You may want to think about enhancing your coverage.

Car accidents in New York City are almost as common as cars themselves. Recently released data from the Auto Insurance Center revealed just how big the problem really is. From March 2014 to April 2015, there were over 223,000 collisions, which equates to about 530 accidents every day. And that’s just the five boroughs; when you factor in the rest of the state, these numbers could be much higher.

Fortunately for drivers having to navigate congested streets with hundreds of other cars, there’s an important safeguard in case of an accident: insurance. No matter where you live, car insurance is important, but even more so in a state like New York.

New York insurance minimums

If you are a new driver or it’s been a while since you looked at your insurance coverage, these are the state minimums you need to carry, according to the New York State DMV:

  • $25,000 for bodily injury per person
  • $50,000 for bodily injury per accident
  • $50,000 for death per person
  • $100,000 for death per accident
  • $50,000 for no-fault coverage
  • $25,000 for uninsured coverage per person
  • $50,000 for uninsured coverage per accident
  • $10,000 for property damage per accident

Why increased coverage is worth it

While bare-bones car insurance offers solid protection, you may want to think about raising your coverage because:

Accidents are expensive

Property damage is one thing, but we all know how expensive medical bills can be. Even a minor accident could easily exceed that $25,000 or $50,000 coverage. And once your insurance pays the injured party, whatever amount is left over, you will have to pay out of your own pocket. This could mean selling some of your assets – including your car, ironically enough – or even having your wages garnished.

Collision doesn’t cover everything

You may think that reducing your collision deductible is the best tactic. And while it’s a good idea, especially for a brand-new vehicle, it’s important to remember that collision only covers you if you hit another car or some other object. It won’t cover theft or damage from things like a fire or flood. Plus, it will not help you if there are injuries.

Extra coverage is probably cheaper than you realize

It’s very possible your car insurance takes a good chunk out of your income, so it is understandable that you would want to keep it as low as possible. But increasing your coverage probably won’t break the bank. In fact, it may only take about $100 extra per year. Plus, there are almost always ways to cut your costs, such as by limiting the number of miles you drive, raising your deductible, or by purchasing a car with advanced safety features.

The fees can add up

Another reason to go with more than the minimums is because of what an enhanced policy can give you. Often, they offer things like roadside assistance for a dead battery or a flat tire. Many policies provide reimbursements for rental cars if you need to have your vehicle repaired for a covered loss while at the mechanics. With basic coverage, you would be on the hook for these costs.

In a state like New York, you can never be too careful when you’re out on the roads, or with your insurance coverage, for that matter. If you are just carrying the minimums and want to up your coverage, get in touch with the NICRIS Insurance Agency for a free quote. Call our office at 516-544-0006 or just send us a message.