A new law in New York may affect the cost of automobile insurance. As of today the Department of Motor Vehicle added changes to an already in effect law that was established in 2001 regarding talking on your cell phone while driving. Previously drivers who were caught talking on the phone while driving were eligible to be charged up to a $100 fine. The new changes to this law also now make it so that violators will get two points added onto their driving record.
This two points is the lowest increment on the state’s drivers violation point system and is by far no guarantee that a motorists insurance premium will rise, however, it is a factor. If it is a drivers first violation most likely it will not affect their insurance at all, however, if a driver already had multiple infractions this two points could be what sends them over the edge.
Michael Barry, vice president of media relations for the Insurance Information Institute told Online Auto Insurance News that, “It is difficult to quantify whether the state’s new rules – adding two points to the license of a driver convicted of driving while talking on a cell phone – will raise anyone’s rates… Auto insurers examine dozens of variables when assessing risk.”
While major insurers are still deciding how to adjust the formula used when determining a drivers rates, most are simply stating that obviously the better a driving record is the better the possibility of cheaper insurance.