Auto Insurance Rates - State Farm Announces Increase In Average Rates

State Farm Mutual Automobile Insurance Company is hiking its overall insurance rate by an average of 8.1% in New York. The intended date of this change is January 24, 2011.

However, the new rate hike still leaves the State Farm overall rate in New York 10.5% less as compared to 7.5 years ago.

Insurance premiums for comprehensive and collision coverage will not change but liability and personal injury rates will see upward movement. In general, comprehensive coverage premiums are used to cover expenses such as theft, storm destruction, fire, and vandalism.

Whether New York motorists will have to pay more will depend on such items as the type of insurance they opt to purchase, any discounts in which they might be eligible, the area they live in, the type of car they own, who will be driving, and the frequency of driving.

Roughly 1 in 9 cars are insured by State Farm in New York.