insurance companies that offer discounts and average premiums that won't break the bank.
New York auto insurance may never be a bargain, but you can still find auto insurance rates that work with your budget.
Understanding Car Insurance Costs in New York
The average cost of car insurance in New York state for a 16-year-old driver is a whopping $5,700, but the average car insurance cost in New York drops to just over $1,700 per year for the average 45-year-old driver. It averages about $4,200 per year. Nevertheless, car insurance is a must if you plan on driving anywhere in New York state!
Factors Affecting Car Insurance Premiums in New York
Insurance coverages in New York are higher than the national average in part because the state has more uninsured drivers on the road. Here are some other factors that can affect your car insurance premium in New York:
- New York is a no-fault state. The average cost of car insurance in New York is high because it's among a few no-fault states where you must file a claim with your insurer following an accident, even if you were not the responsible party. This means you also need extra insurance to cover all parties in fault accidents.
- New York has significant minimum requirements. If you're planning on driving on New York state roads, you must have (1) no-fault or personal injury protection insurance of at least $50,000, (2) liability insurance of at least $25,000 for bodily injury or $50,000 for injuries that result in death, and (3) uninsured motorist coverage of at least $25,000.
- New York is home to more severe weather. As a result, you might see more accidents and car damage related to storms.
- New York is home to New York City. Cities are famously more expensive for car insurance, thanks to increased crime, fewer parking garages, and dense traffic.
Average Cost of Full Coverage vs. Minimum Coverage
If you're looking for the cheapest car insurance in New York, your best bet may be minimum coverage, which costs about $3,000 per year, compared with more than $7,500 for full coverage.
If you're unsure about which option to purchase, it helps to compare quotes side by side to determine which features and options you need and which you can live without.
How Location Impacts Car Insurance Rates in New York
Location matters, especially when looking for affordable car insurance. Ithaca boasts the cheapest auto insurance rates in New York, at around $1,300 per year on average, while you're likely to pay more than $3,550 annually if you live in Brooklyn.
Cities often have higher average insurance premiums due to increased accidents, density, and crime.
Tips for Lowering Your Car Insurance Rates in New York
The bad news is that New York is an expensive state when it comes to purchasing car insurance, but the good news is that there are many smart strategies for saving on auto insurance:
- Take a safe driving course approved by the New York Department of Motor Vehicles. These courses can also help you maintain or get a clean driving record, which also supports better insurance rates.
- Install automatic seat belts and airbags if your car does not already have them. These will give you a discount on your no-fault insurance coverage. Likewise, anti-lock braking systems and anti-theft devices can lead to notable insurance discounts.
- Bundle your car insurance with your home insurance, or include multiple drivers on the same policy to enjoy a discount from your insurer. Bundling can lead to significant savings!
- Review your deductibles. You may want to adjust if your coverage levels are well above the minimum requirements.
- Clean up your credit report. Better credit equals better insurance rates, so it pays to have a high credit score and a good driving record.
How Your Credit Score Affects Car Insurance Rates
Your credit score can affect everything from your ability to purchase a home to the interest you pay on your credit card to your car insurance premiums.
Lenders use credit scores as one tool to assess risk when you apply for auto insurance. They determine that drivers with lower credit scores are at greater risk of getting in an accident and making an insurance claim. A good credit score, on the other hand, will help you secure more affordable car insurance.
Find the Best Rates: Use EverQuote's Quote Comparison Tools
Cheap car insurance in New York is possible if you do your research. Visit EverQuote to compare insurance rates, offers, and options to find the best New York car insurance for your budget and needs.