Many Americans struggle with even basic concepts of insurance for a number of reasons. Without a doubt, insurance can be very complex and difficult to understand. What makes insurance even more difficult to comprehend is the fact that insurance laws differ from state to state. Simply because a driver is knowledgeable about insurance in one state doesn’t mean the knowledge applies for other insurance laws in other states. If you’re planning on driving a vehicle in the state of New York, here is everything you need to know about NY insurance laws.
Is auto insurance necessary?
Just as in all states, it is necessary to have auto insurance if you wish to drive in New York. In fact, before you can even register a car in the state of New York, you must prove that you have automobile liability insurance coverage issued in New York. A common trick that many drivers do is get auto insurance only to drop it after car registration. However, it is important to keep in mind that the DMV will suspend both your driver license and vehicle registration if you fail to maintain the coverage. Without a doubt, driving without auto insurance is a risky move that has severe consequences.
What kind of insurance do you need according to NY insurance laws?
New York insurance laws require you to have auto liability insurance coverage. There is also a minimum amount of liability that you must have to qualify for car registration. For a single accident, you should have $10,000 in coverage for property damages. You should have $25,000 in coverage for bodily injury and $50,000 for the death of an individual in an accident. $50,000 in coverage is necessary for the bodily injury of multiple people and $100,000 in coverage is needed for the death of multiple people.
Not only must your auto insurance coverage remain in effect at all times until the registration expires or is canceled, but it must also be issued in the same name as the registrant of the vehicle. It is not permitted for the name of the vehicle registrant to differ from the name of the policyholder for the auto insurance at any point in time. Out-of-state auto insurance is both unacceptable and out of the question.
How many names can there be on a vehicle registrant?
At most, there can only be two names on the registration for a vehicle. One registrant is deemed the primary registrant while the other is the co-registrant. Both registrants must sign the MV-82, which is the Vehicle Registration / Title Application. Also, both names must be present on the insurance ID card.
What do I need to register my vehicle?
Not only do you need an electronic notice of insurance to register your vehicle, but you also need the NYS Insurance ID card. Both are necessary to confirm you have the auto insurance needed to drive a car in the state of New York. Keep in mind that you must register your vehicle within six months of getting a policy with an auto insurance company. The “deadline” is based on the date printed on your NYS Insurance ID card. Just in case you are stopped by police officers, the NYS Insurance ID card can serve as proof of insurance. Therefore, you should keep a copy of the card in your car at all times.
While many drivers strive to learn more about defensive driving in New York and safely evading traffic, few are interested in learning more about NY insurance laws. Fortunately, the information discussed above should serve as a brief overview of everything you need to know about NY insurance laws.