New York, NY Car Insurance
How much does car insurance cost in New York City?
The cost of auto insurance in New York is around $2,273 for a six-month policy or $379 per month on average. As per our 2023 data, National Grange Mutual is the most affordable car insurance company in New York, offering rates as low as $849 for a six-month policy. But remember, while National Grange Mutual's insurance might be less expensive, it may not offer the best coverage for your needs. Keep reading to learn about other reasonably priced alternatives for auto insurance in New York.
In New York state, car insurance costs an approximate total of $1,011 every six months. These rates are also higher than the national average of $742 every six months. It's worth mentioning that around 35% of New York customers believe that they are paying too much for their auto coverage. If you're one of these customers or if you're simply curious about the car insurance options available to you, read on to learn more about New York rates and the factors that impact them.
| Car Insurance in New York City vs. New York | Avg. 6 Mo. Premium |
|---|---|
| New York City Average | $2,273 |
| New York Average | $1,011 |
The cheapest car insurance companies in New York City
National Grange Mutual, the flagship company of Main Street America Insurance, offers the lowest rates in New York City for full coverage insurance. A six-month policy costs an average of $849, or $142 per month.Â
Progressive takes second place with average rates at $1,310 for a six-month policy.
Finally, our third-cheapest carrier in New York City is GEICO. GEICO premiums start at $1,372 for six months.Â
The Zebra's key takeaways about car insurance in New York City:
- The average cost of a car insurance policy in New York City is $2,273 per six-month policy — $379 per month.
- The cheapest company in New York City is National Grange Mutual ($849).
- New York City ranks as the 19th most expensive city for car insurance in New York.
- 35% of Zebra customers in New York City stated they used our product because they were paying too much for car insurance with their current provider.
Are you paying too much for auto insurance?
New York City car insurance rates by company
Our records for 2023 indicate that National Grange Memorial is the most affordable company for full-coverage auto insurance in New York, with rates starting at $142 per month or $849 per six-month policy. Progressive comes in second with a monthly cost of $218 or a total of $1,310 for six months. Both businesses provide a variety of insurance choices to fulfill your automobile insurance needs, but keep in mind that each company may have different qualifications or pricing disparities based on your profile.
For more information on the highest-rated car insurance companies, refer to The Zebra's Customer Satisfaction Survey.
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Cheapest car insurance companies in New York City, NY
| Company | Avg. 6 Mo. Premium |
|---|---|
| National Grange Mutual | $849 |
| Progressive | $1,310 |
| GEICO | $1,372 |
| Travelers | $1,603 |
| USAA | $1,832 |
| State Farm | $2,014 |
| Allstate | $2,064 |
The Zebra’s Dynamic Insurance Rating Tool data methodology
The Zebra’s Dynamic Insurance Rating Tool for home and auto insurance rates utilizes the latest ZIP code-level rate filings from across the U.S., sourced from Quadrant Information Services and S&P Global. These filings, typically updated annually or biennially by insurers, are verified through Quadrant’s QA process and then integrated into The Zebra’s estimator.
The displayed rates are based on a dynamic home and auto profile designed to reflect the content of the page. This profile is tailored to match specific factors such as age, location, and coverage level, which are adjusted based on the page content to show how these variables can impact premiums.
For a comprehensive understanding, see our detailed methodology.
Shop around for the best rates
The most effective way to find affordable car insurance that meets your needs is to shop around and compare rates. With our convenient comparison tools, we'll take care of the difficult work, so you can focus on choosing the best coverage. Enter your ZIP code to view rates from Progressive, State Farm, Allstate, and other top companies to find the ideal and most inexpensive car insurance in New York.
Average car insurance in New York City by rating factor
Finding a car insurance company that covers everything you need without being too expensive can be a real pain. All companies use similar rating factors, but they all do it differently. Some might put a lot of weight on your credit score, while others care more about how many times you've made a claim.
To make sure you're always getting the best prices, you need to get new quotes every six months or so.
Q: I didn't have an accident — Why is my insurance going up?
A:Â End-of-year earnings play a significant role in determining the cost of car insurance in New York, as they consider the revenue generated by premiums compared to the cost of claims paid out to policyholders. Even if you have never made a claim and have an impeccable driving history, you may still face higher rates from some insurance providers due to the increased expenses associated with conducting business in the city.
Auto insurance premiums by age in New York City
Age is among the many factors used when computing insurance rates. Insurance providers use statistics to determine the likelihood of drivers being involved in accidents or making claims. Unfortunately, teenagers have the highest accident rate compared to any other age group. Consequently, they are charged the highest premiums. In New York, the discrepancy between the rates paid by teenage drivers and those in their 20s can be as high as 140%.
Insurance companies aim to manage risk, and insuring a teenage driver can appear disproportionately expensive or unreasonable. Teenagers present a higher risk of accidents, and to balance the increased cost of claims, insurers charge them higher premiums.
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Cheapest car insurance companies for teen drivers in New York City, NY
| Company | Avg. 6 Mo. Premium |
|---|---|
| National Grange Mutual | $2,156 |
| Progressive | $3,479 |
| Travelers | $4,051 |
| GEICO | $4,732 |
| State Farm | $7,006 |
| USAA | $7,203 |
| Allstate | $11,403 |
| Age Bracket | Cheapest Companies | Avg. 6 Mo. Premium |
|---|---|---|
| 20s | National Grange Mutual | $1,105 |
| 30s | National Grange Mutual | $784 |
| 40s | National Grange Mutual | $754 |
| 50s | National Grange Mutual | $766 |
| 60s | National Grange Mutual | $826 |
| 70s | National Grange Mutual | $1,134 |
Zebra Tip:Â The cheapest companies for New York City drivers between 30-40 are National Grange Mutual, GEICO, and Progressive
Based on our data, the age range of 30-39 encompasses the majority of New York drivers. This group typically pays $2,310 every six months. By selecting these providers, savings of 49% are possible.
Auto insurance premiums for minimum coverage in New York City
The insurance rates you pay are closely linked to the level of coverage you select. Based on our research, 31% of New York drivers have the minimum required state coverage. Although drivers are only required to have a certain level of coverage, if you opt for the bare minimum, you run the risk of being underinsured in case of a claim.
You will be charged more for your policy if you add collision coverage or comprehensive coverage, also known as "full coverage" when purchased jointly. However, the additional peace of mind that comes with these coverages can be invaluable. These coverages typically require a deductible, which can vary in amount and will also impact your rate. If you opt for a higher deductible, your rates will be more affordable. On the other hand, if you prefer a lower deductible, you'll have to pay more for your policy.
As New York is a no-fault state, minimum coverage also requires that drivers carry uninsured motorist coverage and personal injury protection (PIP). In addition to that, you should take into account features such as roadside assistance. Including this option in your policy will raise your insurance premium, but The Zebra suggests them since it adds an extra level of protection for you later on.
Q: Can I lower my car insurance coverage?
A: Possibly — if your vehicle is paid off.
Our data analysis revealed that 51% of drivers in New York have owned vehicles. In case you're not leasing or financing your car, you might want to consider whether dropping comprehensive or collision coverage is the best decision for you. We advise that you obtain the actual cash value of your vehicle from a reputable source like Kelley Blue Book. Generally, if your car is valued at less than $4,000, you probably won't need collision coverage. Just remember that if you opt out of these coverages, you'll have to pay for any repair expenses if you're in an accident.
Cheapest car insurance companies for minimum coverage in New York City, NY
| Company | Avg. 6 Mo. Premium |
|---|---|
| National Grange Mutual | $459 |
| GEICO | $678 |
| Progressive | $813 |
| USAA | $814 |
| Travelers | $991 |
| Allstate | $1,159 |
| State Farm | $1,263 |
- Minimum: State liability coverage only
- Basic: State liability + collision and comprehensive (full) coverage
- Better: Better liability limits at 50/100/50. Full coverage included with towing and rental car benefits. May include additional personal medical benefits and uninsured/underinsured motorist coverage.
- Best: Best liability limits at 100/300/50. Full coverage included with better towing and rental car benefits and better personal medical benefits and increased uninsured/underinsured coverage.
Most of our customers in New York opt for the basic level of coverage, but this may not be the best option for everyone. While we understand state minimum coverage is a budget-friendly solution, it does leave you at risk for damages that exceed your liability limits. New York's 25/50/10 liability limits provide coverage for damage you cause up to $25,000 per person in bodily injury, $50,000 per accident in bodily injury and $15,000 for property damage. While this may be sufficient for most standard car accidents, it might not be for bodily injury claims or multi-vehicle accidents. New York is a no-fault state, so drivers must also carry uninsured/underinsured motorist coverage and personal injury protection (PIP).Â
Learn more about insurance laws in New York.
New York City car insurance rates by credit score
For most states, such as New York, determining insurance premiums involves considering credit score. When insurers calculate rates, credit score is just as important as age and driving history. But why is this the case? Analysis of historical data reveals that drivers with lower credit scores tend to file more claims, have coverage gaps, and engage in riskier driving behaviors. Thus, insurance companies perceive individuals with higher credit scores as less risky, leading to reduced rates. Enhancing your credit score can be a practical way to obtain affordable auto insurance.
New York drivers whose credit scores range from 300-579 pay 208% more than those with scores of 800-850, according to our analysis. The data shows that most New York drivers have a credit score categorized as "good (680-719)." In 2023, National Grange Mutual and Progressive are the cheapest insurance options for New York drivers in the credit tier.
Cheapest car insurance companies for bad credit in New York City, NY
| Company | Avg. 6 Mo. Premium |
|---|---|
| GEICO | $1,673 |
| Travelers | $3,164 |
| USAA | $3,542 |
| Allstate | $4,071 |
| State Farm | $4,389 |
| National Grange Mutual | $4,884 |
| Progressive | $10,988 |
Zebra Tip: If you recently improved your credit score, shop around for car insurance!
In New York, car insurance rates are heavily influenced by credit scores. Drivers with "Poor" credit pay 94% more per year for car insurance than those with "Fair" credit, according to our data. If you've taken steps to improve your credit, you might be able to save money on car insurance. Consider checking your credit monitoring service to see if your recent efforts have paid off.
Auto insurance rates with an at-fault accident
The most frequently filed insurance claims pertain to accidents categorized as at-fault and collisions. After an at-fault accident in 2023, the average monthly car insurance rates in New York increased from $379 to $511, marking a 35% rise. The New York-based insurance company that provides the most affordable rates following an at-fault accident is National Grange Mutual, with Progressive coming in as a close second for savings.
To keep your auto insurance rates affordable, it is crucial to avoid accidents and citations and maintain a clean driving record, regardless of where you live. Reckless driving charges, speeding citations, at-fault accidents, and DUIs and DWIs all lead to rate increases. While the duration of the impact on your premium is generally three to five years, DUIs and DWIs can have a more lasting impact on your rates.
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Cheapest car insurance companies after an at-fault accident in New York City, NY
| Company | Avg. 6 Mo. Premium |
|---|---|
| National Grange Mutual | $1,126 |
| Progressive | $1,760 |
| Travelers | $1,945 |
| GEICO | $1,958 |
| USAA | $2,304 |
| State Farm | $2,773 |
| Allstate | $2,900 |
New York City car insurance rates by violation
Below you can see how much different violations and claims will increase your rate in New York City.
Car insurance rate increases after violations and citations in New York City, NY
Why is car insurance in New York City so expensive?
When it comes to auto insurance, New York residents may find themselves paying more than they'd like. This is due to a variety of factors, one of which is the higher cost of living in New York than in other cities, leading insurers to charge more to compensate for this. Your driving history, credit score, and coverage level are all critical factors that impact your rates, but they're not the only ones.
In this piece, we'll explore the reasons why auto insurance in New York can be expensive, even if you're a responsible driver.
Due to where the island of Manhattan is situated, it is at a naturally higher risk for damage incurred from storms and high winds. In fact, the Insurance Information Institute reported that New York, NY ranked the number one metropolitan area at risk for storm surge and hurricane wind[1]. Damage to vehicles and other property caused by storms can cost insurance companies thousands in claim payouts, making this a premiere reason why car insurance in Manhattan is so expensive.Â
If it's within your budget, consider adding comprehensive coverage to your policy. This coverage applies when damage occurs to your car for reasons other than collision— handy in places with high probabilities of weather events.Â
Drivers who live in no-fault states tend to pay more in car insurance premiums due to the state-required insurance laws. In addition to bodily injury and property damage, drivers in no-fault states like New York must also carry uninsured/underinsured motorist coverage and personal injury protection. These additional required coverages add to overall premiums significantly.Â
As one of the busiest and most popular cities in America, New York City experiences its fair share of crime. In Manhattan, there is a higher risk of theft and vandalism to vehicles, causing insurance companies to compensate with higher-than-average premiums.Â
As with many large cities, New York City has a higher population than more remote areas in the state, which means that there are more cars on the road. More cars lead to more accidents in general. The costs of accident-related claims are generally passed along to other drivers in the area through higher premiums — this applies even to safe or infrequent drivers.
Based on our data, only 62% of drivers in New York City are insured, leaving the rest without protection. If you happen to have an accident with an uninsured driver in New York City, you may have to pay for the entire repair cost yourself.
Zebra tip:Â Consider uninsured property damage coverage
If you live in New York City areas with high percentages of uninsured drivers, it's a good idea to carry uninsured motorist coverage (UMPD). This coverage can help if you or your vehicle is damaged by an uninsured or underinsured driver. UMPD coverage typically has a lower deductible and is less expensive than collision coverage. Additionally, the rate increase following a UMPD claim can be significantly less expensive than after a collision claim.
Bundling insurance policies in New York City
Car insurance premiums always seem to be rising, no matter where you live, but there are still ways to save money on your auto coverage. One easy way to save when shopping for a new policy is by bundling your homeowners or renters insurance with your car insurance. By bundling, you may be able to save up to 10% on combined premiums. Discover how combining home and auto insurance can help you save money, no matter where you live.
Don't miss out on potential savings by keeping your car and home insurance policies separate. Spend some time comparing rates from various insurers and see which one offers the best bundling discount.
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Cheapest car insurance companies for bundling home and auto insurance in New York City, NY
| Company | Avg. 6 Mo. Premium |
|---|---|
| National Grange Mutual | $739 |
| Progressive | $1,232 |
| GEICO | $1,235 |
| Travelers | $1,443 |
| State Farm | $1,679 |
| USAA | $1,832 |
| Allstate | $1,857 |
Your insurance rates are not something that you can manage, but the most effective approach to finding economical auto insurance is to compare quotes from a variety of companies. It can be stressful to find a rate that balances coverage with your budget. Remember to consider personal factors that may have an impact on your rate, such as moving, aging, or enhancing your credit score.
It is important to note that some companies are more expensive than others, so don't hesitate to explore all of your options.
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Frequently asked questions
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About The Zebra
The Zebra is not an insurance company. We publish data-backed, expert-reviewed resources to help consumers make more informed insurance decisions.
- The Zebra’s insurance content is written and reviewed for accuracy by licensed insurance agents.
- The Zebra’s insurance editorial content is not subject to review or alteration by insurance companies or partners.
- The Zebra’s editorial team operates independently of the company’s partnerships and commercialization interests, publishing unbiased information for consumer benefit.
- The auto insurance rates published on The Zebra’s pages are based on a comprehensive analysis of car insurance pricing data, evaluating more than 83 million insurance rates from across the United States.