10 Best Cheap Car Insurance In New York (NY) | 2023

Insuring your car in New York is not so easy financially. This is because New York is one of the most expensive cities you can insure your car. The city is the third most expensive in the world for minimum coverage.

However, to make things easier for you, you do not just pick up an insurance company and start working with it. You need to shop around and compare quotes from different insurers before deciding on what to go for. 

Comparing quotes does not mean that you will go for the cheapest. Anyway, to save you the stress, you will need to read on to figure out what to do.

We have done the hard part of the job for you by breaking it down to the cheapest companies and explaining reasons you may encounter higher quotes or you may enjoy some discounts.

So, here, we go.

How much is Car Insurance in New York?

On average, the cost of insuring a car for full coverage is $2,020 per year. Also, the cheapest minimum coverage per year in New York, on average is $941.

However, you can always go for a cheaper policy if you wish to. What is more important is to go for what will give you value for your money. 

What is the minimum car insurance limit required in New York?

The auto insurance law in New York requires that as a car owner, you will need to carry liability insurance, personal injury protection (PIP), as well as uninsured motorist bodily injury (UMBI) coverage.

Hence, the minimum coverage limits in New York are:

  • $25,000 bodily injury liability per person
  • Property damage liability per accident at $10,000
  • $50,000 liability for death per person
  • $100,000 property damage liability per accident
  • PIP at $50,000
  • UMBI per accident at $50,000
  • UMBI per person at $25,000

In essence, liability insurance covers the cost of any damage, injuries, or deaths that occur in a car accident that you are the cause, up to your policy’s pre-defined limits.

PIP will take care of your medical bills and other expenses if you are involved in a car accident, up to your policy limits, regardless of whose fault it is.

Uninsured motorist coverage will handle expenses from injuries or damage after an accident with a driver who has no car insurance coverage. The same goes for underinsured motorist coverage if you are involved in an accident with a driver whose car accident insurance is not enough to cover the cost of the accident.

Having known the risk involved in the above car insurance policies, it is good to know what is best for you. You may have to consider purchasing more than the least minimum coverage.

This is because any cost that is more than your coverage limit will have to be borne by you.

Therefore, having just the minimums means that with an accident surpassing what your insurer can bear, you may pay in excesses of $10,000 to take care of another driver’s car. 

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Cheap and Affordable Insurance Companies in New York

Below are the affordable insurance companies in New York and their premiums:

  • Erie – $1,230
  • Travelers – $1,544
  • MetLife – $1,604
  • Hanover – $1,895
  • Safeco – $1,927
  • USAA – $1,930
  • Allstate – $2,231
  • Preferred Mutual – $2,266
  • State Farm – $2,381
  • Progressive $2,401

Cheap Car Insurance for Good Drivers in New York

If you are a pleasant driver with no at-fault accidents, speeding tickets, or DUIs, you may enjoy some benefits on that. With your driving record, insurance companies use your record to determine if you will pose a risk to them or not.

Therefore, being a skillful driver with clean records makes you a less risky and cheaper customer for them. Your premium will be more affordable than that of those with high-risk records. 

Besides the above, some insurance companies offer a Good Driver discount to their customers which could range between 5 and 10 percent. Among the companies in New York, Nationwide has the cheapest rates for excellent drivers.

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Cheap Car Insurance for Young Drivers in New York

Inexperienced drivers, those between the ages of 16 and 25, pay the most rates for car insurance in New York and other states than other age groups. This is because they are termed inexperienced and so, have more tendencies to break the law or cause accidents.

Teen drivers, between 16 and 19 even pay three times higher than the national average. GEICO, Progressive Insurance, and Liberty Mutual are the cheapest insurance companies in New York for inexperienced drivers. 

Below is a table containing the annual rates for teens with parents or alone:

Age Annual Rates with Parents Annual Rates Alone

  • 16: $6,915 – $5 370
  • 17: $6,415 – $5,543
  • 18: $6,581 – $4,509
  • 19: $5,601 – $3,368

Cheap Car Insurance for Bad Drivers in New York

If you have a bad driving habit, you can pose a risk to yourself and also the insurance company.

This is not just about residing in New York, it is everywhere. If you also have other driving violations such as an at-fault accident or a speeding ticket, you will never get cheap auto insurance.

Still, if there are any considerations at all, your best bet to shop for cheap insurance includes Liberty Mutual, State Farm, or Nationwide. 

High Rated Car Insurance Companies in New York

Although every car insurance company boasts of having low rates, not all of them actually do. Also, you need to remember the most affordable option is not always the best for you.

This is because each individual has a particular need and the type of car insurance to purchase determines what insurance company to go for the best offer.

So, you must take your time to shop for the right insurance policy that will adequately protect your vehicle. Therefore, go for the best value with cheap offers instead of the cheapest rate.

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Cheapest Car Insurance in New York for Full Coverage

For a full coverage insurance policy in New York, two companies offer the cheapest and they are GEICO and Erie. For veterans or active military, USAA always has a cheap full coverage insurance policy.

On the other hand, The General is the most expensive in the city. Meanwhile, a full coverage policy has comprehensive collision insurance. The amount of liability coverage helps you to find out the annual price. 

  • USAA: $1,828
  • GEICO: $2,161
  • Erie: $2,302
  • Allstate: $2,591
  • Progressive: $2,723
  • State farm: $2,766
  • Nationwide: $3,579
  • Travelers: $4,136
  • MetLife: $5,911
  • The General: $8,598

Additionally, for an old car, the amount for a full coverage policy may not be more than the value of the car. That means, go for minimum coverage or liability-only insurance. 

Cheapest Car Insurance in New York for Minimum Coverage

Generally, you can always choose the car you want to insure in New York or elsewhere in the US. There is a difference of about $1 372 between the minimum liability policy and full coverage with higher liability limits. 

  • USAA: $1,015
  • GEICO: $1,270
  • Erie: $1,339
  • Allstate: $1,455
  • Progressive: $1,846
  • State Farm: $1,912
  • Nationwide: $1,998
  • Travelers: $2,536
  • MetLife: $4,621
  • The General: $6,673

The good news about minimum liability coverage is that it is pocket-friendly but in reality, if an accident occurs, it may force you to pay out of your pocket. 

Cost of Car Insurance in New York by Cities

Location is another factor that insurance companies consider before calculating their premium for individuals. So, the city you live in influences the amount to pay as a premium.

Precisely, the cheapest insurance by the city in New York is Irondequoit and the most expensive is Hempstead.

Below is a rundown of ten cities in New York and their insurance premiums:

  • Hempstead: $3,133
  • New York: $3,004
  • Brentwood: $2,517
  • Yonkers: $2,373
  • West Babylon: $2,371
  • Buffalo: $1,699
  • Syracuse: $1.417
  • Albany: $1,329
  • Rochester: $1,296
  • Irondequoit: $1,217

Frequently Asked Questions on New York Car Insurance

Which company has the cheapest car insurance in New York?

From our data, Erie ($1,230) and Travelers ($1,544) are the best bet for the cheapest premium in New York.

What is the average cost of car insurance in New York?

The average cost of car insurance in New York per year for full coverage is $1,587 and for liability-only insurance is $859 per year.

What is the most expensive city for car insurance in New York?

With an average price of $6,607 per year for full coverage, Brooklyn is the most expensive city for car insurance in New York.

How much car insurance is required in New York?

As a driver in New York, you are expected to carry at least $25,000 per individual and $50,000 per accident of bodily injury liability coverage. Also, you will need $10,000 in property damage liability, besides $10,000 personal injury protection as well as $25,000/$50,000 of uninsured motorist coverage. 


From the look of things, what you might consider as the best cheapest car insurance in New York may not be the same with other people. Therefore, you can make the best choice after considering the points we raised in this article.



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