Nationwide Insurance Lowering Auto Rates in New York
22 October 1998
Nationwide Insurance Lowering Auto Rates in New YorkLATHAM, N.Y., Oct. 21 -- Nationwide Insurance will lower its auto insurance rates in New York State by an average of 2.9% effective Dec. 1. The overall savings for Nationwide's New York auto policyholders for the next 12 months are estimated at some $10.7 million. The rate decrease has been filed with the New York Department of Insurance. Individual rates will vary up or down according to drivers' ages, residence, accident and violation records, types and amounts of coverages, and other factors, such as discounts. Nationwide last changed its auto insurance rates in New York last April when there was a 2.5% average increase. "We review our rates periodically and we determined that an improvement in our recent claims experience justified passing that savings onto our customers," said Terry Brown, vice president in charge of the company's New York operations. "We have seen a reduction in the number of comprehensive, collision, and property damage claims," he said. The company will lower its comprehensive rates by 17.5%, collision rates by 14.3%, and property damage liability rates by 6.8%. Property damage liability pays for damage caused to the property of others by an at-fault driver. Comprehensive coverage pays for stolen cars, vandalism, and damage caused in a vehicle upset or damaged by falling objects. "In addition," Brown said, "Gov. George E. Pataki and Neil D. Levin, state insurance superintendent, have helped make New York an even better place to do business by reducing auto claims fraud by beefing up the Fraud Bureau and by cutting red tape and burdensome bureaucracy." Those efforts have contributed to Nationwide's decision to reduce its auto insurance rates. Nationwide, based in Columbus, Ohio, is the country's fourth-largest and New York's sixth-largest auto insurer.