By Ruben Sevumyants, founder of Pomogu
For many newcomers, a car is what makes work, school and errands possible beyond public transit. It is also one of the biggest purchases of your first year, and insurance, paperwork and loans work differently than at home. Here is what the three states and federal agencies say about minimum insurance, registering a car, choosing a seller, financing and avoiding scams. Figures are current as of November 2026.
This is general information, not legal or insurance advice. Pomogu is not a law firm and not an insurance agency or broker.
New York. You need New York-issued liability insurance before you can register a car. The DMV does not accept out-of-state insurance, and the name on your insurance must match the name on your registration exactly. Register within 180 days of the date on your insurance ID card.
New Jersey. To title and register a used car, the Motor Vehicle Commission (MVC) asks for proof of New Jersey insurance. You also show it at inspection.
Pennsylvania. A current insurance ID card is required to register a car. A lapse in coverage may lead to suspension of your registration, and insurers report cancelled policies to PennDOT.
Get insurance quotes before you choose a car: the make, model and value of a car affect the price.
Liability. At least $25,000 for bodily injury to one person and $50,000 for two or more people ($50,000 and $100,000 if the injuries result in death), plus $10,000 for damage to other people's property. This is often called 25/50/10.
No-fault (Personal Injury Protection, PIP). $50,000.
Uninsured motorists. Required, with the same $25,000/$50,000 bodily injury minimums.
The Department of Financial Services (DFS) advises considering higher liability limits depending on what you have to protect.
Standard Policy. Chosen by most New Jersey drivers. Since January 1, 2026, the minimum liability for new and renewed policies is $35,000 per person and $70,000 per accident for bodily injury, plus $25,000 for property damage. PIP starts at $15,000, with up to $250,000 for certain serious injuries. Uninsured/underinsured motorist coverage is available.
Basic Policy. Usually much cheaper, but limited: $5,000 property damage liability and $15,000 PIP (up to $250,000 for certain serious injuries). Bodily injury liability is not included; $10,000 is available as an option. There is no uninsured motorist coverage. The Department of Banking and Insurance (DOBI) says it may suit people with few family responsibilities and few assets.
Right to sue. With a Standard Policy you choose between an unlimited and a limited right to sue for pain and suffering. With the limited option, you can sue for pain and suffering only for certain serious injuries the state lists, such as a displaced fracture or a permanent injury. Your choice affects the price.
Medical benefits. At least $5,000.
Bodily injury liability. At least $15,000 per person and $30,000 per accident.
Property damage liability. At least $5,000. Some companies offer a $35,000 combined single limit that meets both liability minimums.
Limited or full tort. Limited tort lowers your premium, but you can't recover certain damages, such as pain and suffering, unless the injury meets an exception in the law. Full tort keeps your rights unrestricted. If you don't specifically choose limited tort, you are treated as having chosen full tort.
How prices are set. New Jersey's insurance department lists driving record, years of driving experience, the car, where you keep it and, at some companies, a credit-based insurance score among the factors. Prices differ from company to company, so compare several.
No U.S. driving history. Without a U.S. record, an insurer may price you like a new driver. Expect questions about your license, how long you have driven, past accidents and earlier insurance. Many newcomers bring a driving record from their home country or a letter from their former insurer confirming years without claims, with a translation. Whether a company gives credit for these papers depends on the insurer, so ask before you buy and get the answer in writing.
Credit limits. In New Jersey, insurers may not use your insurance score to deny, cancel or non-renew coverage. In Pennsylvania, companies can't use credit history to raise your rate at renewal, and they may not charge different rates based on national origin.
If no one will insure you. New York and Pennsylvania each have an assigned risk plan that offers coverage as a last resort. New York's DFS notes that premiums there are generally higher, so shop the regular market first.
New York
From a dealer. Most dealers send your registration and title application to the DMV and can charge $175 for this.
From a private seller. The seller signs the transfer section of the title and a bill of sale (form MV-912 works). You register at a DMV office and pay sales tax and fees there.
Inspection. Cars are inspected every 12 months and when ownership changes. A dealer must inspect the car within 30 days before delivery. After a private sale you get a 10-day inspection extension; the previous owner's inspection is not valid for you.
New Jersey
Transfer in person. Ownership is transferred only at an MVC agency, not by mail. The seller signs the back of the title and gives you a bill of sale with your name and address, the date, the odometer reading and the price. You sign and add your driver's license number.
What to bring. The signed title, form BA-49, your license or ID, proof of New Jersey insurance, and payment. The title fee is $60, or $85 with one lien. Sales tax is due too.
Deadline. Transfer the title within 10 working days of the sale to avoid a $25 penalty.
Inspection. Cars are inspected every two years; new cars get five years. Bring your license, registration and New Jersey insurance card.
Pennsylvania
Meet at an agent. PennDOT recommends that buyer and seller meet at a notary, tag service or dealer so the title is completed correctly. The seller's signature on a Pennsylvania title must be notarized or verified.
ID first. To title a car, PennDOT accepts only Pennsylvania-issued photo ID or certain military IDs. New residents must get a Pennsylvania driver's license or photo ID card first, and documents go only to a Pennsylvania street address.
Inspection. Safety inspection is yearly. A used car must be inspected within 10 days of sale unless it shows a valid sticker, and some counties also require emissions testing.
The Buyers Guide. Under the FTC's Used Car Rule, a dealer must display a Buyers Guide on each used car. It shows whether the car is sold "as is," with implied warranties only, or with a warranty. The final Guide becomes part of your contract and overrides anything in the contract that says otherwise. The rule requires a Spanish version for sales in Spanish, but not a Russian one, so bring someone you trust if your English is limited.
New York used car lemon law. A New York dealer must give a written warranty on many used cars: price at least $1,500, under 100,000 miles. Depending on mileage, it lasts 90 days or 4,000 miles, 60 days or 3,000 miles, or 30 days or 1,000 miles. If the defect remains after three repairs, or the car is out of service 15 days or more, you can request arbitration through the Attorney General.
New Jersey used car lemon law. Licensed dealers must give a warranty on cars up to seven model years old, with no more than 100,000 miles, priced $3,000 or more and never declared a total loss. It lasts 90 days or 3,000 miles, 60 days or 2,000 miles, or 30 days or 1,000 miles, depending on mileage. Cars sold "as is" and private sales are not covered.
Private sales. The New York DMV warns that buying privately usually means no warranty and none of the dealer protections. Check that the title is in the seller's name, with a lien release if there was a loan, ask for ID, and confirm the VIN plate on the car matches the title. Pay by cashier's check rather than cash.
Check the history. The federal NMVTIS system (vehiclehistory.gov) lists approved providers that report a car's title, brands such as "salvage" or "flood," the last odometer reading and total loss records. A clean report can still miss problems, so also have an independent mechanic look at the car. The National Insurance Crime Bureau's free VINCheck shows whether a car was reported stolen or salvaged.
Shop before the dealership. The CFPB suggests getting preapproved by a bank or credit union and comparing quotes from several lenders before you go in. The first offer may not be the best rate you qualify for.
Compare APRs. The APR includes the interest rate plus lender fees. Federal law requires lenders to show the APR before you sign, so compare APR to APR.
Watch the term. A longer loan lowers the monthly payment but costs more in interest.
Add-ons are optional. Extended warranties, service contracts, GAP insurance, credit insurance and extras like window tinting are not required, and their prices are negotiable. Dealer fees can be negotiated too; taxes, title and registration fees can't.
"Buy here, pay here" lots. They advertise to people without credit, but rates tend to be higher, and they often report only late payments to credit bureaus. If you use one, ask in writing that they report your on-time payments.
ITIN and co-signers. A CFPB report notes that some financial providers do not readily accept an ITIN instead of a Social Security number; others do. Ask each lender before you apply. A co-signer can help you qualify, but they must repay if you can't.
Insurance is required. If you let it lapse, the lender may buy "force-placed" coverage that costs more than your own.
If you feel pressured to sign, the CFPB's advice is simple: walk away.
Curbstoning. Unlicensed sellers pose as private owners or dealers. The New York DMV warns about "dealers" with no place of business, out-of-state dealer paperwork or plates, and temporary plates not issued by the New York DMV.
Stolen and cloned cars. In 2024, the New York DMV reported that 149 of the 228 stolen cars it had recovered by mid-October had been bought after the buyer saw them on Facebook Marketplace or similar sites.
Title washing. A brand like "salvage" can disappear when a car is retitled in a state that doesn't check other states' records. NMVTIS keeps every reported brand, which is why the check matters.
Flood cars. After storms, flooded cars are moved and retitled elsewhere. Water can damage the engine, wiring, airbags and computers without visible signs. Look under the mats for dampness. In New York, sellers of rebuilt salvage cars must give a written disclosure.
Insurance. New York DFS (its complaint form is available in Russian), New Jersey DOBI's Consumer Inquiry and Response Center, or the Pennsylvania Insurance Department's online portal.
Dealers. In New York, first try the business, then file form VS-35 with the DMV; used car lemon law claims go to the Attorney General. In New Jersey, use the Division of Consumer Affairs, including its used car lemon law complaint. In Pennsylvania, file with the Attorney General's Bureau of Consumer Protection, which offers mediation.
Auto loans. The CFPB accepts complaints about vehicle loans and leases; most companies respond within 15 days.
Fraud. Report scams at ReportFraud.ftc.gov. The FTC doesn't resolve individual reports, but shares them with more than 2,000 law enforcement agencies.
New York insurance requirements: dmv.ny.gov/insurance/insurance-requirements
New York required coverages: dfs.ny.gov/faqs/consumer-auto/what-auto-coverages-do-i-need
New Jersey Standard and Basic policies: nj.gov/dobi/division_consumers/insurance/standardpolicy.html
Pennsylvania auto insurance: pa.gov/agencies/insurance/consumer-help-center/learn-about-insurance/auto-insurance
New York inspections: dmv.ny.gov/inspections/about-new-york-state-inspections
New Jersey title transfer: nj.gov/mvc/vehicles/transowner.htm
Pennsylvania buying or selling a vehicle: pa.gov/agencies/dmv/vehicle-services/title-and-registration/buying-or-selling-a-vehicle
FTC Used Car Rule: ecfr.gov/current/title-16/chapter-I/subchapter-D/part-455
New York used car lemon law: ag.ny.gov/resources/individuals/car-auto/used-car-lemon-law-fact-sheet
Vehicle history (NMVTIS): vehiclehistory.bja.ojp.gov/nmvtis_consumers
CFPB, negotiating a car loan: consumerfinance.gov/ask-cfpb/what-things-can-i-negotiate-when-shopping-for-a-car-or-auto-loan-en-2132
New York DMV car sale scams: dmv.ny.gov/news/dmv-warns-consumers-of-surge-in-car-sales-scams
New York DFS complaints: dfs.ny.gov/complaint
New Jersey DOBI complaints: nj.gov/dobi/consumer.htm
New Jersey Division of Consumer Affairs complaints: njconsumeraffairs.nj.gov/file-a-complaint
Pennsylvania Attorney General complaints: attorneygeneral.gov/submit-a-complaint/consumer-en
FTC fraud reports: reportfraud.ftc.gov
Ruben Sevumyants, Pomogu — pomogusa.com