New York Auto Insurance Requirements 2025 | No-Fault & PIP Guide

New York requires 25/50/10 liability plus $50,000 PIP and mandatory uninsured motorist coverage. Learn the state's no-fault rules and why minimums may not be enough.

Quick Answer: New York Minimum Auto Insurance

New York requires all drivers to carry no-fault insurance (PIP) plus liability coverage. The state has some of the most comprehensive minimum requirements in the country:

Coverage Type	Minimum Required
Bodily Injury per Person	$25,000
Bodily Injury per Accident	$50,000
Property Damage	$10,000
Personal Injury Protection (PIP)	$50,000
Uninsured Motorist (UM)	$25,000 / $50,000

New York is one of 12 no-fault states, meaning your own insurance pays your medical bills regardless of who caused the accident.

Understanding New York's No-Fault System

New York's no-fault insurance system works differently than most states:

How No-Fault Works in NY

Your insurance pays first for your injuries, regardless of fault
PIP covers medical expenses up to $50,000
Limited right to sue for minor injuries
Serious injury threshold must be met to sue at-fault driver

The "Serious Injury" Threshold

You can only sue the at-fault driver if your injuries meet New York's threshold:

Death
Dismemberment
Significant disfigurement
Fracture
Loss of a fetus
Permanent loss of use of body organ, member, function, or system
Permanent consequential limitation of body organ or member
Significant limitation of use of body function or system
Non-permanent injury preventing normal activities for 90+ days

Soft tissue injuries alone typically don't meet the threshold.

What New York Law Requires

Under New York Vehicle and Traffic Law Section 311, all registered vehicles must carry:

Liability Coverage - 25/50/10

Bodily Injury Liability

$25,000 per person injured
$50,000 per accident total
Pays when you injure others
Covers medical bills, lost wages, pain and suffering

Property Damage Liability

$10,000 per accident
Covers damage you cause to others' property
Vehicles, buildings, fences, etc.

Personal Injury Protection (PIP) - $50,000

New York's no-fault coverage pays regardless of who's at fault:

PIP Covers	Details
Medical expenses	100% of reasonable costs
Lost wages	80% of earnings, up to $2,000/month
Other expenses	$25/day for household help
Death benefit	$2,000

Important PIP Rules:

Must seek treatment within 30 days of accident
Must submit claims within 30 days of expense
Cannot exceed $50,000 total
Applies to you, family members, and passengers

Uninsured Motorist Coverage - 25/50

New York is one of few states requiring UM coverage:

$25,000 per person
$50,000 per accident
Protects you when hit by uninsured drivers
Also covers hit-and-run accidents
Cannot be waived or rejected

Why New York's Minimums May Not Be Enough

Despite higher requirements, minimums can still fall short:

Real-World Cost Comparison

Expense	Average Cost	NY Minimum
ER visit + ambulance	$8,000 - $15,000	$50,000 PIP
Major surgery	$50,000 - $150,000	$50,000 PIP
Average new car	$48,000	$10,000 property
Serious injury lawsuit	$150,000+	$50,000 BI total

The Coverage Gap

Scenario: You cause an accident totaling a $45,000 car and injuring two people with $80,000 combined medical bills.

Vehicle damage: $45,000
Your property coverage: $10,000
Property gap: $35,000
Injury claims: $80,000
Your BI coverage: $50,000 max
Injury gap: $30,000
Total personal liability: $65,000

Recommended Coverage for New York Drivers

Minimum Recommended: 100/300/50

Coverage	Amount	Why
Bodily Injury	$100,000 / $300,000	Covers serious accidents
Property Damage	$50,000	Covers most vehicles
UM/UIM	$100,000 / $300,000	Matches liability

Better Protection: 250/500/100

Coverage	Amount	Why
Bodily Injury	$250,000 / $500,000	NYC costs higher
Property Damage	$100,000	Luxury vehicles common
UM/UIM	$250,000 / $500,000	Full protection

Additional Coverage Options

Supplemental Uninsured/Underinsured (SUM)

Goes beyond required UM minimums
Covers difference between your losses and at-fault driver's coverage
Highly recommended in New York

Optional Basic Economic Loss (OBEL)

Additional $25,000 PIP coverage
Covers medical expenses beyond standard $50,000
Relatively inexpensive add-on

Medical Payments (MedPay)

Additional coverage beyond PIP
No deductible or copay
Covers you anywhere, not just in accidents

Penalties for Driving Uninsured in New York

New York has severe penalties for uninsured driving:

First Offense

Penalty	Amount/Details
Fine	$150 - $1,500
Civil penalty	$750
License revocation	Minimum 1 year
Registration revocation	Until insurance obtained

Subsequent Offenses

Penalty	Amount/Details
Fine	Up to $1,500
Civil penalty	$750 per 30-day period uninsured
License revocation	1 year (longer for repeat)
Vehicle impoundment	Possible

Insurance Lapse Penalties

New York monitors insurance electronically:

Lapse Duration	Consequence
1-30 days	$8/day civil penalty
31-60 days	$10/day civil penalty
61-90 days	$12/day civil penalty
90+ days	Registration suspended

Maximum civil penalty: $2,500 per vehicle

New York's Electronic Insurance System

New York uses an electronic verification system:

How It Works

Insurers report all policies to DMV database
DMV cross-references with vehicle registrations
Lapses detected within days automatically
Notice sent requiring proof of insurance
Civil penalties accumulate daily during lapse

What Triggers an Alert

Policy cancellation
Non-renewal
Failure to renew registration with valid insurance
New vehicle not added to policy

SR-22 Requirements in New York

New York uses SR-22 (also called SR-22A) for certain violations:

When SR-22 Is Required

DWI/DUI conviction
Driving while license suspended
Accumulating excessive points
At-fault accident while uninsured
Certain drug-related offenses

SR-22 Requirements

Requirement	Details
Duration	3 years typically
Coverage	Must meet NY minimums
Filing	Insurer files electronically
Premium impact	50% - 150%+ increase

How Much Does New York Auto Insurance Cost?

New York has among the highest insurance rates in the country:

Coverage Level	Average Annual Cost
State minimum	$1,200 - $2,000
Standard (100/300/50)	$2,000 - $3,500
Full coverage	$3,000 - $5,500

NYC vs. Upstate

Location	Average Cost
New York City	$3,500 - $6,000+
Long Island	$2,500 - $4,500
Upstate	$1,200 - $2,500

Factors Affecting NY Rates

Location: NYC/boroughs most expensive
Driving record: Accidents/tickets increase rates
Age: Under 25 pays significantly more
Credit history: NY allows credit-based pricing
Vehicle type: Luxury/sports cars cost more
Coverage levels: Higher limits = higher premiums
Deductibles: Higher deductibles lower premiums

Frequently Asked Questions

Is no-fault insurance required in New York?

Yes. New York requires $50,000 in Personal Injury Protection (PIP), which is no-fault coverage. Your own insurance pays your medical bills regardless of who caused the accident, up to policy limits.

Can I reject uninsured motorist coverage in NY?

No. New York mandates uninsured motorist coverage with minimum limits of 25/50. You cannot waive or reject this coverage—it's required by law.

What's the difference between PIP and MedPay in NY?

PIP is required no-fault coverage that pays medical expenses, lost wages, and other costs up to $50,000. MedPay is optional additional medical coverage with no wage loss component. Many NY drivers carry both.

Does New York require collision and comprehensive?

No. Collision and comprehensive are not required by law. However, if you have a car loan or lease, your lender will require these coverages until the vehicle is paid off.

Why is New York insurance so expensive?

Several factors contribute: high population density, traffic congestion, vehicle theft rates, no-fault system costs, litigation rates, and required coverages. NYC is particularly expensive due to urban driving risks.

Can I drive in NY with out-of-state insurance?

Yes, temporarily. Visitors with valid out-of-state insurance can drive in NY. If you become a NY resident, you must obtain NY insurance within 90 days of establishing residency.

Key Takeaways

New York requires 25/50/10 liability + $50,000 PIP + 25/50 UM
No-fault state: Your PIP pays your medical bills first
UM coverage mandatory: Cannot be rejected
Serious injury threshold required to sue at-fault driver
Electronic monitoring: Lapses detected quickly, penalties accumulate daily
Very expensive: Especially in NYC metro area
Recommended: At least 100/300/50 with matching SUM

Important Disclaimer

This guide provides general information about New York auto insurance requirements based on publicly available sources. This is not legal or insurance advice. Insurance requirements can change, and individual circumstances vary.

Always verify current requirements with the New York DMV and Department of Financial Services. Consult with a licensed insurance professional for advice specific to your situation.

Last verified: November 2025

Sources: New York DMV, New York Vehicle and Traffic Law, New York Department of Financial Services