Car insurance ny
Car is something which has become quite common and popular these days, largely because of the reduction in its cost and also due to because of the cheaper versions of the same. Till few years back, car was something that could only be afforded by the upper section of the society but now even the middle section of the society can afford it easily. With the increase in the number of cars, the number of cases of car theft has also gone up rapidly. Therefore to be on the safer side, car insurance is of the utmost importance. Car insurance is simply insuring your car against thefts and accidents so that one could recover the cost of the damages.
Some people think that car insurance and any other type of insurance for that matter is a newer concept. But, they will be surprised to know that the history of insurance is as old as the beginning of the civilization itself. Ever since the time that humans have possessed any material object that is of value or precious to them, they have strived to protect it from harm. The origin of insurance can be traced back to the ancient empire of Babylonia. The Romans also had created a life insurance system, by providing funeral expenses for their citizens and armies.
As the civilization grew and with time as Europe acquired a huge status. The practice of insuring was also practiced in Medieval Europe. At that time groups of people used to take responsibility of goods in exchange of a regular payment. And that is how the modern system of insurance came into existence. In todays system people pay a monthly or annual premium to insure their life and property.
Car is something which is quite close to heart of the person owing it. However, most often people all across the globe think that car insurance is not all that important. However, they realize its worth only after facing some accident or theft, in which case they have to bear all the expenses. Car insurance NY stands for car insurance in New York and it is not very different from the rest of the world. Car insurance companies in New York come up with various attractive schemes for the customers every now and then. The working of car insurance NY is quite simple to understand. First the person buys and car insurance policy from the insuring company and then he or she requires paying some percentage of the insured amount every month or year as the premium. These payments add up to the amount of the policy that has been bought. When the policy gets matured that is when the insurer has paid all the premiums then he or she receives the amount in totality.
The coverage amount for the car insurance depends on the insured amount. For this, the companies in New York have many plans so that the customers can take the one that suits them the best. In New York , it is by law that the person has to buy car insurance with some pre defined minimum amount of coverage. However, it is sensible to buy a policy above than that of the minimum amount of any coverage to avoid the possibility of being faced with a lawsuit and avoid hefty repair bills.
Car insurance NY is basically based on the liability coverage provided by the auto insurance policy. If you have taken car insurance NY and you meet an accident then your insurance will cover all the damages caused by you to the other, both in terms of bodily harms and property damage. It will also cover all the expenses incurred by the other party due to the accident and most importantly it will cover your legal dues also. The bodily expenses cater for the medical bills for the injury which is caused by the accident. Property injury covers any damages to property like the repair and replacement of things you damaged apart from your car.
The key to the car insurance NY is the liability insurance. The United States government has also passed a law according to which in forty five of its states one needs to purchase the car insurance at the time of car purchase only. The minimum coverage amount differs from state to state. For instance, if you live in New York, you must purchase at least $20000 worth of bodily damages injury coverage per person, $40000 worth of bodily coverage per accident and $15000 worth of property damage. The above kind of distribution is also termed as 20/40/15.
Car insurance NY can be purchased either from various companies that are into this business by physically going to their place or the other easy way of doing the same is to log onto the website of various companies providing it and then choose the one that meets your requirements at the lowest possible price. Car insurance NY has also turned out to be a fast growing business. If we look at some figures for the year 2003 then we will find that the average auto insurance premium for residents in New York was $1313 and the national average was estimated as $914. More often people all across the globe believe that the car insurance premium rates are something which is fixed by the state and the insurance companies and hence they never compare the rates of various companies. But, since it is not so therefore, one should always compare the rates of few companies before actually making the purchase.
The other important about the car insurance NY is that the rate keeps changing from time to time and so if you are not aware of it then you may end up paying more. Always keep in mind that if you cause a serious accident, then a policy with minimum coverage might not pay for all damages and you may be faced with a legal suit. Comprehensive coverage will pay for the damages to your car, which was not caused by an accident, like theft, vandalism, fire or hitting a deer.