Do You Need to Have Auto Insurance in New York?
Last Updated on January 21, 2026
Auto insurance rules are set at the state level, which means New York has its own required coverages and minimum limits. If you register a vehicle in New York, you must keep qualifying insurance active for as long as the registration is valid—even if you don’t drive the car.
At a Glance
- Insurance Is Mandatory: If your vehicle is registered in New York, you must keep qualifying coverage active to stay legal on the road and compliant with the DMV.
- Minimums Are A Baseline: New York’s required limits are modest compared to the cost of many serious accidents, so many drivers choose higher limits for better protection.
- No-Fault Matters: New York’s required PIP (no-fault) is designed to pay certain medical and economic losses quickly, regardless of who caused the crash.
- Lapses Can Get Expensive: Letting coverage lapse can trigger plate/registration consequences, fees, and major penalties—keeping continuous insurance is usually the safest move.
- Do New Yorkers Need Auto Insurance?
- New York Required Auto Insurance Minimums
- How New York No-Fault Coverage Works
- Uninsured And Underinsured Motorist Coverage In New York
- Why Minimum Limits May Not Be Enough
- Optional Coverages That Can Make Sense
- How To Buy Car Insurance In New York
- Driving Out Of State With New York Insurance
- Penalties For Driving Without Insurance Or Letting Coverage Lapse
- FAQs on New York Auto Insurance Requirements
Do New Yorkers Need Auto Insurance?
Yes. To legally drive (and register) a vehicle in New York, you must carry auto insurance that meets New York’s requirements. The policy must be issued by an insurer licensed by the New York State Department of Financial Services (DFS) and accepted by the New York State DMV.
For the DMV’s official rules and definitions, review the state’s requirements here: New York State Insurance Requirements (DMV).
New York Required Auto Insurance Minimums
As of January 2026, New York generally requires liability coverage, no-fault (Personal Injury Protection), and uninsured motorist bodily injury coverage. These are minimums—not “recommended” coverage levels—and serious accidents can easily exceed them.
| Required Coverage | What It Pays For | New York Minimum Limit |
|---|---|---|
| Bodily Injury Liability | Injuries you cause to others (non-fatal injuries) | $25,000 per person / $50,000 per accident |
| Death Liability | Fatal injuries you cause to others | $50,000 per person / $100,000 per accident |
| Property Damage Liability | Damage you cause to someone else’s property | $10,000 per accident |
| No-Fault (PIP) | Your and your passengers’ medical costs and certain economic losses, regardless of fault | $50,000 per person |
| Uninsured Motorist (UM) Bodily Injury | Injuries from a hit-and-run or uninsured driver (subject to policy terms) | $25,000 per person / $50,000 per accident |
For an additional state overview from DFS, see: What Auto Coverages Do I Need? (NY DFS).
If you want a deeper walk-through of how these rules work in real life (including practical examples), use our guide: New York Auto Insurance Laws and Requirements.
How New York No-Fault Coverage Works
New York is a no-fault state. That means your own policy’s Personal Injury Protection (PIP) is designed to pay certain medical bills and related costs promptly after a crash, regardless of who caused it. Depending on the situation, claims beyond no-fault may be limited unless an injury meets specific legal thresholds.
Quick tip: “No-fault” doesn’t mean “no responsibility.” It mainly changes how medical bills get paid first—liability claims and lawsuits can still happen depending on the facts of the crash.
Uninsured And Underinsured Motorist Coverage In New York
New York includes required uninsured motorist bodily injury (UM) coverage to help protect you if you’re hit by an uninsured driver or involved in a hit-and-run. Many drivers also consider optional supplementary uninsured/underinsured motorist (SUM) coverage for broader protection, especially if they commute frequently or drive in high-traffic areas.
Why Minimum Limits May Not Be Enough
State minimums are designed to set a legal baseline, not to fully protect your savings, income, or future earnings. Medical costs, vehicle repairs, and legal expenses can add up quickly—especially in multi-vehicle accidents or crashes involving serious injuries.
If you’re financing or leasing, your lender will usually require physical damage coverage (commonly called “full coverage”). Here’s a plain-English explainer of what that term typically means: Full Coverage Insurance.
Optional Coverages That Can Make Sense
Optional coverages aren’t required by New York law, but they can be important for protecting your own vehicle and your budget after a claim. Your best mix depends on your car’s value, your deductible comfort level, and whether you rely on your vehicle for work or caregiving.
| Coverage | What It Helps With | When It’s Commonly Worth Considering |
|---|---|---|
| Collision | Damage to your car from a crash (subject to deductible) | Newer vehicles, financed/leased cars, or when repairs would strain your budget |
| Comprehensive | Non-collision losses like theft, vandalism, hail, falling objects (subject to deductible) | Higher theft risk areas, outdoor parking, or vehicles you can’t easily replace |
| Higher Liability Limits | Extra protection if you’re responsible for major injuries or property damage | Homeowners, higher earners, drivers with significant assets, frequent drivers |
| Rental Reimbursement / Towing | Transportation help while your car is repaired; roadside services | Commuters, single-vehicle households, drivers who can’t afford downtime |
If you’re specifically evaluating comprehensive coverage, this guide breaks it down in detail: Comprehensive Auto Insurance in New York State.
Quick tip: If you have savings or property to protect, talk to a licensed agent about higher liability limits (and whether an umbrella policy makes sense). Minimum limits can disappear fast in a serious claim.
How To Buy Car Insurance In New York
Start with a carrier authorized to do business in New York and make sure your policy stays active as long as your vehicle is registered. The DMV notes that out-of-state coverage is not acceptable for a vehicle registered in New York, and your insurance and registration names must match exactly.
- Compare quotes with the same coverage limits and deductibles so you’re comparing apples to apples.
- Confirm the insurer is licensed in New York and that the policy will satisfy DMV requirements.
- Choose deductibles you can realistically pay after a loss.
- Keep proof of insurance available (paper or electronic ID card) when you drive.
To explore what you can add beyond the basics, use our overview of car insurance coverage types available in New York.
If you prefer working with a local professional, you can also use our New York agent directory to find an agent or broker near you.
Looking for local resources? Here are a few starting points: Brooklyn, Buffalo, and The Bronx.
Driving Out Of State With New York Insurance
Most personal auto policies extend coverage when you travel to other U.S. states, but rules and minimum limits can vary. If you’re unsure how your policy applies when you travel, read: Am I Insured When Driving Out of State?.
Penalties For Driving Without Insurance Or Letting Coverage Lapse
New York takes insurance compliance seriously. If your coverage lapses, the DMV can require you to turn in your plates and may suspend your registration (and in longer suspensions, your driver’s license). Driving uninsured can also lead to major fines, towing/impound, and long-term licensing consequences.
The DMV may allow an eligible driver to pay a civil penalty (instead of surrendering plates) for certain shorter lapses. The DMV’s fee schedule and rules are here: Pay an Insurance Lapse Civil Penalty (DMV) and Insurance Lapses (DMV).
| Insurance Lapse Length | DMV Civil Penalty Rate (If Eligible) |
|---|---|
| 1–30 days | $8 per day |
| 31–60 days | $10 per day |
| 61–90 days | $12 per day |
Educational note: Requirements and penalties can change, and your situation may depend on the facts (registration status, lapse length, notices, and eligibility). For the most accurate guidance, confirm details with the DMV/DFS or a New York-licensed insurance professional.