Shopping for car insurance doesn't have to be a complicated, never-ending puzzle. There are studies, statistics, and tried-and-true methods that all factor into how much you'll spend every month on insuring yourself and your vehicle.

Whether you're looking for basic liability insurance or comprehensive coverage, we've outlined what you'll need to consider before purchasing any auto insurance and how to find New York car insurance rates that fit your budget.

The First Step to Finding Cheap Auto Insurance NY

According to a 2017 study by the Insurance Information Institute or (iii), New York is the fifth most expensive automobile insurance state. The average yearly payment comes out to $1,347, or $112 a month.

When shopping for affordable car insurance NY, keep in mind your state's minimum auto insurance requirements which will impact even the cheapest car insurance in New York. New York has the following minimums:

  • Bodily injury liability – $25,000 for one person/$50,000 for all persons.

  • Property damage liability – $10,000

  • Uninsured motorist bodily injury coverage – $25,000 one person/$50,000 all persons

  • No-fault insurance/Personal injury protection – $50,000

Purchasing New York auto insurance that only covers liability can cost an average of $887 per year, or about $74 a month.

While that may sound enticing, keep in mind that all state minimum requirements are just that—the minimum.

If you choose to purchase a policy that meets the state's required minimums, this only covers damage to someone else's vehicle or body. To protect yourself and your property, you'll want to investigate additional insurance coverage options.

Beyond the Minimum

You may want to consider investing in additional auto insurance coverage beyond New York's state minimum—paying a little more each month could save you thousands of dollars in the long run.

For instance, take a situation in which you are involved in a no-injury accident resulting in the significant body and frame damage of a brand new Chevrolet Silverado (valued at or above $40,000). Repairs may easily cost more than the allotted $10,000 provided by the state's minimum requirements, not to mention what damage that big truck may have inflicted on your vehicle.

To avoid these kinds of costly scenarios, consider investing in these two car insurance coverage options:

  • Comprehensive coverage – This covers damage caused by virtually anything other than colliding with another vehicle, including:

  • Animals

  • Fire

  • Riots/vandalism

  • Natural disasters

  • Fallen objects

According to the iii, the average cost of comprehensive coverage is $134 a year.

  • Collision coverage – This covers accidents where you collide with another vehicle or fixed object. iii reports that the national average is about $290 per year for collision coverage.

Adding comprehensive and collision coverage to your insurance plan may cost you, on average, upwards of $424 a year (based on the above Insurance Institute stats).

Of course, all of these numbers are just estimates and averages. They don't consider all the other ways you can save money, like qualifying for discounts and taking time to shop smart and compare rates.

More Ways to Save

The cost of insurance plans will always reflect the status of the driver. For instance, younger drivers will pay more for insurance; the older you get, and the more years you've driven, your premiums will go down.

While you may not be able to change how old you are or whether you live in a territory with low auto theft, there are some actionable ways to lower your monthly insurance premiums.

Put in the Work

The cheapest way to save money on car insurance is to drive safely and maintain a solid credit score. If you have a not-so-stellar driving record, rest easy. There are still ways to save—consider the following:

  • Take an accident prevention course – Check out the New York Department of Motor Vehicles website to see a list of approved classroom and/or virtual courses available. You may receive a discount on liability, collision, and no-fault coverage if you've completed one of these courses.

  • Apply for discounts – You may qualify for discounts—specifically for no-fault and medical payment coverages—if your car has automatic seat belts or airbags and factory-installed ABS. You may be eligible for discounts on comprehensive coverage if your vehicle has anti-theft devices and or electronic tracking devices installed.

Once you've decided what kind of coverage you're looking for and have boosted your chances of qualifying for cheaper rates, you'll need to find the best company to provide that coverage.

Shop Around

The United States is home to thousands of insurance companies. It can be overwhelming to compare and contrast which companies offer what.

One of the best ways to easily—and quickly!—compare rates and providers is to plug your data into a reputable source like Online Auto Insurance (OAI).

OAI will compare the rates of popular providers like AAA, Progressive, Allstate, Liberty Mutual, and more to produce fast and free quotes for you. From there, you can compare multiple quotes, reference your state's requirements and average policy rates, and select the plan that has the right amount of coverage for your needs.

Finding the cheapest auto insurance in the great state of New York is not a complex puzzle—by outlining your needs, factoring in your discounts, and comparing the rates of insurers, you'll be well on your way to saving big now and in the future. \ \ Hit the road with your New York car registration, your license, and peace of mind with OAI.

Sources:

Business Insider. Average Car Insurance Costs in 2020. https://www.businessinsider.com/personal-finance/average-cost-of-car-insurance

Insurance Information Institute. What is Covered by Collision and Comprehensive Auto Insurance? https://www.iii.org/article/what-is-covered-by-collision-and-comprehensive-auto-insurance#:\~:text=caused%20by%20potholes.-,Comprehensive%20coverage,significantly%20less%20than%20collision%20coverage.&text=Theft%20of%20the%20entire%20car,Broken%20windshield

New York State Department of Financial Services. Auto Insurance Frequently Asked Questions. https://www.dfs.ny.gov/consumers/auto_insurance/auto_insurance_faqs

New York Upstate. The 25 Most Popular Cars in Upstate New York, ranked for 2018. https://www.newyorkupstate.com/news/2018/02/the_25_most_popular_cars_in_upstate_new_york_ranked_for_2018.html

OAI. New York Car Insurance. https://www.onlineautoinsurance.com/states/new-york.html