Car Insurance for Bad Credit in New York
How credit affects car insurance in New York, which states ban it, and how to get a lower rate with poor credit.
- Cited from NAIC & the New York DOI
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Updated August 2026
In most states insurers use a credit-based insurance score as one rating factor, and a lower score can raise your premium. A few states — California, Hawaii and Massachusetts — prohibit using credit for auto rates, and others restrict it; where it is allowed, it can matter a lot.
If credit is used in New York, drivers with weaker credit often pay noticeably more than the state average for the same coverage. The average New York driver pays about $1,753/yr (NAIC, 2023) across all drivers. The New York state minimum is 25/50/10 ($25k bodily injury per person, $50k per accident, $10k property damage).
What helps when your credit is a factor: compare carriers (they weight credit differently), keep coverage continuous, correct errors on your credit report, and revisit rates as your score improves — many insurers re-rate you at renewal.
Compare New York quotes across several carriers below; the spread is often widest for credit-sensitive profiles. New York Dept. of Insurance →
New York car insurance for bad credit FAQ
Can I get car insurance with bad credit in New York?
Yes. Coverage is available regardless of credit; the difference is price. Comparing carriers matters most here because they weight credit differently.
Do all states use credit for car insurance?
No. California, Hawaii and Massachusetts prohibit credit-based auto rating, and several other states restrict it. Elsewhere it is a common rating factor.
How can I lower my rate with poor credit in New York?
Shop multiple carriers, keep coverage continuous, fix credit-report errors, and re-shop as your score improves since insurers often re-rate at renewal.