The good news is our car insurance 'only' 3rd highest

The good news is our car insurance 'only' 3rd highest

BY Kenneth Lovett
DAILY NEWS STAFF WRITER

Tuesday, November 11th 2008, 9:26 PM
Franklin/AP

Traffic backs up on the East River Drive.

ALBANY - After years of having the second-highest auto insurance rates in the country, New York has dipped to No. 3, a new report shows.

The average New York premium in 2006 slipped to $1,213, a $50 - or 4% - drop from 2005, the National Association of Insurance Commissioners reported.

At $1,285 a year, New Jersey in 2006 - the latest numbers available - still had the highest average premiums in the country.

Louisiana, at $1,255 a year, jumped ahead of New York into the No. 2 spot.

New Yorkers still pay 30% above the $937 national average premium, though the state's 4% drop surpassed the average decrease in the nation of 1.3%.

Iowa had the lowest premiums in the country at $644.

State Insurance Department Superintendent Eric Dinallo credited New York's gains to enhanced state and industry anti-fraud measures.

Russell Haven of the New York Public Interest Research Group said "being in the top 10 ... is not a badge of honor."

An industry spokesman said "auto insurance costs are not straining people's budgets."