Albany, NY Map

Contrary to popular belief, New York City is not the capital of New York state; it’s actually Albany, a smaller, but nonetheless modern city about 150 miles north of the Big Apple. Albany is best known for the Empire State Plaza, which features shopping, entertainment, and a large reflecting pool.

Though Albany is a modern city that attracts thousands of tourists and new residents every year, it is significantly smaller than New York City. The latter boasts a population of over 8 million people, while Albany — including all of its metropolitan suburbs — has just over 1 million residents.

However, this is not to say that Albany is a cozy, quiet little city. On the contrary, Albany is buzzing with business, shopping, tourism, and culture. With an average age well below that of NYC, Albany has become a hotspot for young professionals. It has a thriving bohemian art scene and plenty of entertainment for crowds of all ages.

Table of Contents

Use this table to jump to specific sections in this guide:

Compare Affordable Car Insurance Rates

ZIP code

Current Insurer

Age

Driving in Albany, NY

That said, Albany is not all sunshine and rainbows (literally). It gets heavy rainfall in the spring and summer, while it averages more than 52 inches of snow every year. Not only can the weather be a hassle, but it can also become a safety hazard for drivers.

Speaking of drivers, car insurance rates are on the rise in most parts of the United States. Unfortunately, Albany is no exception. Between the hazardous weather conditions and an increasingly young population, Albany is seeing some of the highest car insurance rates in the state. On average, Albany drivers pay about $2,036 per year for their car insurance.

However, Albany auto insurance rates can vary widely based on the insurer and type of policy. Additionally, several factors can affect the amount you pay per year for car insurance (more on that below).

So, to help in finding cheap car insurance in Albany, New York, let’s first take a look at how New York state law regulates drivers and their insurance.

Car Insurance Laws for the State of New York

Since the abolishment of the state Department of Insurance in 2011, car insurance is regulated by the New York State Department of Financial Services. According to the state DFS, all New York drivers must abide by the following regulations:

  • By law, all New York drivers must have auto liability insurance. This insurance must remain in effect for the duration of the vehicle’s registration, regardless of how or if the vehicle is used.
  • New York state minimum liability insurance must cover the following:
    • $25,000 per personal injury and $50,000 per death in an accident
    • $50,000 per personal injury and $100,000 for two or more deaths in one accident
    • $10,000 for property damage (per accident)
  • New York does not accept out of state insurance. Your insurance must be acquired in-state, be approved by the state Department of Financial Services, and certified by the state DMV.
  • Proof of minimum liability insurance is required prior to obtaining vehicle registration in New York.
  • Additionally, New York drivers must maintain Personal Injury Protection (PIP) and Uninsured Motorist Protection:
    • Personal Injury Protection of $50,000 (per person)
    • Uninsured Motorist Protection of $25,000 (per person) and $50,000 (per accident)

You can learn more about New York state’s car insurance laws on the DFS website or the New York DMV website.

How Car Insurance Rates are Determined in Albany

With over 1 million residents, Albany is a major city with variations in property value, cost of living, and taxes. As a result, car insurance rates are not the same citywide. However, car insurance premiums are not just dependent on location. They are also highly dependent on drivers.

When an insurance provider is calculating your rates in Albany, they will look at some or all of the following factors:

Determiners for Car Insurance Premiums

  • Age – According to historical data, younger drivers tend to get in more accidents. This means that the younger you are, the more you will need to pay for insurance. The average age in Albany is 31, which is significantly lower than the national average (38).
  • Gender – Men are more likely than women to get in accidents, so your gender could impact your auto rates.
  • Marital Status – Typically, married couples get in fewer accidents and pose a smaller risk from the perspective of insurance providers.
  • Driving Record – A driver’s record is one of the most important factors that insurance providers consider. If you have a history of frequent speeding tickets, DUIs, collisions, or other infractions, you will have to pay more.
  • Claims Record – It is important to consider how many claims you have made to insurance providers in the past (if any). At-fault claims will cause your premiums to rise, while not-at-fault collisions will usually have no impact on your rates.
  • Credit Score – Some states do not allow your credit score to affect your insurance premiums, while others do. In New York, insurance providers can and do factor in your credit when you’re applying for a new policy.
  • Previous Insurance Coverage – If you have maintained auto insurance without any gaps, your new insurance provider will see this as a good sign.
  • Vehicle Type – Some cars are driven differently than others. Additionally, certain cars (for example, expensive sports cars) are more prone to theft or vandalism.
  • Use of Vehicle – When you exclusively use your vehicle for personal use, you are less likely to get in an accident. However, if you take long business trips or frequently drive for work, you increase your chances of a collision.
  • Annual Mileage – How much you drive directly impacts your chances of getting in an accident. If you put a lot of mileage on your car, you are more likely to file a claim with your insurance provider.

Best Cheap Car Insurance Companies in Albany

Albany has some of the highest car insurance rates in the state. Nonetheless, several local and national insurers provide high-quality insurance policies at reasonable rates. So, let’s take a look at some of the best cheap car insurance companies in Albany:

ProviderAnnual RateMonthly Rate
Erie$1176$98
NYCM$1203$100
State Farm$1270$106
Chubb$1289$107

 

Keep in mind that the table above includes the cheapest rates for minimum liability insurance (including PIP and Uninsured Motorist Protection) in Albany. However, the minimum coverage may not cover all of the costs of damages, medical bills, or legal fees after an accident. As a result, you may want to obtain more than the minimum to avoid high out-of-pocket expenses in the future.

For comprehensive coverage in Albany, the premiums are significantly higher:

ProviderAnnual RateMonthly Rate
Erie$1714$143
NYCM$1766$147
State Farm$1811$151
Chubb$1857$155

 

These tables show approximate rates based on the polling of men and women with good driving records (no at-fault collision claims). Obviously, Individual rates may vary based on the criteria listed above, including age, driving record, and location.

So, to get a better picture of how auto insurance rates can vary by location in Albany, let’s look at the cheapest and most expensive insurance rates by zip code.

Car Insurance Rates by Zip Code in Albany

Least Expensive Neighborhoods for Car Insurance

  • 12084 (Guilderland)
  • 12203 (Westmere)
  • 12205 (Conolie)
  • 12208 (New Scotland)
  • 12209 (Delso)
  • 12211 (Loudonville)

Most Expensive Neighborhoods for Car Insurance

  • 12054 (Delmar)
  • 12159 (Slingerlands)
  • 12202 (Krank Park Cherry Hill)
  • 12206 (West Hill)
  • 12207 (Downtown)
  • 12210 (Sheridan Hollow)

Choosing the Best Car Insurance Policy in Albany

There is a wide range of factors that determine your car insurance rates in Albany. From the weather to your driving history, insurance premiums require complex calculations that are specific to each location and individual. You should contact an insurer directly for an exact quote.

If you’re looking for more guides like this, check out our other car insurance guides and resources.

Related Articles:

 

Compare Affordable Car Insurance Rates

ZIP code

Current Insurer

Age

Matthew Jones