New York Insurance Education

Auto Insurance Requirements

Every driver in New York must carry minimum auto insurance, but minimum coverage is designed to protect other people — not you. Understanding what your state requires, what it leaves out, and what gaps exist in your own protection is essential before you are in an accident.

01

Mandatory Minimum Coverage

New York requires all registered vehicle owners to carry liability coverage at a minimum. Liability pays for injuries and property damage you cause to others — it does not cover your own injuries or vehicle damage. Minimum limits are often far below what a serious accident can cost.

02

Liability Limits — What the Numbers Mean

Liability limits are expressed as three numbers, such as 25/50/25. The first is maximum per-person bodily injury (thousands), the second is total bodily injury per accident, the third is property damage. If your limits are exhausted, you are personally liable for the remainder.

03

Uninsured and Underinsured Motorist Coverage

UM/UIM coverage protects you when you are hit by a driver with no insurance or inadequate insurance. Despite legal requirements, a significant percentage of drivers on New York roads are uninsured. UM/UIM pays your medical bills and damages that the at-fault driver cannot cover.

04

Collision and Comprehensive

Collision pays to repair or replace your vehicle after an accident regardless of fault. Comprehensive pays for non-collision losses: theft, vandalism, fire, hail, flooding, and animal strikes. If you have a loan or lease, your lender almost certainly requires both.

New York-Specific Facts

What New York Policyholders Need to Know

  • New York minimum: $25,000/$50,000 bodily injury, $10,000 property damage, $50,000 PIP
  • New York is a no-fault state — basic PIP covers $50,000 in medical expenses
  • Serious injury threshold must be met to sue the at-fault driver for pain and suffering
  • UM/UIM coverage is required in New York
  • Approximately 6% of New York drivers are uninsured
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Regulatory resource: New York Department of Financial Serviceshttps://www.dfs.ny.gov. The Insurance Professor provides education only — not legal or insurance advice.

Auto Insurance Requirements — Other States