How Car Insurance Works in New York

New York car insurance laws stipulate mandatory and recommended requirements. No-fault insurance, liability insurance, and uninsured motorist Insurance comprise the mandatory insurance coverage that every car owner must have.

The mandatory insurance requirements have a minimum amount of each coverage, but car owners can increase the minimum requirement to include more coverage. Towing and labor, collision, medical, funeral, and comprehensive insurance coverage comprise some of the recommended, but not mandatory, requirements of car insurance in New York.

Relevant Authorities

The New York Department of Motor Vehicles (NY DMV) and an insurance company of choice must be contacted. All registration for cars must be done at the NY DMV. Insurance contracts exist between car owners and the insurance companies.

The insurance company must give the car owner several insurance cards to symbolize the insurance agreement. At least one insurance card must always stay in the car; the New York DMV must receive one card together with car registration details.

Mandatory and Recommended Car Insurance in New York

As mentioned, every car owner in New York must have the mandatory auto insurance requirements.

No-fault insurance covers a car owner’s injuries, medical expenses, lost income, death benefit, and caretaker’s expenses after an auto accident. This coverage applies regardless of the car accident’s culprit.

New York forbids car accident victims from filing injury claims against the responsible party except in cases of extensive injuries. This is generally done with the help of an experienced Brooklyn car accident law firm.

The liability insurance covers injuries and deaths of other car accident victims. The uninsured motorist insurance covers injury and medical expenses you, as the driver, cause to motorists. For the expenses not covered under the above-mentioned requirements, New York gives car owners the freedom to purchase additional insurance coverage to the maximum they can afford.

Browse this site ( for more information on New York car insurance’s specific amount limits.

Finding the Best Car Insurance Provider in New York

Car owners can request a recommendation of the best car insurers from the people in their circles. Alternatively, a quick Internet search on Google can pop up various insurance companies that can send their quotes, including websites such as this one: It sends potential clients a list of the best insurance companies to choose from. The New York Automobile Insurance Plan (NYAIP) also helps car owners find insurance companies.

New York Car Insurance Savings

Luckily for New York drivers, insurance can be discounted depending on several factors. A car owner can get a discount from an insurance company by taking safety driving courses or having automatic seatbelts in his or her car.

Some insurers may have special discounts for the people who always pay their premiums on time or in lump sums, longstanding customers, and customers who purchase comprehensive coverage.

Penalties for Non-Compliance

As with any legislation, non-compliance with the New York car insurance laws has ramifications. Minor and fixable non-compliances such as delayed renewal of an insurance coverage can include daily penalties and a submission of the uninsured vehicle’s number to the DMV.

Failure to surrender the uninsured vehicle’s license plates can lead to an indefinite suspension of not only the car’s registration number but also the driver’s license. A fee of $100 must be paid for the reinstatement of the license and the car’s plate number subject to the acquisition of valid car insurance.


Traffic regulations require car owners to have the mandatory liability, no-fault, and uninsured motorist insurance coverage. Any auto owner can acquire extra insurance coverage at will. Numerous insurance companies provide car insurance coverage, and car owners should choose the company that best suits their needs. Whereas good driving practices can earn car owners discounts, non-compliance with New York’s car insurance laws has ramifications.