The Cheapest Auto Insurance Companies in New York in 2024

The average driver in New York pays $170 per month for car insurance, according to Compare.com data. That equates to an average of $153 per month for liability insurance and $187 for full coverage.

All drivers in New York must have car insurance, so it’s important to know what to look for in both a policy and an insurance company. This guide will explore the best and cheapest car insurance companies in New York for all types of drivers, as well as other ways to save in the Empire State.

Key Takeaways:

• AAA is the cheapest car insurance company in New York, with an average monthly rate of only $46.
• New York drivers must have liability insurance to legally operate a vehicle in the state.
• Safeco is the cheapest car insurance company for senior drivers in NY, offering them an average rate of $79 per month.

In This Article:

• Average Price for Car Insurance in NY
• Cheapest NY Car Insurance Companies
• Best New York Insurers of 2024
• Average New York Rates by Age and Driving Record
• New York Auto Insurance Requirements
• How to Get Cheap Car Insurance in NY
• Frequently Asked Questions

How Much Is Car Insurance in New York?

The overall average cost of car insurance in New York is $170 per month, according to Compare.com data. But this is just an average — your exact car insurance premium will depend on your unique driving profile.

Check out the table below to see how New York’s car insurance rates compare to the national average.

Drivers in New York state pay an average of $153 per month for liability-only policies and $187 per month for full-coverage car insurance, according to our research. But again, these rates are merely averages — not the best indicator of what you can expect to pay.

Below, we’ll dive into what affects how much you pay for car insurance and how you can keep your rates affordable.

New York’s Cheapest Car Insurance Companies

Although New York’s average rate is $170 per month, you can still find ways to save money on your car insurance policy. The best way to find affordable rates is to compare quotes from at least three companies before deciding on a policy.

We’ve uncovered the five cheapest insurance companies for New York drivers in the table below, using Compare.com data. Consider the following insurers when starting your car insurance search.

AAA offers the cheapest average rates in New York, with an average monthly rate of only $46. That said, it may not be the cheapest car insurance company for you. Every insurer determines rates differently, so it’s a good idea to compare car insurance quotes from multiple companies before buying a policy.

The Best New York Insurance Companies of 2024

No single insurance company will be the best option for every driver. And the insurer with the cheapest price isn’t always the best choice. The right company for you depends on factors like your budget and specific insurance needs. Fortunately, you have a wide range of offers to choose from in New York to find the best car insurance rate for you.

We chose the following three insurance companies based on a combination of average rates, customer ratings and reviews, and available discounts and coverage options. Each insurer offers the best available car insurance in New York for a certain type of driver. Take a look at the best car insurance companies New York has to offer.

Best for New Yorkers on a budget: AAA

• Average premium: $46 per month
• Compare.com Rating: 4.28 out of 5

Pros:

• One of the cheapest average rates in New York
• Highly rated roadside assistance

Cons:

• Must have AAA membership
• Can’t buy a policy online

AAA offers one of the cheapest car insurance policies in New York, according to our data. The insurer also earned a strong AM Best rating of A (Excellent), indicating good financial strength and ability to pay out claims. You’ll need to be a member of AAA to buy a policy, but membership starts at only $65 per year and comes with roadside assistance.

Best for New York seniors: Safeco

• Average premium: $93 per month
• Compare.com Rating: 4.59 out of 5

Pros:

• Cheap rates for New York seniors
• Highly rated telematics program

Cons:

• Not many discounts are available
• Higher-than-average number of complaints

Safeco is a great option for senior drivers in New York — it offers them policies with an average monthly rate of only $79. The insurer earned an A (Excellent) rating from AM Best, which shows good financial strength and a strong ability to pay claim settlements. It’s a good option for senior drivers, but it still has some poor customer reviews.

Best for discounts: Liberty Mutual

• Average premium: $124 per month
• Compare.com Rating: 4.62 out of 5

Pros:

• Offers numerous discounts and products
• RightTrack program rewards safe drivers

Cons:

• Higher-than-average number of complaints
• Not the cheapest insurer in New York

Liberty Mutual is a great insurance company for New York drivers looking to take advantage of car insurance discounts. It offers many, including multi-policy, multi-car, home insurance and auto insurance bundling, and paperless policy discounts. It also earned an A (Excellent) rating from AM Best. It may not be the cheapest option in New York, but it has its benefits.

Cheapest State-Minimum Insurance in New York: AAA

Your coverage level has a major effect on your rates. The more coverage you have, the more expensive your rates will be. Liability-only insurance coverage at the state-minimum limits is the cheapest auto policy available, but it also leaves you vulnerable since it only covers medical bills and property damage of other drivers in an incident, not your own.

The table below shows the cheapest companies for liability insurance in New York, according to Compare.com data.

AAA is the cheapest car insurance company in New York for liability-only car insurance, with an average monthly premium of only $74, according to our research. That said, insurance agents typically advise purchasing more than just minimum coverage because it leaves you financially vulnerable. If you leased your car or took out a loan to buy it, your lender will likely require you to buy full coverage anyway.

Cheapest Full-Coverage Insurance in New York: AAA

Full-coverage car insurance typically refers to a policy that includes collision and comprehensive coverage in addition to liability insurance. Comprehensive insurance and collision coverage collectively pay for vehicle repairs or replacement after an accident or non-collision event, which makes it more expensive than a liability-only policy.

Full coverage is optional in New York, but if you lease or finance your car, your lender will likely require you to have it.

The table below highlights the cheapest car insurance companies in New York for full coverage, according to Compare.com data.

AAA is the cheapest insurer in New York for full-coverage insurance, with an average monthly premium of $105. Insurance companies consider numerous factors, including your age, driving record, credit score, and location, when setting rates, so it’s important to find the right company for you.

Let’s take a closer look at how each affects rates in New York.

Compare New York Auto Insurance Rates by Age

Your age is one of the most important factors when it comes to your car insurance rates. Insurance companies see younger drivers with less experience as a greater risk than older drivers since they’re more likely to get into car accidents. But once you age and gain more driving experience, your rates typically start to decrease.

Check out the table below to see how much different age groups pay for auto insurance in New York and the cheapest insurer for each group.

Cheapest for New York teens: AAA

Teens pay the highest car insurance rates by far since they’re more likely to speed and cause accidents. Young drivers have a fatal crash rate almost three times that of drivers older than 20 years of age, according to the Centers for Disease Control and Prevention (CDC).

Our research found that AAA offers the cheapest car insurance rates for teens in New York, with an average premium of $150 per month.

Cheapest for New York seniors: Safeco

As you get older, you’ll typically pay some of the cheapest car insurance rates. Senior drivers typically have plenty of experience behind the wheel, so insurers offer them lower rates. That said, rates increase again as you reach your 70s — when most drivers begin to experience age-related impairments that make them riskier to insure.

Safeco has the cheapest car insurance rates for senior drivers, with an average monthly rate of $79 for New York drivers in their 70s.

Compare New York Auto Insurance Rates by Driving Record

Your driving record also affects your car insurance rates because it helps insurance companies understand how you drive. Drivers with clean driving records pay the cheapest rates, while people with infractions pay more.

For example, if you have multiple speeding tickets on your driving record, insurers consider you more likely than safe drivers to get into an accident and file a claim. To account for the increased risk, they’ll charge you higher premiums.

The table below shows how much drivers in New York pay for car insurance based on their driving records, as well as the cheapest insurance company for drivers with different infractions.

Cheapest insurer after a ticket: AAA

Even just one speeding ticket causes average rates to increase by 27% nationwide, according to Compare.com data. Speeding indicates to insurers that you’re not a safe driver, so they increase your rates to account for the added risk.

USAA is the cheapest company for drivers in New York with a speeding ticket, at $107 per month, according to our data.

Cheapest insurer after an accident: AAA

Getting into an at-fault accident almost always results in a rate increase the next time your policy renews. The average amount an insurance company increases rates is 34% nationally, according to Compare.com data. An at-fault car accident shows insurers that you’re risky to insure and more likely to get into accidents in the future, so they increase your rates to account for the added risk.

We found that AAA has the lowest average rate for New York drivers with an at-fault accident, at $112 per month.

Cheapest insurer after a DUI: AAA

If you’re caught driving under the influence (DUI), your rates will increase dramatically — more than they would after any other moving violation. It’s a serious offense, and insurance companies don’t want to be liable for someone who drinks and drives. Most charge exorbitant rates to account for the risk.

Rates go up by an average of 50% nationwide after one DUI, according to Compare.com data. That being said, AAA offers rates as low as $129 per month for drivers with a DUI in New York.

New York Auto Insurance Requirements

The Empire State requires drivers to have an active auto insurance policy to legally drive. The Department of Motor Vehicles requires you to have a policy with minimum bodily injury and property damage (BI/PD) coverage of 25/50/10, which means:

• $25,000 for bodily injury and $50,000 for death per person
• $50,000 for bodily injury and $100,000 for death per accident
• $10,000 for property damage per accident

You must also purchase supplementary uninsured motorist coverage at the same limits listed above. And because New York doesn’t recognize out-of-state policies, you must buy a policy from an insurer licensed by the state.

Penalties for driving without auto insurance in New York

You’ll face severe penalties if you drive without insurance or let someone else drive your car without it. Plus, you’ll lose your license and registration for at least one year if you have an accident without coverage. You may also have to pay a fine of up to $1,500 and an additional $750 penalty to get your license back.

How to Get Cheaper Car Insurance in New York

No matter where you’re from or what your driving history looks like, you deserve access to affordable quotes. Consider these tips if you’re looking to save on car insurance in New York:

• Bundle your insurance policies: Many insurers offer discounts if you purchase multiple policies, such as bundling car insurance with homeowners or renters insurance.
• Maintain a clean driving record: Avoid traffic violations and accidents to lower your insurance rates significantly. It may not happen overnight, but it’s worth it in the long run.
• Enroll in a driver safety class: Defensive driving courses can improve your skills and qualify you for discounts with many insurance companies.
• Raise your deductible: If you can afford a higher out-of-pocket cost when filing a claim, choose a higher deductible to get lower rates.
• Compare quotes: Different companies may offer different discounts or rate structures. Shop for car insurance from multiple companies and compare quotes at least once a year to help find the best rates and save money.

New York Auto Insurance FAQs

If you still have questions about buying car insurance in New York, check out these answers to some of the most commonly asked questions.

What’s the cheapest auto insurance company in New York?

AAA is the cheapest auto insurance company in New York, with an average rate of only $46 per month, according to data from Compare.com.

How much is car insurance in New York per month?

The average cost of car insurance in New York is $170 per month, according to Compare.com data. Drivers pay an average of $153 per month for liability insurance and $187 per month for full coverage.

Is New York car insurance expensive?

Yes, New York car insurance is relatively expensive. The average liability policy in the Empire State costs $47 more per month than the national average rate, according to Compare.com data.

Does New York require SR-22 certificates?

No. New York state doesn’t require SR-22 certificates for high-risk drivers. But if you move to New York from a state that requires you to have an SR-22 certificate, you’ll need to file one in New York, too.

Data Methodology:

Data scientists at Compare.com analyzed more than 50 million real-time auto insurance quotes from more than 75 partner insurers in order to compile the rates and statistics seen in this article. Compare.com’s auto insurance data includes coverage analysis and details on drivers’ vehicles, driving records, insurance histories, and demographic information.

All the rates listed in this article have been collected from a combination of real Compare.com quotes and external insurance rate data gathered in collaboration with Quadrant Information Services. Compare.com uses these observations to provide readers with insights into how auto insurance companies determine their premiums.

Sources:

1. New York State Department of Financial Services, “Minimum Auto Insurance Requirements,” accessed July 11, 2024.
2. J.D. Power, “2023 U.S. Auto Insurance Study,” accessed July 11, 2024.
3. Insurance Information Institute, “Auto insurance basics—understanding your coverage,” accessed July 11, 2024.
4. National Association of Insurance Commissioners, “National Complaint Index Report,” accessed July 11, 2024.
5. Centers for Disease Control and Prevention, “Risk Factors for Teen Drivers,” accessed July 11, 2024.