Why it’s not a coincidence that the worst auto insurance rates in America are on the East Coast
New York City residents may not have a lot of incentive to make the commute to work this winter.
For the average Manhattan resident, that means an average monthly premium of $4,068.
That’s up $1,000 from last year and the highest average premium in nearly a decade.
But for New York’s auto insurance industry, that’s hardly surprising.
The industry is in a state of transition.
As demand for cars has declined, it has faced pressure to slash premiums and improve safety.
As a result, the auto insurance market is seeing a surge in premiums, a new study has found.
New York state is among a few states where the auto insurers are struggling.
The National Association of Insurance Commissioners, which represents the industry, says it has seen “a surge in premium growth over the last two years.”
The trend is not a surprise.
As Americans drive less, the need for car insurance has grown.
The cost of buying a new car has been on a steep decline for several years.
But the industry is not alone.
For example, auto insurance premiums in the Bay Area have been on the rise for the past few years, while in cities like Seattle and San Francisco, rates are down.
The trends have contributed to an insurance industry in flux.
“The auto insurance markets in the East and West Coast have been in flux for the last few years,” says Matt Miller, a senior vice president with the National Association.
“As demand for vehicles has decreased, the demand for auto insurance has increased.”
Here are some of the biggest trends in auto insurance in America: New York has the highest rate of auto insurance: In New York, drivers pay an average of $3,868 per month on average.
In New Jersey, that rate is $2,895, while the average in New York is $3.25 million.
The highest average rate in the nation is in California, at $2.2 million per month.
The average premium across the East, West and Midwest is $1.3 million.
New Jersey has the worst average premium: In the Northeast, the average is $4.5 million.
But that’s not even close to the average across the country.
In Pennsylvania, the rate is nearly $3 million a month.
And in Washington, the state averages $1 million.
In the Midwest, the cheapest rate is in Michigan, where the average premium is $849 a month, according to data from autoinsurance.com.
The states with the lowest rates are in California ($2,897), North Carolina ($2.25), and Florida ($1,934).
In the East Bay, the highest premium is in Santa Rosa, where it’s $3m a month and in Richmond, where prices are $2 million a year.
New Hampshire has the best rate: In Massachusetts, the annual premium is more than $6,000.
But in New Hampshire, it’s about $2 a month for the cheapest price, which is $5,000 a year, according the National Federation of Insurance Companies.
There are also other big trends in the auto industry: The average age of auto drivers has decreased since the 1970s.
That means drivers are younger, and their premiums are higher.
But older drivers have the highest rates: For every 20-year-old driver, the insurance companies pay $1 a month more than their 20- to 25-year old counterparts.
And for every 20 to 30-year person, premiums are $1 more than what they are for the same age group in other states.
The state with the highest premiums is New York.
Its average is about $6.2 a year for the 20-to-29-year group, while $3 a month is the average for the 30-to 59-year olds.
The most expensive state is California, with an average premium of about $9,000 for every 40- to 59-.
And the most expensive city in the country is New Orleans, with a cost of $12,000 per year for every 1,000 people, according Toilolo.
“If you have the oldest people and the youngest people, that tends to create the lowest premiums,” he says.
In general, drivers in the Midwest have higher premiums.
For every 1.2- to 2-year car-driver age group, premiums increase by about $600 a year or about 15 percent.
And it’s in the Northeast that the average rates go up the steepest, with about $1 for every 4- to 7-year age group.
In California, the rates for drivers over 60 years old are about $3 for every 7- to 11-year vehicle.
And, in Florida, rates for 60- to 79-year drivers are about 30 percent higher than those for younger drivers.
But Miller says that is not the entire story. The other