Cheapest Car Insurance Quotes in New York City, NY (2023)

New York City is notorious for traffic and a high cost of living, but how does that translate to auto insurance costs? Minimum-coverage car insurance in New York City averages $402 per month, which is $167 less per month than the state average of $569. New York City has the highest average insurance cost in the entire United States.

New York requires all car owners to have valid auto insurance. New York City drivers should also ensure they’re working with a company licensed in the state because New York doesn’t accept out-of-state insurance.^[1]

How much does car insurance cost in New York City?

Insurance rates in New York City vary widely based on numerous factors, including the type of vehicle you own, your driving history, and your driving habits. The most helpful way to find the best deal is to compare rates from multiple insurance companies.

Insurify data scientists analyzed the latest insurance rates in New York City to compile this list of the cheapest auto insurance for drivers there. New York drivers should expect to pay between $104 on the low end for liability-only coverage and $913 for more expensive full-coverage policies.

• Cheapest company for liability insurance in New York City: Kemper, at $104 per month

• Cheapest company for full-coverage insurance in New York City: Kemper, at $178 per month

• Cheapest coverage for new drivers in New York City: Kemper, at $129 per month

See More: Cheap Car Insurance in New York

Cheapest car insurance in New York City: Kemper

Kemper provides the cheapest auto insurance for both liability and full-coverage options in New York City, with an average cost of  $129 per month. This average factors in both full-coverage and liability-only premium costs.

Insurance companies in New York City consider multiple factors when offering a premium rate, including the number of drivers on the policy, the ages of drivers, type of vehicle, where you live, and your driving history.

How much car insurance do you need in New York City?

New York City drivers pay more than most in the U.S., but the minimum requirements are less than in many other states. Drivers who opt for the minimum requirements are at a higher risk for financial vulnerability if they’re involved in a serious accident. Drivers in New York are required to have:^[1]

• $25,000 for injury/$50,000 for death per person in bodily injury liability

• $50,000 for injury/$100,000 for death per accident in bodily injury liability

• $10,000 per accident in property damage liability

Drivers in New York City should be prepared to show proof of insurance when registering their vehicle, if they’re involved in an accident, and if they’re pulled over for a traffic infraction. New York is a no-fault state, so no matter who’s at fault, insurance companies will pay out for bodily injuries on behalf of their clients.^[2]

New York DMV information

New York residents can utilize the New York Department of Motor Vehicles (DMV) to access various services, including registering a vehicle, renewing a driver’s license, applying for a new driver’s license, purchasing license plates, and paying tickets. Many New York DMVs offer online services to expedite processes so you can save time by not waiting at a physical location.

Services available online include:^[3]

• Address changes

• Vehicle registration

• Replace a lost license or ID

• Replace list registration

• Apply for driver’s license

• Renew driver’s license

• Check your driving privilege status

• Schedule road tests

• Pay fines and fees

• Order personalized plates

• Request an accident report

Tips for getting cheap insurance in New York City

While car insurance can be expensive, you have many ways to save money on your policy. Here are a few tips to consider when it comes time to purchase your next policy: 

• Bundle your home and auto policy.

• Look for discounts with your employer.

• Look for discounts through AARP or other public organizations.

• Ask your insurance provider if it offers discounts for safe driving.

• Purchase a vehicle with high safety standards.

• Practice safe driving.

• Improve your credit score.

The best tip for saving money on your auto insurance is to compare rates from multiple lenders. Comparing rates makes it easier to find the most coverage for your dollar.

Learn More: Compare Home and Auto Insurance Bundles

How age affects car insurance rates in New York City

When auto insurance companies decide on their rates, one factor they consider is age. Younger, less experienced drivers are likely to pay higher rates than other age groups. Teens between the ages of 16 and 19 are more likely to be involved in a vehicle accident than any other age group, according to the Centers for Disease Control and Prevention (CDC).^[4]

Newly licensed teens with friends in their cars are at even higher risk. Insurance companies factor this risk into their rate decisions. The table below outlines what New York City drivers might pay each month on average based on their age group.

Cheapest car insurance for young drivers in New York City

Young drivers in New York City pay higher rates than any other age group. You can save money on your policy by looking for discounts for good grades, choosing a vehicle with high safety standards, and practicing safe driving habits. The rates in the table below are averages for full-coverage policies.

Cheapest car insurance for middle-aged drivers in New York City

Middle-aged drivers can take advantage of lower rates thanks to their age and driving experience. In addition, you can save money on your policy by combining your home and auto policies. The rates in the table below are averages for full-coverage policies.

Cheapest car insurance for senior drivers in New York City

Senior drivers can find affordable rates by enrolling in defensive driving courses, looking for discounts through AARP, and purchasing vehicles with high safety ratings and extra safety features (like lane sensors). The rates in the table below are averages for full-coverage policies.

How credit scores affect cheap car insurance in New York City

Many insurance companies use credit reports to calculate your insurance score. While a credit score and an insurance score aren’t the same, your credit score does affect your insurance score. Credit scores are three-digit numbers created from financial information on your credit report. While multiple different scoring agencies exist, they all have similar ranges. FICO is one of the most popular credit-scoring models. FICO breaks down credit scores into the following ranges:^[5]

• 579 and below: Poor

• 580–669: Fair

• 670–739: Good

• 740–799: Very Good

• 800 and above: Excellent

Insurance companies use the information on your credit report to determine your risk of filing a claim. Your insurance company may look at bankruptcies, late payments, and payment history to help determine your insurance score.

While some states have restrictions against insurance companies using your credit score to determine your insurance rates, New York doesn’t. Insurance companies may use your credit report and credit score when deciding your insurance rate.^[6]

The table below outlines what New York City drivers can expect to pay for car insurance each month depending on what range their credit score falls into.

See More: Car Insurance Rates by Credit Tier

The effect of driving habits on car insurance in New York City

Your driving habits have a direct impact on the cost of your car insurance. For example, you’ll likely pay higher rates if you have a history of speeding or at-fault accidents. Insurance companies base their rates on risk. If you’ve previously filed claims, the insurance company will view you as a higher risk for claims in the future.

The tables below outline how different driving infractions could increase your rates.

It’s important to note that when you see a negative difference in a table, it doesn’t mean that particular insurance company lowers rates for drivers with that infraction on their records. Rather, it may mean that our sample size was small — insurers may choose not to offer policies to drivers with that infraction. Your actual rate can vary based on a number of factors other than your driving record.

Cheapest car insurance with an accident in New York City

If you have an accident on your record, you’ll likely pay more for car insurance than drivers with a clean record. After an accident, it may take some time before your insurance rates go back down.

Car insurance with a DUI in New York City

Insurance companies view drivers with a DUI on their record as being high risk, and they’ll charge much higher premiums as a result. Some companies may even refuse to cover drivers with a history of DUIs.

Cheapest car insurance with a speeding ticket in New York City

While drivers with speeding tickets on their record likely won’t pay as much as drivers with a DUI, insurance companies can still increase car insurance premiums for drivers with speeding tickets.

Car insurance in other New York cities

Car insurance rates vary greatly from city to city — even within the same state. Here’s a look at what New Yorkers in other cities might pay for car insurance:

• Cheap Auto Insurance Quotes in Albany, NY

• Cheap Auto Insurance Quotes in Buffalo, NY

• Cheap Auto Insurance Quotes in Rochester, NY

• Cheap Auto Insurance Quotes in Syracuse, NY

• Cheap Auto Insurance Quotes in Utica, NY

Find local New York City agents

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