What is the NY Auto Insurance Liability Rule?

What Are The Rules For Auto Insurance Liabilities In New York

Under the NY auto insurance liability rule, all drivers must carry a certain amount of this type of insurance protection on their vehicles.

New York operates under a no-fault system for car insurance coverage purposes, which means that Personal Injury Protection (PIP) coverage is required.

The minimum level required by law is $50,000. This is the part of the policy which compensates the policyholder, his or her family members and passengers riding in the vehicle who don’t have their own PIP coverage for their “reasonable and necessary” medical expenses following an accident.

Liability coverage is also a requirement under NY state law. Drivers must have at least $25,000 in protection to pay for the injuries and damages claimed by one occupant of the other vehicle in an accident and $50,000 to pay for all injuries and damages resulting from the same incident.