Guide to new York Auto Insurance

New York not only requires that all automobiles registered must be covered by standard liability coverage but the insurance must be provided by a licensed company with the State of New York. At http://www.dmv.org/ny-newyork/car-insurance.php is simple for New York drivers to obtain up to five quotes from leading insurers to ensure that you are getting the possible rate and that the copany is approved. New York takes insurance seriously and penalties for driving without proof of insurance include suspensions of registration and heavy fines to having your license suspended and your car impounded.

The New York law requires the following amounts of insurance coverage that you must maintain:
* Bodily injury liability – $25,000 per person / $50,000 per accident for injury / $50,000 per person / $100,000 per accident for death
* Uninsured motorists coverage – $25,000 per person / $50,000 per accident for injury / $50,0000 per person and $100,000 per accident for death
* Property damage liability – $10,000
* Basic no fault – $50,000

Automobile liability amounts can be confusing. Bodily injury liability is the amount the insurance company will pay out for each person that is injured in an accident if you are held legally at fault for the accident. Property damage liability is what the insurance company will pay out per accident for any property damage. It is important to remember, if for example, you were in an accident and were at fault for that accident and the accident involved 5 people and 4 were seriously injured incurring serious medical costs, a claims battle may happen between you and the other parties. If the medical bills are over $50,000, you as the at fault driver can be sued for the remainder of the costs in court. Uninsured and under insured motorist bodily injury is insurance that will cover you are involved in an accident with a driver without insurance or a driver that does not have the minimum insurance coverage (such as a driver from another state not requiring the same limits).

It is important to remember that the minimums listed above are minimums. Your financial lending association may require you to carry different amounts of insurance including collision and and comprehensive insurance.

There are other types of insurance that you can purchase and may be required by your lien holder on a new vehicle. Collision is insurance that will cover you when your auto has any type of damage or collision. This includes other objects besides autos, as an example a tree falling on your car.

Comprehensive insurance is the insurance that covers the loss of the vehicle or its contents. It will pay for theft loss, vandalism, and natural disasters. The cost may be worth it to be covered if your car is parked in places that it may be susceptible to theft or vandalism. If you have security devices on your car, the cost of this insurance is drastically reduced. It is important to discuss these additional options with your insurance agent to ensure that you are covered at the limits that will best protect you and your property.