Laws and Requirements

Last Updated on January 19, 2026

New York law requires most vehicles registered in the state to carry specific auto insurance coverages continuously—even if the car is parked and not being driven. Below you’ll find the minimum required limits, how no-fault (PIP) works, proof-of-insurance rules, and what can happen if your coverage lapses.

At a Glance

Three Core Requirements: Most NY vehicles must carry liability, no-fault (PIP), and uninsured motorist coverage to stay registered and legal.
Minimum Limits Are a Baseline: The required 25/50/10 liability minimums can be exhausted quickly in serious crashes—especially when injuries are involved.
No-Fault Covers Injuries First: PIP generally pays eligible medical and related economic losses for covered people up to the policy limit, regardless of who caused the crash.
Lapses Can Trigger DMV Action: Even short gaps can cause registration issues, suspensions, and civil penalties—especially if you drive while uninsured.

Table Of Contents

New York Auto Liability Insurance Laws
Minimum Car Insurance Requirements in New York
No-Fault Insurance in New York
Uninsured/Underinsured Motorist Coverage Requirements in New York
Proof of Insurance and Registration Rules
Penalties for Driving Without Insurance in New York
Optional Coverages to Consider
Official Resources and Disclaimers
FAQs on New York Car Insurance Laws

New York Auto Liability Insurance Laws

If you drive a vehicle registered in New York, you must carry New York State liability insurance issued by an insurer authorized in New York. Liability coverage is designed to protect other people if you cause a crash that results in injuries or property damage.

Liability insurance typically includes two key coverages:

Bodily Injury Liability: helps pay for injuries to others when you are legally responsible (up to your limits).
Property Damage Liability: helps pay for damage you cause to someone else’s vehicle or property (up to your limit).

New York ties insurance to registration. In general, your liability coverage must stay active for as long as your registration is valid—even if you do not use the vehicle. The NY DMV also states your insurance and registration must show the exact same name, and out-of-state insurance is not accepted for a vehicle registered in New York. Official reference: https://dmv.ny.gov/insurance/insurance-requirements.

Minimum Car Insurance Requirements in New York

These limits are the legal minimums for most vehicles. Many drivers choose higher limits (and additional options) to reduce out-of-pocket risk after a serious claim.

Coverage Type	Minimum Limit Required (Most Vehicles)
Bodily Injury Liability	$25,000 per person / $50,000 per accident
Death Liability	$50,000 per person / $100,000 per accident
Property Damage Liability	$10,000 per accident
Personal Injury Protection (PIP) / No-Fault	$50,000 per person
Uninsured Motorist Bodily Injury (UM)	$25,000 per person / $50,000 per accident
Collision	Not required by law (may be required by lender/lease)
Comprehensive	Not required by law (may be required by lender/lease)

Quick tip: If you carry only minimum limits, consider increasing liability limits and adding optional protections like SUM (underinsured motorist). Serious injury claims can exceed minimums quickly.

For the DMV’s official list of minimum liability limits and registration rules, see: https://dmv.ny.gov/insurance/insurance-requirements. For a plain-language overview from the state insurance regulator, see DFS: https://www.dfs.ny.gov/faqs/consumer-auto/what-auto-coverages-do-i-need.

No-Fault Insurance in New York

New York uses a no-fault system for injuries. That means your policy’s PIP (no-fault) coverage can pay eligible medical expenses and certain related economic losses for covered people after a crash—generally regardless of who caused it—up to the policy limit. For a deeper explanation, see New York no-fault auto insurance laws and regulations.

No-fault (PIP) is focused on injuries and related losses. Damage to vehicles is typically handled through property damage liability, collision coverage, comprehensive coverage, or a fault-based claim process depending on the situation.

New York also limits when you can pursue certain non-economic damages (like pain and suffering) through a liability claim. In many cases, a person must meet the state’s “serious injury” threshold to step outside the no-fault system for those damages. If you have a claim question, your insurer is the best first call.

Uninsured/Underinsured Motorist Coverage Requirements in New York

Uninsured Motorist (UM) coverage is required in New York and can help protect you if you’re injured by an uninsured driver (including certain hit-and-run situations). UM is bodily-injury focused—it does not replace collision coverage for damage to your own car.

Underinsured motorist protection in New York is commonly handled through Supplementary Uninsured/Underinsured Motorist (SUM) coverage. SUM is generally optional, but insurers must typically offer it. SUM can be valuable when the at-fault driver’s liability limits aren’t enough for your injuries.

To compare how UM/SUM and other coverages work together, see our overview of New York car insurance coverage types.

Proof of Insurance and Registration Rules

Before the DMV will issue plates and registration, you must have valid New York insurance. The DMV generally verifies coverage in two ways: (1) an insurance ID card (paper or eligible electronic card) and (2) an electronic notice sent to the DMV by your insurer. Practical guidance: proof of insurance card.

For the DMV’s official rules (including when electronic cards may not be accepted for certain policy types), see: https://dmv.ny.gov/insurance/insurance-requirements.

Penalties for Driving Without Insurance in New York

New York treats continuous insurance as a registration requirement. If your coverage ends or lapses while the vehicle is registered, the DMV can suspend your registration and (in some cases) your driver license. If you drive uninsured—or allow someone else to drive your uninsured vehicle—penalties can become severe.

The DMV summarizes a key rule as: “No insurance, no plates.” If you do not have valid liability insurance, you generally must surrender your plates and registration right away (rules differ for motorcycles). Official DMV guidance: https://dmv.ny.gov/insurance/insurance-lapses.

Insurance Lapse Civil Penalty Schedule

In some situations, the DMV may allow you to pay a civil penalty instead of serving a registration suspension (eligibility rules apply). The DMV’s published civil penalty schedule is here: https://dmv.ny.gov/insurance/pay-an-insurance-lapse-civil-penalty.

Lapse Length (Days)	DMV Civil Penalty (If Eligible)
1–30 days	$8 per day
31–60 days	$10 per day
61–90 days	$12 per day

Quick tip: When switching insurers, avoid accidental gaps—confirm the new policy’s effective date and keep proof of coverage handy until the DMV reflects the change.

Optional Coverages to Consider

New York does not require collision or comprehensive coverage by law, but lenders and leasing companies often do. Many drivers also choose higher liability limits or SUM to reduce financial risk after a major claim.

Optional Coverage	What It Helps With
Collision	Repairs/replacement for your vehicle after a covered crash (subject to deductible).
Comprehensive	Non-collision losses like theft, vandalism, fire, hail, and falling objects (subject to deductible).
Higher Liability Limits	More protection if injuries/property damage exceed NY minimum limits.
SUM (Underinsured Motorist)	Extra injury protection when the at-fault driver’s limits are too low.
Roadside/Towing & Rental	Convenience benefits after certain covered claims or breakdowns (varies by policy).

Official Resources and Disclaimers

This page is for general educational purposes (updated for 2026) and is not legal advice. Insurance rules can change and may vary by vehicle type and circumstance. For the most up-to-date official guidance, consult the New York DMV and the New York State Department of Financial Services (DFS).

NY DMV insurance requirements: https://dmv.ny.gov/insurance/insurance-requirements
NY DMV insurance lapses: https://dmv.ny.gov/insurance/insurance-lapses
DFS overview of required coverages: https://www.dfs.ny.gov/faqs/consumer-auto/what-auto-coverages-do-i-need

FAQs on New York Car Insurance Laws

What car insurance coverages are required to register a vehicle in New York?

Most passenger vehicles registered in New York must carry liability insurance, no-fault (PIP), and uninsured motorist bodily injury coverage. Requirements can vary by vehicle type and situation, so confirm details through the NY DMV and your insurer.

What are the minimum liability limits in New York?

For most vehicles, New York’s minimum liability limits include $10,000 property damage per accident and bodily injury/death limits commonly described as 25/50/10 plus separate death limits. The NY DMV publishes the official minimums and registration rules.

Is no-fault (PIP) required in New York, and what does it cover?

Yes. New York requires no-fault (PIP), which generally pays eligible medical expenses and certain related economic losses after a crash, regardless of fault, up to the policy limit. It typically does not pay to repair vehicle damage.

Do I need uninsured motorist coverage in New York?

Yes. Uninsured motorist (UM) bodily injury coverage is required in New York. It can help protect you if you’re injured by an uninsured driver or in certain hit-and-run scenarios, up to your UM limits.

What is SUM coverage, and how is it different from uninsured motorist coverage?

SUM (Supplementary Uninsured/Underinsured Motorist) coverage is commonly an optional add-on that can provide extra injury protection when the at-fault driver’s liability limits are too low. UM is required; SUM is usually offered and can be accepted or declined.

Can I show proof of insurance on my phone in New York?

Often yes, but there are exceptions for certain policy types. The NY DMV explains when electronic insurance ID cards may not be accepted, so check the DMV guidance and confirm with your insurer.

What happens if my insurance lapses while my car is still registered?

A lapse can trigger DMV registration suspension and may require you to surrender plates and registration, depending on the lapse length and circumstances. Driving uninsured (or allowing someone else to drive your uninsured vehicle) can also lead to major penalties and long revocation periods.

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