The state of New York considers the ownership of PIP (Personal Injury Protection), liability and uninsured/underinsured motorist coverage as mandatory, and it is required for anyone driving a motor vehicle to own it. This coverage must be acquired only with insurance companies authorized to insure in the state of New York and also must be licensed by the New York State Insurance Department.

NY is a no-fault state which means that no matter if you are not the responsible person in an accident; each involved party will take care of its own expenses with their own auto insurance coverage.

Minimum liability insurance coverage required by this state is of:

• $25,000 to $50,000 for injuries,
• $50,000 to $100,000 for death.

Liability Insurance will help pay for injuries or deaths that the insured may cause in an accident. It will only pay for what the insured causes to others; never will it pay for any expense the insured has for him or her. Owning enough liability coverage may help you avoid getting sewed or having to compromise your assets to pay for medical bills.

Uninsured / Underinsured motorist is complementary to the liability coverage, this coverage will pay for when the person responsible for the accident does not own enough liability coverage or completely lack of it. Your insurance company is then enabled to pursuit the uninsured or underinsured motorist for reimbursement.
When registering your vehicle, the DMV requires you show proof of owning an insurance policy, this can also be requested by any law enforcement when pulling you over. To provide this proof you can show the insurance ID card your insurance company will provide you with. Your insurance company is also required to file an electronic notice to the DMV notifying you acquired, renewed or cancelled your policy. However this electronic notice alone is not enough proof of having an auto insurance policy.

There are other commonly bought additional coverage available to widen your protection options, such as Collision and Comprehensive.

Collision Coverage will pay for any reparations your vehicle can require after being in a collision, regardless the intensity of it, so for a fender bender or a collision when parking , up to a head on collision in a highway, this coverage will pay to fix it and have your vehicle restored to be driven again.

Comprehensive coverage will also help pay for physical damage caused to your vehicle, but unlike Collision, this coverage type pays for any damage caused by non driving events or collisions with other different than another vehicle, like hitting a deer on a road. Comprehensive will pay to fix your vehicle by any damage caused by extreme weather, such as floods, fires, high winds, etc. So it is highly recommended for states that are known to have these type of weather events. It will also pay for reparations derived from a theft, for example a broken window, forced door, or damaged dashboard. It also includes coverage for vandalism and riots.