New York is the most expensive state for car insurance, with drivers paying an average of $4,769 a year for coverage. That’s 55% higher than the national average cost of car insurance, which is $2,150.
We evaluated rates from 19 car insurance companies for a variety of driver profiles to determine the cheapest car insurance in New York.
Cheapest car insurance companies in New York
Compare the cheapest car insurance companies in New York of 2023
How much does car insurance cost in New York?
Car insurance in New York costs an average of $4,769 a year for a good driver. Drivers with at-fault accidents, tickets and DUIs on their record can expect to pay significantly more, as can drivers with poor credit scores or a gap in coverage.
Other factors that impact the cost of car insurance in New York include age (younger and senior drivers pay more), gender, vehicle and type of coverage.
Location also plays an important role in determining premiums. Insurers consider the level of claims in your specific ZIP code when setting rates. While this can vary, drivers who live in cities typically pay higher insurance premiums.
In other words, if you live in New York City and own a car, you’ll probably pay more for car insurance than drivers living in rural areas of the state.
Average cost of car insurance in New York by driver profile
Cheapest car insurance companies
The cheapest car insurance company in New York is NYCM. Good drivers can expect to pay $2,986 a year, or about $249 a month, for coverage.
That makes NYCM the only insurer on our list of cheapest car insurance companies in New York with an average annual premium below $3,000 a year.
USAA, Geico and Erie are also worth considering if you are looking for affordable coverage in New York. All three offer annual premiums below $4,000 annually, and the first two — USAA and Geico — topped our national rating of the best car insurance companies.
Travelers and Sterling also offer average annual car insurance rates below the New York average, but their premiums are significantly higher, both above $4,500 a year.
Average car insurance rates in New York by company
Cheapest car insurance in New York by driver profile
Cheapest car insurance after a speeding ticket in New York
The cheapest car insurance companies in New York for drivers after a speeding ticket are NYCM, USAA and Erie.
NYCM is by far the most affordable, with an average monthly rate that’s lower than what a good driver might pay for full coverage in New York with insurers like State Farm and Kemper — or even USAA and Geico.
Cheapest car insurance after a speeding ticket
Cheapest car insurance after an accident in New York
New York drivers with an accident on their record, whether it resulted in injuries or property damage, can expect the lowest rates with NYCM.
USAA and Geico also offer low car insurance rates to New York drivers with accidents on their record. Each offers rates that are more than $1,500 below the New York average.
Cheapest car insurance after an accident with injuries
Cheapest car insurance after an accident with property damage
Cheapest car insurance after a DUI in New York
Insurers may have some patience for drivers with accidents on their record, but if you get a DUI in New York, expect exceptionally high car insurance rates. The New York average is $8,564 a year.
To keep insurance costs down after a DUI, consider getting quotes from NYCM, USAA, and Erie, all of which have the lowest annual rates across the providers we analyzed.
Cheapest car insurance after a DUI
Cheapest car insurance with poor credit in New York
If you’re struggling with a low credit score, Geico is your best bet for cheap car insurance in New York. While all insurance providers hike up rates for drivers with bad credit, Geico is the most forgiving, at an average rate of $4,157 a year.
While expensive, Utica National and Chubb are the only other two insurers with annual premiums below $6,000.
Cheapest car insurance for poor credit
Cheapest car insurance after a gap in coverage
Drivers who have a gap in car insurance coverage can expect a bump in their annual costs when they re-enroll in a policy. NYCM is the cheapest insurance company in New York for such drivers, with an average annual rate of $2,986. Geico and Erie also offer rates below the New York average, but they are at least $500 above NYCM’s average rates.
Cheapest car insurance after a gap in coverage
Cheapest car insurance for high-risk drivers in New York
Various poor driving habits can make someone a high-risk driver. For example, insurance companies may label you high-risk if you have one or more at-fault accidents, DUIs and/or speeding and reckless driving tickets on your record. Drivers with poor credit are also considered high-risk, as are teen and senior drivers.
If you’re a high-risk driver in New York state, your best bet for cheap car insurance is NYCM, with an average annual rate of $4,249. USAA is the only other insurer with an average rate for high-risk drivers under $5,000.
Cheapest car insurance companies for high-risk drivers
Cheapest car insurance for adding a teen driver in New York
Teen drivers typically have some of the highest rates in the nation, and New York teens are no different. If you have a new driver in the household, consider adding them to your insurance policy instead of letting them get their own. Doing so can cut down their car insurance costs significantly.
As is the case for most driver profiles we analyzed, NYCM has the lowest rates for parents that want to add a 16-year-old to their policy. Geico and Erie have the second and third lowest rates, respectively, but USAA is only an option if you’re a member of the military community.
Cheapest car insurance for adding a 16-year-old driver to a parent policy
Cheapest car insurance for seniors in New York
Your car insurance rates level off in your late 20s and usually stay that way through your 30s, 40s, and 50s, provided you maintain a clean driving record. But senior drivers often see their rates increase starting in their 60s and continuing into their 70s and 80s.
If you’re a senior driver in New York, shopping around for coverage can help you lower your rates. As is the case for other driver profiles in our analysis, NYCM has the lowest average rates for senior drivers in New York. USAA and Erie policies are also competitively priced, though their rates are more than $1,300 more annually.
Car insurance requirements in New York
Drivers in New York state must carry a minimum level of car insurance, by law. To comply with state requirements, you must carry liability insurance with the following coverage amounts, at a minimum:
- $25,000 per person for bodily injuries and $50,000 per person in case of death.
- $50,000 for two or more people for bodily injury and $100,000 in case of death.
- $10,000 in property damage coverage per accident.
New York auto insurance laws also mandate that drivers carry:
- $25,000 in uninsured motorist bodily injury coverage per person and $50,000 per accident.
- $50,000 in personal injury protection (PIP), also known as “no-fault” coverage.
Even if you don’t intend to drive your vehicle for a certain period of time, you must maintain car insurance if the vehicle is registered in your name. There are some exceptions for motorcycles.
Insurance tips for car owners in New York
Looking to save money on car insurance in New York? Check out these tips.
It’s easy to stick with the same insurance company you’ve had for years, but you could be paying more than you need. Review your coverage and premium and then get and compare quotes from multiple insurers to see if there are cheap car insurance options available to you.
When you compare car insurance quotes, make sure you keep coverage options and limits consistent to get a true picture of how much you can save.
But remember: You might qualify for a loyalty discount or vanishing deductible at your current provider, which will go away if you switch to a new insurance company. So before you leave, speak with your current insurer to see if there are any saving opportunities available.
Ask about discounts
Insurance companies offer a wide range of discounts. Talk to your agent or visit your insurer’s website to see what discounts you might qualify for. These are some of the most common:
- Multi-policy: If you don’t already have your home and auto insurance through the same provider, ask about multi-policy, or home and auto bundling discounts. Doing so may save you on both policies. This discount isn’t limited to homeowners, however. Many insurance companies will offer bundling discounts when you purchase auto and other types of coverage, such as renters insurance.
- Usage-based insurance: Many car insurance companies now offer usage-based insurance programs, wherein they’ll monitor your driving habits (usually through a smartphone app) and adjust your rate based on how you drive. Just bear in mind that your rates may go up if you regularly engage in risky driving habits, such as accelerating fast, braking hard, and driving at night.
- Paying in full: If you pay your entire premium upfront, instead of in monthly increments, your insurance provider may offer you a lower rate.
- Defensive driving: Insurers frequently offer a discount if you take an approved driving course. This is particularly true for senior drivers who take defensive driving courses, with some states even requiring insurers to extend discounts to those who complete the course. Taking a course in defensive driving might lower your rate for several years.
Rethink your coverages
The amount and type of coverage you have will directly impact your car insurance rates, as will the deductible you choose. Adjusting your policy can reduce your rates.
- Drop unnecessary coverages. Your coverage needs will change over time. For instance, if you purchased gap insurance after purchasing financing a vehicle but you’ve since paid off your loan, you can drop that coverage. Similarly, if you’re a two-car family, you may not need rental car reimbursement, even if one of your cars is out of commission during repairs. And if you have roadside assistance through AAA or another program, you can decline that coverage on your insurance.
- Decrease limits. You must purchase a minimum amount of coverage to meet state car insurance requirements, but after you meet those obligations, you can choose how much coverage you need. But tread lightly: If you reduce your limits too much, you might find yourself in a scenario where insurance won’t fully foot the bill following an accident.
- Increase your deductible. Rather than reduce the limits of your coverage, think about raising your deductible to reduce your car insurance premium. If you can afford to pay more out of pocket for a covered incident — say, $1,000 instead of $250 — you’ll enjoy significantly lower insurance payments.
Practice safe driving
Many insurance providers reward good driving. Some may lower your rates if you continue to have claims-free policy periods. Others might reward you for proactively taking a defensive driving class. And still, others may reduce your rates if you demonstrate safe driving as part of their usage-based insurance program.
Our insurance experts evaluated the rates of 19 New York car insurance companies to determine which ones offered the best rates to residents. The data used for this analysis is from Quadrant Information Services and rates are based on a 40-year-old female driver shopping for coverage for a Toyota Rav4. Policy rates include the following types of coverage:
- Bodily injury and property damage liability insurance (100/300/100).
- Uninsured motorist coverage (100/300).
- Collision and comprehensive coverage ($500 deductible).
To determine the cheapest overall car insurance companies in New York, we used the rates for a good driver, or someone who has a clean driving record.
We also analyzed average rates for various driver profiles and identified the cheapest insurer for each. Driver profiles include:
- Drivers with an accident, speeding ticket or DUI on their record.
- Drivers with a gap in coverage.
- Senior drivers.
- Teen drivers added to a parent’s policy.
- High-risk drivers.
In some cases, an insurer that didn’t make our overall cheapest car insurance in New York list did offer the cheapest car insurance for a specific driver profile. When applicable, those companies were included in the list of insurers for the relevant driver profile category.
Why some companies didn’t make the cut
Car insurance companies in New York with high good driver rates may have made our best auto insurance companies rating but not made the cut for our cheapest car insurance in New York. This rating was determined by a company’s average rates for a good driver with a clean record.
In some cases, an insurer didn’t make the cut for our overall cheapest car insurance in New York but offers the cheapest car insurance for a specific driver profile. When applicable, these companies are included in the list of insurers for the relevant driver profile category.
Why you can trust us
Our insurance experts follow strict editorial guidelines to ensure fairness and unbiased reviews. To help you find the best car insurance for you, our insurance experts evaluated each company’s car insurance rates and coverage options available in New York.
Frequently asked questions (FAQs)
NYCM has the cheapest car insurance in New York. Good drivers can expect to pay an average of $2,986 a year ($248 a month) for a policy with NYCM.
USAA, Geico, and Erie also offer affordable car insurance policies in New York under $4,000 a year for good drivers.
The average cost of basic car insurance in New York is $964 a year. That’s $607 on average for bodily injury liability and $357 for property damage liability. To comply with New York law, drivers must carry this coverage at a minimum.
Vehicle registration in New York costs between $26 and $140, depending on the weight of the passenger vehicle. According to the EPA, the average passenger vehicle weight in 2022 was 4,329 pounds. This would yield a registration cost of $76 in New York state. Vehicle registration lasts for two years in the Empire State.
If you’re registering a vehicle for the first time in New York, you’ll also have to pay a $25 plate fee, as well as a title certificate fee of $50.