Cheapest Car Insurance in New York (October 2024)

Kemper is the cheapest car insurance provider in New York. Progressive is also a great option with the lowest rates for certain driver types.

MoneyGeek reviewed the best car insurance in New York if you’re looking for options that balance cost and quality service.

The cheapest car insurance for a minimum coverage policy in New York are:

• Kemper: $646 per year
• Progressive: $731 per year

Mercury is the most expensive car insurance company for minimum coverage, at an average annual cost of $2,250.

The state law’s minimum insurance requirements cover only bodily injury liability, property damage liability, liability for death, uninsured/underinsured motorist coverage and personal injury protection.

A minimum coverage policy covers only the cost of injuries or damage you cause to others, not damage to your vehicle. A full coverage policy with comprehensive and collision insurance can give you more protection that takes care of any vehicle damage.

The cheapest full coverage car insurance providers in New York are:

• Kemper: $1,121 per year
• Progressive: $1,148 per year

Mercury charges the most expensive rate for full coverage, at roughly $4,152 per year.

Adding comprehensive and collision coverage to your policy increases the cost of your annual premium. For instance, Kemper’s full coverage is more expensive by $476 a year than its minimum coverage.

How much car insurance you need significantly impacts your rates. MoneyGeek’s sample full coverage policy includes the following liability limits:

• $100,000 bodily injury per person
• $300,000 bodily injury per accident
• $100,000 property damage per accident

If you want to save on your policy, lowering your liability limits, dropping your comprehensive and collision coverage or raising your deductible may help you get cheaper rates. However, you’ll also face higher out-of-pocket costs if you get into an accident.

Most auto insurance companies provide quotes online, but it can take up to 15 minutes to input the required personal details. If you’re comparing multiple companies, this can add up over time.

MoneyGeek’s car insurance calculator makes comparing rates a breeze. You can get a quick estimate customized to your personal driver profile without providing specific personal information. Use the estimates generated by our free online tool to find the cheapest car insurance based on your age, gender and driving record.

Age is one of the biggest factors affecting car insurance rates. In New York, Kemper offers the cheapest option for teen and senior drivers, while Progressive is the most affordable for young adults.

Teen drivers on their parent’s policy will find the cheapest car insurance rates from:

• Kemper: $1,461 per year for female teens and $1,516 per year for male teens
• GEICO: $2,625 per year for female teens; Progressive: $2,981 per year for male teens

Travelers is the most expensive insurer for teens, with average rates of $8,283 and $6,977 for male and female drivers, respectively.

Teen drivers enjoy decreasing insurance rates as they get older, with 19-year-olds getting the cheapest premiums. Kemper offers the lowest rate for males aged 19 at $1,311 per year.

Adding a teen to a parent's policy is usually cheaper than buying a separate policy. In New York, a 16-year-old male could pay about $7,621 per year for their own policy, compared to $4,262 if added to a parent's policy, saving $3,359. Most states also require a parent or guardian to co-sign for a teen’s policy.

Many insurance companies offer discounts for young drivers. Allstate, Progressive and Travelers provide discounts for students who live away from home and those with good academic performance. GEICO, Kemper and State Farm offer discounts only for students with good grades.

The cheapest car insurance providers for drivers in their 20s are:

• Progressive: $1,274 per year
• Kemper: $1,420 per year

Hanover is the most expensive insurer for young adults, with an average full coverage policy costing $4,937 per year.

Drivers in their 20s typically face higher insurance rates than middle-aged drivers due to more frequent at-fault accidents and moving violations. For example, a full coverage policy for a young adult costs $409 more than for a middle-aged driver.

In New York, the cheapest car insurance providers for senior drivers are:

• Kemper: $1,098 per year
• Progressive: $1,161 per year

Mercury is the most expensive insurance provider for drivers aged 60 and above, with a full coverage policy costing around $4,507 annually.

Insurance rates often rise for drivers in their 70s and 80s due to age-related physical limitations, such as poorer eyesight and slower reflexes, which increase accident risk. On average, seniors in New York pay about $62 more for a full coverage policy than middle-aged drivers.

Kemper, GEICO, Allstate and Mercury offer discounts for drivers aged 65 and older. To save the most, compare rates from multiple insurers, as age is only one factor affecting your premium cost.

Progressive offers the lowest rates for drivers with tickets, at-fault accidents and DWIs. Kemper provides the most affordable insurance for those with poor credit and sports car drivers.

In New York, drivers with a speeding ticket get the cheapest premium for a full coverage policy from the following providers:

• Progressive: $1,192 per year
• American Family: $1,424 per year

Mercury is the most expensive option at $5,081 per year. After getting a ticket, you might pay around $342 more for your car insurance.

Drivers with at-fault accidents in New York get the most affordable full coverage car insurance policies from the following providers:

• Progressive: $1,148 per year
• Kemper: $1,626 per year

Mercury has the highest rate at roughly $4,413 per year. Being at fault in a car accident could increase your annual premium by $236.

On average, these are the cheapest car insurance companies for middle-aged drivers with a DUI on their record in New York:

• Progressive: $1,205 per year
• Kemper: $1,679 per year

With an average annual rate of $6,012, Chubb offers the most expensive auto insurance for middle-aged drivers with a DUI. In New York, middle-aged drivers pay around $1,255 more per year for a full coverage insurance policy if they have a DUI on their record.

New Yorkers with poor credit can find the cheapest car insurance rates from the following insurers:

• Kemper: $3,084 per year
• GEICO: $3,152 per year

Hanover is the most expensive option, charging an average annual premium of $390,881 for a full coverage policy.

A good credit score, ideally above 750, can get you the lowest rates because insurers consider you a low-risk driver. A credit score below 580 can increase your full coverage car insurance rates by $38,651, on average, per year.

Analytical data indicates that drivers with lower credit scores are more likely to file claims, so insurers charge them higher rates. Using credit-based insurance scores to calculate premiums is legal in New York.

If you want to reduce your rates, improve your credit score. Also, compare rates from multiple insurers and take advantage of common discounts, like those for bundling policies or installing safety features.

For drivers with sports cars, the cheapest full coverage rates are:

• Kemper: $1,194 per year
• Progressive: $1,303 per year

Chubb is the most expensive, averaging $2,904 per year.

Sports cars usually have higher repair and replacement costs, making them more expensive to insure. However, in New York, drivers with a Ford Mustang pay $274 less than those with a Toyota Camry LE.

MoneyGeek obtained the quotes above using a Ford Mustang, but auto insurance premiums can vary significantly based on the vehicle type. Sports, electric and luxury cars often cost more to insure than others.

Kemper offers the most affordable car insurance for active-duty military members and veterans in New York, with an average annual rate of $1,121.

Another excellent option is USAA, which provides tailored services for military personnel. A full coverage policy with USAA costs $1,604 annually in New York.

The city and ZIP code where you live can significantly impact your car insurance rates. Insurers often charge more in areas with higher crime rates due to an increased likelihood of claims.

In most New York cities, Kemper offers the lowest rates, averaging about $608 per year for full coverage in Rochester. Drivers in New York City pay around $1,635 per year with Progressive.

Use our table below to compare the average car insurance rates per city.

Most states, including New York, require bodily injury liability (BIL) and property damage liability (PDL). But on top of these, New York also requires personal injury protection and uninsured/underinsured motorist coverage.

A minimum coverage policy in New York must include bodily injury liability, liability for death, property damage liability, uninsured/underinsured motorist coverage and personal injury protection.

Although a minimum coverage policy might cost less, you may pay more out of pocket if you get into an accident. If your budget allows, we strongly recommend purchasing as much liability coverage as possible. For only a few extra dollars per year, you’ll have added security should you get into an accident.

MoneyGeek advises purchasing bodily injury liability insurance of at least $100,000 per person and $300,000 per accident. We recommend increasing your property damage coverage to at least $100,000 per accident.

If you’re financing or leasing your car, you must purchase comprehensive and collision insurance. Those with new vehicles can also consider purchasing comprehensive and collision coverage.

Comprehensive insurance covers repairing your car if off-road incidents, such as vandalism, theft, fire and weather-related events, damage it. Collision insurance covers the repair of your vehicle in case of a crash or collision with an object (tree, guard rail, telephone pole, pothole) or another car.

All vehicles operated by residents of New York must meet the liability requirements stated in the New York State financial responsibility law. Even cars in storage that aren’t being driven aren't exempt from liability insurance.

If you can't get auto insurance for any reason, other alternatives will satisfy the required financial responsibility:

• Self-insurance: You may apply as a self-insurer if you have more than 25 cars registered under your name. A $5 application fee for each vehicle and proof of financial ability to cover any potential accident claims for each car is required. This means you’ll need lots of extra cash in reserve to cover damage to your vehicle, another person’s car and property and possible lawsuits.
• Surety bonds: This is a reduced-cost alternative to traditional car insurance that could save you money unless you file a claim. A surety bond is a contract that requires a company to pay your financial obligations in case of an accident. Surety bonds cost only a percentage of the bond total. Those with good credit are typically charged 1% to 2.5% of the bond value as a premium. The minimum auto insurance bond or deposit in New York is $25,000, so you’ll have to pay only around $250 to $625 if you have good credit. However, you must pay the entire bond if you file a claim.
• Security deposit with the Department of Motor Vehicles (DMV): You must deposit $150,000 in cash or security. However, depending on your driver profile, you might be asked for additional deposits.

Drivers often have many questions about car insurance costs and service quality. We cover the basics to help you better understand them.