Even in New York City, where car ownership has been historically low, recent developments are causing a spike in people ditching public transportation to get behind the wheel. With the high cost of living, so many new drivers on the road and the number of insurance companies offering its services, finding the best car insurance in New York has never been more important. Whether you’re shopping for your first policy or looking for a better price, our guide has all the information you need to get coverage.
Best car insurance companies in New York
We’ve compiled a list of the best providers by credible third party ratings such as J.D. Power and AM Best. Because companies’ performances can vary by location, J.D. Power produces separate reports for 11 U.S. regions. The top 2020 picks for the New York region are organized in the table below:
|Provider||Average annual full coverage premium||J.D. Power customer satisfaction score|
|New York Central Mutual||$2,669||837/1,000|
New York Central Mutual
New York Central Mutual is J.D. Power’s pick for best auto insurance in New York, and the numbers prove it. The insurer gets a perfect five-star rating in all areas of the study, from policy pricing to the claims process. In addition to car insurance, New York Central Mutual also offers home and business insurance to New York residents.
Progressive provides the cheapest car insurance in New York of the carriers on this list, with average rates of $1,139 per year for full coverage. Progressive’s premiums, which are less than half of the other top insurance companies in New York, are low because of the number of car insurance discounts the company offers.
State Farm offers car insurance as well as personal and commercial policies, financial accounts and even credit cards. The company gets a five-star rating for its claims process in the state of New York, although you may have to pay more than you’d like. State Farm only gets three stars in the study for its pricing.
USAA is an exception in the J.D. Power study as USAA only sells insurance policies to current and former military members. If this describes you or someone in your family, though, you may be in luck. In the state of New York and across the country, USAA is well-known as a top insurance provider.
Average car insurance cost in New York
New York is a no-fault state. Each driver pays their own expenses and medical bills. Paired with higher fraud than average, New York is one of the most expensive states in the country for car insurance.
|Average annual premium for minimum coverage in New York||Average annual premium for full coverage in New York|
State minimum insurance requirements in New York
Auto insurance is required in New York. You cannot register your vehicle at the DMV until you purchase a policy. At the DMV, you must provide proof of insurance to register your automobile, and the DMV only accepts auto insurance issued in New York State.
All New York drivers must have liability insurance that covers at least:
- $10,000 in property damage in one accident.
- $25,000 for medical expenses and $50,000 for the death of one person in one accident.
- $50,000 for medical expenses and $100,000 for the death of two or more people in one accident.
Although having the minimum coverage might seem like a good way to save money, you could end up paying more in the long run. No one ever intends for an accident to happen, however, with all of the drivers and traffic in New York, it could be a risky place to drive. If you can afford to pay more than the minimum coverage, paying for full coverage would be in your best interest.
How to get the best car insurance in New York
New York State has over 11.3 million registered vehicles, according to the New York Department of Motor Vehicles (DMV). In 2018, almost 435,000 traffic accidents occurred in New York State, with around 122,000 injuries and nearly 900 fatalities, according to the Institute for Traffic Safety Management and Research.
New York state’s auto insurance premiums are the second-highest in the country. When you compare the difference in average price between Progressive and State Farm or New York Central Mutual, you can see why finding the best New York car insurance and staying insured is so important. You can save as much as half for the same vehicle insurance from one carrier to another.
- Evaluate your individual needs: To evaluate your car insurance needs, consider a few factors such as whether you have a kid who is about to start driving, your vehicle make and model, credit history and driving record. Each of these traits could affect your New York car insurance premium, so it is important to consider each carefully. For example, if you just purchased a brand new electric vehicle, many New York car insurance companies offer a new vehicle discount and an electrical vehicle discount. Knowing which insurance companies offer these discounts could help you save.
- Consider state factors: When looking for the best car insurance in New York, consider your state factors. Because New York is known for traffic, colder climates, wind and heavy snowfalls, consider which insurance companies offer add-ons to protect your vehicle from damage that can be caused by the environment.
Car insurance discounts in New York
One great way to save money on your car insurance premiums is by taking advantage of available discounts. Everything from safety incentives to good student discounts to safe driving options exist for you to explore.
|Discount||New York Central Mutual||Progressive||State Farm||USAA|
|Automatic payment/paperless billing||x||x|
|Defensive driving course||x||x||x|
|Low annual mileage||x|
|Occupational or organizations|
|Safe driver/accident free||x||x||x||x|
Frequently asked questions
What is the best car insurance in New York?
Several New York car insurance providers offer good car insurance premiums and discounts and have great third party ratings. Always get several quotes from different companies before buying a car insurance policy.
How can I get a defensive driving insurance reduction in New York?
If you take a DMV-approved Point and Insurance Reduction Program course, you can reduce your auto insurance rate by 10 percent. The course is available in classrooms and online.
Does New York State require car owners to purchase auto insurance?
New York State requires all vehicles to have liability insurance, including bodily injury and property damage coverage.
Can bad credit affect the cost of my car insurance?
Low credit scores can substantially increase the cost of car insurance. In New York, car owners with bad credit pay as much as 50 percent more for car insurance than people with good credit do.
Why would the best insurance provider for one person not be the best for someone else?
The price of insurance depends on many factors such as age, sex, ZIP code, marital status, and driving history. However, it is also affected by the types of coverage a driver chooses to purchase based on his/her needs. The best insurance provider for you may not be the best for someone else because of the different needs that need to be evaluated and taken into consideration, such as kids, marital status, driving history, vehicle make and model, etc. when applying for a car insurance quote.
Bankrate utilizes Quadrant Information Services to analyze 2021 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $50,000 property damage liability per accident
- $100,000 uninsured motorist bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 comprehensive deductible
To determine minimum coverage limits, Bankrate used minimum coverages that meet each state’s requirements. Our base profile drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.
These are sample rates and should only be used for comparative purposes.