Which Company Has the Lowest Cost of Car Insurance in New York City?

New York, NY is the hub of American business, art, and culture. Other cities may compete, but they seldom compare to the sheer size and grandeur that is New York City. With a population of 8.4 million within the city limits and a metro area that holds a mind-boggling 20 million citizens, drivers face lots of traffic, parking difficulties, and other struggles in their daily life. In the face of these difficulties, New Yorkers must carry automobile insurance so that they comply with state law and so that everyone can have their vehicle repaired in the event of an accident.

While most people in New York City commute to work using public transportation, those in the greater New York-Newark-Jersey City, NY-NJ-PA metro area spend an average of 35.8 minutes driving one way to work every day. This is much higher than most metropolitan statistical areas, which tend to be somewhere in the mid-20-minute range, if not lower. Interestingly, NYC households have an average car ownership of zero while those in the metro area have two cars per home.

However, the New York-Newark-Jersey City, NY-NJ-PA area ranks rather low for automobile theft. In 2018, the area ranked #299 nationally for theft. Though there were 19,789 cars stolen in 2018, the population-adjusted rate is only 99 per every 100k residents. This is good news for drivers who may face repairs and insurance claims stemming from auto theft.

New York drivers need to watch out for their credit scores, however. New York motorists with poor credit are subject to significantly higher premiums based on outstanding debts or past financial difficulties. Those with poor credit scores can pay more than double the premiums of a driver with excellent credit. They can even pay more than $500 more than a driver with excellent credit and a DWI. Thus, credit-challenged drivers need to do their research to find the lowest possible rates so that they can amend their financial situation.

What is Required for New York City Drivers?

For those brave enough to drive in New York City, or hearty enough to weather the snowy conditions that visit upstate New York state each year, car insurance is a necessity. In fact, New York State law requires that all drivers carry a minimum level of coverage. In fact, drivers who are found to be driving without insurance are subject to fines, tickets, and possible loss of their license. Thus, insurance companies offer liability policies for those who are only looking to pay to meet the minimum state requirements.

These liability policies cover up to $10,000 in property damage for a single accident. They also cover bodily injury of up to $50,000 for two victims of a crash. Coverage should also cover up to $100,000 for the death of two auto-crash victims.

However, drivers with liability-only policies are not themselves covered by their own policy. If their cars are damaged due to sliding off a snowy, icy road, they must cover the repairs with their own funds. They must also cover their own medical bills when involved in a single-car crash or if they’re injured as a result of hitting another car.

Most Expensive and Least Expensive Insurance Rates by Zip Code

Cheap Car Insurance in New York City by Insurer

New York City insurance is some of the most expensive in the state of New York. In fact, the four most expensive zip codes are all in NYC. The following chart is offered to help drivers in New York City find the most affordable automobile insurance.

Compare cheap auto coverage quotes by state.

Low Cost Auto Insurance for Bad Credit in New York City

Bad credit causes trouble for drivers whether they’re on or off the road. New York insurance companies adjust their premiums according to every driver’s individual credit rating, in addition to considering driving record, zip code, and more. Use the following chart to find the lowest cost insurance so that insurance premiums don’t interfere with your efforts to amend your credit.

Use this guide to find cheap auto insurance coverage with bad credit.

What is the Difference Between Full Coverage and Liability?

What is Liability Only Insurance Coverage?

Liability-only coverage is the cheapest option for automobile insurance. This coverage level only covers vehicles that are not at fault in an accident. Thus, if you carry liability-only coverage and cause an accident, the other driver will be covered by your policy. Any damage done to your car must be covered out of pocket, if at all.

What Full Coverage Covers

Liability-only insurance is the least amount of insurance that one can purchase. This satisfies your legal requirement to drive and register your vehicle in New York. For many people, this is not sufficient coverage because it does not cover their losses if they are at fault and do damage to their own vehicle or if they sustain damages in a hit-and-run or from an uninsured driver.

Collision covers when one is at fault and their own vehicle is damaged. If you have a car that is worth more than a few thousand dollars, it is often a wise investment to buy collision insurance each year. However, collision insurance coverage is pricey and will increase your insurance cost per year quite drastically.

Comprehensive covers those oddball things that happen that you cannot control, like damaged windshields and collision with animals on the road. It also covers your loss when someone purposely damages your vehicle in an act of vandalism. In addition, comprehensive covers theft of your vehicle, fire and weather, or acts of nature. An example of the latter would be if your car was crushed under a tree that fell in a wind storm.

Key Differences Between Full Coverage and Liability Only

The main difference between liability and full coverage insurance is that full coverage will cost more than liability insurance and this is because it protects you against many more possible risks that liability doesn’t cover.

In addition, liability insurance only covers other people’s injury claims and damages to other vehicles where full coverage will cover other’s injuries and vehicle damages as well as your injuries and damage to your own vehicle.

Average Annual Car Insurance Rates in New York by City

Additional cities in New York you can check out.




Ways to Obtain a Lower Cost Auto Insurance Policy

The following auto insurance discounts can be used to help lower your premiums in New York City:

  • Shop around:

    It could not be clearer. The smallest difference in our driver demographics between the most expensive and the bargain insurance rate was over $1,100 yearly. It is a good idea to shop around yearly, especially if your policy rate goes up, since insurance carriers can change their rates whenever they feel it’s necessary.

  • Avoid accidents and moving violations:

    These will increase your rate, sometimes substantially.

  • If you have an accident or moving violation:

    It is often a good idea to spend a little bit of money now and attend traffic school, rather than have these violations stay on your driving record for years.

  • Insure your home and car with the same company:

    If you can insure your home or apartment and your vehicles with the same insurance carrier, you can also save money, as there is often a discount for bundling multiple services.

  • Look for discounts :

    Often, there are good driver rates for those with no moving violations or student driver rates. Sometimes, your insurance agent will not tell you about these discounts, but you can find them online.

  • Rates are influenced by the type of vehicle :

    Insurance rates are much higher if you carry full liability and have a vehicle you are paying off. Sometimes it is best to buy a new car and just maintain it thoroughly. Eventually, you will have no car payment, and you can eventually drop the collision insurance. When cars get to a certain age, you will not receive enough back from the insurance company if your car is totaled in an accident to justify buying the collision insurance each year.

Using this guide to take full advantage of all driver discounts.

What are the Factors that Affect Your New York City, NY Car Insurance Premiums

There are many factors that affect your insurance rates, number one being your driving record and whether or not you have had previous accidents where you were at fault. Other things that can affect the amount you will have to pay for auto insurance are:

  • The company that ensures you
  • Not only the city and state you live in but the area (zip code) you reside in as well
  • Your age
  • Whether you are male or female
  • Your earnings
  • Marital status
  • Your credit score
  • Speeding tickets or other tickets you have incurred
  • How many years of driving experience you have
  • How many miles you drive regularly, including your commute to work
  • The year, make, and model of your vehicle
  • Where you park your car when not in use

Use this guide to find low cost rates with accidents from the top insurance companies.

Helpful New York City, New York Vehicle Resources:

Live Traffic Accidents by City

DMV in New York (Find Locations, Vehicle Registration, Titles and Insurance Info)


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