New York Minimum Coverage Car Insurance: Requirements and Costs (November 2024)

Name: New York Minimum Coverage Car Insurance: Requirements and Costs (November 2024)
Item: New York Minimum Coverage Car Insurance: Requirements and Costs (November 2024)
Author: Mark Fitzpatrick

New York's minimum coverage liability limits are 25/50/10. The average annual cost for state minimum car insurance is $1,392 or about $116 monthly.

By Mark Fitzpatrick

Reviewed by Mark Friedlander

Edited by Nica Gonzales-Villaraza

Updated: October 29, 2024

Advertising & Editorial Disclosure

New York state's minimum car insurance requirements include $25,000 per person and $50,000 per accident for bodily injury liability, $10,000 for property damage liability, and $50,000 in Personal Injury Protection (PIP) per person. Uninsured/underinsured motorist coverage is also mandated at $25,000 per person and $50,000 per accident. Meeting these minimum car insurance requirements ensures that you comply with the state's laws.

New York operates under a no-fault system, so your personal injury protection covers your costs regardless of who caused the accident.

The monthly cost of minimum coverage auto insurance in New York is around $116. To find the cheapest car insurance in New York, compare quotes and coverages that meet your needs and legal requirements.

TABLE OF CONTENTS

New York Minimum Coverage Requirements
Average Cost of Minimum Coverage Car Insurance in New York
Cheapest Companies in New York for Minimum Coverage
Add-On Coverages in New York
Penalties for Driving Without Insurance in New York
FAQ

Why Trust MoneyGeek? MoneyGeek analyzed data from the New York Department of Insurance and Quadrant Information Services to give you the most accurate cost data for various New York drivers.

These rates reflect the cost of minimum coverage car insurance requirements in New York as of November 2024.

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New York Minimum Coverage Car Insurance Requirements

In New York, drivers must carry minimum coverage auto insurance to operate a vehicle legally. These requirements safeguard against potential financial losses from accidents. The minimum amounts of car insurance coverage required are:

$25,000 bodily injury liability per person
$50,000 bodily injury liability per accident
$10,000 property damage liability per accident
$25,000 uninsured motorist bodily injury per person
$50,000 uninsured motorist bodily injury per accident
$50,000 personal injury protection per person
$50,000 death liability per person
$100,000 death liability per accident

New York's status as a no-fault state means that your insurance premium may be affected differently than it would be in a fault state. In a no-fault state, the insurance company covers the losses in an accident regardless of who is to blame.

DOES NEW YORK REQUIRE COLLISION AND COMPREHENSIVE COVERAGE?

In New York, collision and comprehensive coverage are not mandated by state law. However, if you're financing or leasing a vehicle, lenders often require both types of coverage to protect your investment. If the unexpected occurs, such as an accident or environmental damage, collision or comprehensive coverage kick in to cover the costs.

What Does Minimum Coverage Cover?

What Liability Insurance Covers	What Liability Insurance Doesn't Cover
Injuries to others if you're at fault in an accident	Your injuries
Damage to another person’s property if you're at fault in an accident	Damage to your car
Some coverage for injuries caused by uninsured/underinsured drivers, depending on your policy	Repairs for weather-related accidents or if you were hit by an animal
	Property damage caused by uninsured/underinsured drivers unless additional coverage is purchased

The table reflects New York's minimum coverage auto insurance requirements, including bodily injury and property damage liability. Remember, your policy's specific coverage details depend on its terms and conditions.

Average Cost of Minimum Coverage Car Insurance in New York

Age is a significant factor in determining the cost of minimum coverage car insurance. In New York, drivers under 30 typically face the highest premiums due to their higher risk.

The table below shows the average minimum coverage cost in New York per age group, highlighting the annual and monthly premiums for each demographic.


22-29	$1,618	$135
30-59	$1,392	$116
60 +	$1,464	$122

Cheapest Companies for Minimum Coverage Car Insurance in New York

For affordable minimum coverage insurance in New York, consider these providers:

Kemper: $646 per year; $54 per month
Progressive: $731 per year; $61 per month

Weigh your options carefully to ensure that you find the best car insurance in New York that fits your needs.

Data filtered by:Results filtered by:

Age Group:

Age Group:30-59


Kemper	$646	$54
Progressive	$731	$61
American Family	$883	$74
GEICO	$920	$77
Erie	$1,271	$106
Chubb	$1,333	$111
Allstate	$1,366	$114
State Farm	$1,439	$120
Travelers	$1,675	$140
Mercury	$2,250	$188
Hanover	$2,802	$233

Optional Add-On Coverages in New York

In New York, optional add-on coverages include collision, comprehensive, uninsured/underinsured motorist coverage and more. These protections are beneficial as they cover a range of incidents like theft, damage beyond accidents, and issues with drivers who lack sufficient insurance. To determine how much car insurance you need, consider your circumstances and vehicle value.

Add-On Coverage	What It Covers	What It Doesn't Cover
Uninsured/Underinsured Motorist Coverage	Medical expenses, lost wages and repair costs if you're hit by a driver with no or insufficient insurance	Damage to your vehicle if you're at fault or damage that exceeds policy limits
Personal Injury Protection (PIP)	Medical expenses, lost income and funeral costs for you or your passengers regardless of who's at fault	Vehicle damage or injuries to the other driver
Roadside Assistance	Services like towing, flat tire changes and jump-starts when your car breaks down	Cost of parts or repairs needed after the tow
Gap Insurance	Pays the difference between your car's current value and what you still owe if it's totaled or stolen	Vehicle depreciation or overdue loan payments
Rental Car Reimbursement	The cost of a rental car while your vehicle is being repaired after a covered event	Fuel, insurance or other rental extras
Collision Coverage	Repairs to your car after an accident, regardless of fault	Damage due to theft, vandalism or natural disasters
Comprehensive Coverage	Repairs to non-collision damages from events like theft, fire or hail	Damages from a collision or personal injuries
Towing and Labor Coverage	Towing and basic roadside-assistance labor costs at the site of your vehicle's breakdown	More extensive repairs needed at a garage
Custom Parts and Equipment Coverage	Safeguards aftermarket enhancements like custom wheels or stereo systems	Original parts that came with your vehicle
Accidental Death Coverage	Offers a payout if you or a passenger dies or experiences certain injuries in a car accident	Non-accidental death or injuries
Classic Car Insurance	Agreed-upon values for your unique vehicle, tailored for vintage or collector cars	Regular use like your daily commute

Penalties for Driving Without Insurance in New York

The cost of a ticket for driving without insurance in New York can vary, especially if it's not your first time being caught without coverage. New York imposes different levels of fines and penalties based on whether the offense is your first or if you have prior incidents.

For a first-time offense, penalties might include a substantial fine and a license suspension. However, if you've been caught more than once, you could face even heftier fines, longer license suspension periods and possible jail time.

Here are additional penalties you could face in New York for driving without minimum coverage:

Vehicle impoundment with significant fees
Suspension of vehicle registration
License suspension plus charges to get it back
Possible requirement for filing an SR-22, a certificate proving you have insurance
Jail time, particularly if you cause an accident while uninsured

Always remember that driving with at least the state minimum car insurance can help you avoid the financial setbacks that come with penalties for driving uninsured.

What to Do if Your Policy Is Canceled

After a car insurance policy is canceled in New York, drivers should immediately seek new coverage and refrain from driving until insured again. It's important to contact an insurance agent to explore options or negotiate reinstatement of the policy. Driving without insurance is illegal and can lead to severe penalties.

The New York State Department of Motor Vehicles (DMV) will be notified of your insurance status through an electronic system. If the DMV discovers you're uninsured, your vehicle's registration and driver's license could be suspended.

If you're struggling to obtain insurance due to cancellation, New York offers the New York Automobile Insurance Plan (NYAIP), which assists high-risk drivers in getting coverage. This is a last-resort means of securing the state minimum car insurance to comply with the law and stay protected on the road.

WHY WAS MY POLICY CANCELED?

Your car insurance policy in New York may have been canceled due to a few key reasons:

Non-payment of premium: Not paying your insurance premium on time is a common cause for cancellation.
Fraud: Your policy could be canceled if you've lied on your insurance application or during the claims process.
License suspension: Insurers typically cancel your coverage if your driver's license has been suspended or revoked.
Too many accidents or traffic violations: A pattern of accidents or serious traffic offenses can lead to insurance cancellation.
State minimum changes: Failing to maintain the necessary minimum coverage can result in policy termination.

FAQ: New York Minimum Coverage Car Insurance

Understanding New York's minimum car insurance requirements is crucial for every driver. Here are answers to common questions to help you stay compliant and protected.

What is the minimum car insurance coverage in New York?

New York requires drivers to have auto insurance with minimum coverage that includes $25,000 for bodily injury liability per person, $50,000 per accident, $50,000 for death liability per person and $100,000 per accident. You also need $10,000 for property damage liability per accident, $50,000 for personal injury protection and $25,000/$50,000 for uninsured/underinsured motorist coverage.

Why does New York require minimum automobile liability coverage for motorists?

New York requires drivers to carry minimum liability coverage to ensure they can pay for the damage they cause in an accident. This protects other drivers, passengers and pedestrians from shouldering the cost of injuries or property damage.

Do you need comprehensive insurance in New York?

In New York, comprehensive insurance isn't legally required, but it's recommended for added protection. This coverage helps with non-collision events like theft and weather damage. It's beneficial if you're leasing or financing your vehicle.

What happens if you drive uninsured in New York?

Driving uninsured in New York can lead to fines up to $1,500, vehicle impoundment and a one-year license and registration revocation. To avoid further penalties, secure the required coverage promptly, pay the fines and submit your proof of insurance to the DMV. Maintain continuous coverage to prevent future issues.

About Mark Fitzpatrick

Mark Fitzpatrick is a Licensed Property and Casualty Insurance Producer and MoneyGeek's Head of Insurance. He has analyzed the insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. He has been quoted in several insurance-related publications, including CNBC, NBC News and Mashable.

Fitzpatrick earned a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his knowledge of economics and insurance to bring transparency around financial topics and help others feel confident in their money moves.

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