New York Car Insurance - Car Insurance Surcharges

New York Car Insurance Surcharges

Your driving record is a crucial tool used to determine the level of risk associated with giving you an insurance policy. Insurance companies differ on the amount of risk they are willing to take on a driver with a poor driving record; however, if they are willing to take on the burden, they will often charge a substantially high amount. It is also customary for insurance companies to add surcharges to accident claims for the following reasons.

If the insured if at fault, accidents involve bodily injury or death costing more than 1,000 dollars:

Driving over 15mph over the speed limit.
Operating a vehicle while intoxicated by alcohol or drugs.
Leaving a scene of an accident without reporting it.
Operating a vehicle in a race.
Driving without a license.
Filing a false insurance claim.

Insurance companies may not add a surcharge for the following situations:

Your vehicle was struck in the rear without any violation by you.
Vehicle was struck while it was legally parked.
You as the insured or the insurer is reimbursed or obtains a judgment of 1/3 or more on property or physical damage.
The driver of the vehicle was not at fault.
Your vehicle has been involved in a hit and run accident.
Total damage does not exceed 1,000 dollars and there were no injuries; however, being involved in 2 or more accidents fewer than 1,000 dollars may be subject to surcharge.
You have a single minor moving or traffic violation other than the ones specified above.
The accident has occurred while driving an employer’s vehicle while working. This also includes police officers and firefighters while driving the vehicle while on duty or in emergency situations.
Claims made under comprehensive or towing coverages.

Note:

In an event of an accident, surcharges only refer to liability, no-fault and collision coverages. Insurance companies can not charge to a level greater than 3 times than the original premium level. They must notify you the exact dollar amount of any surcharges and the exact date of the accident they are charging to your policy. This information must be on, or attached to your policy declarations page. The insurer must also disclose information for circumstances in which the surcharges can be refunded. Refunds for a surcharge could fall into the following circumstances.

A conviction of a chargeable violation has be overturned.
A surcharge was given due to a mistake or error.
The insurer has filed a claim, but no claim was made within 3 years after the date of the accident or the statue of limitations has run out and no law suit has been filed

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