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Cheapest Car Insurance Companies and Quotes in New Jersey

To help you get the most reasonably priced car insurance in New Jersey, MoneyGeek ranked the most affordable companies so you can easily compare car insurance quotes. The insurance prices quoted are based on collision and comprehensive coverage for an average driver.

Average Comprehensive and Collision Rates in New Jersey

These figures are approximate prices for the average driver. The prices may differ depending on several factors like driving record, location and age. Car insurance companies do not have the same underwriting policies. For instance, most companies charge a higher premium for individuals with a DUI or speeding ticket on their record, but the exact rates vary. Insurers may also offer varying discounts for drivers with a clean driving record.

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Cheapest Liability Car Insurance in New Jersey

Some drivers may decide to just get liability-only insurance coverage. This covers damages and medical costs if you are at fault in an accident. However, it does not include your own costs, so you might want to opt for comprehensive and collision insurance if you want increased coverage. Most states have minimum liability requirements, including New Jersey.

GEICO offers the cheapest average annual premiums for the state minimum and 50/100/50 liability-only coverages in New Jersey. Its average annual rates are $499 for a state-minimum policy and $646 for a 50/100/50 liability-only package.

Average Cost for Liability Coverage

The Best Car Insurance Companies in New Jersey for 2021

MoneyGeek’s scoring system uses data from reputable sources like AM Best’s financial strength rating and J.D. Power’s Auto Insurance Study for customer service. MoneyGeek analyzed these rankings along with pricing information to create a unique score out of 100 for each company. By considering different factors, including affordability, client experience and customer service, you can more easily find the best car insurance in New Jersey.

Expand All Rankings +

1

USAAScore: 100
+

5/5

User Satisfaction

5/5

Claims Ratings

5/5

Affordability

A++

Financial Stability

2

New Jersey ManufacturersScore: 97.5
+

5/5

User Satisfaction

5/5

Claims Ratings

5/5

Affordability

A+

Financial Stability

3

GEICOScore: 92.5
+

4/5

User Satisfaction

3/5

Claims Ratings

5/5

Affordability

A++

Financial Stability

4

HartfordScore: 87.5
+

4/5

User Satisfaction

3/5

Claims Ratings

4/5

Affordability

A+

Financial Stability

5

State FarmScore: 85
+

3/5

User Satisfaction

3/5

Claims Ratings

3/5

Affordability

A++

Financial Stability

6

TravelersScore: 85
+

2/5

User Satisfaction

5/5

Claims Ratings

2/5

Affordability

A++

Financial Stability

7

ProgressiveScore: 80
+

2/5

User Satisfaction

3/5

Claims Ratings

3/5

Affordability

A+

Financial Stability

8

NationwideScore: 77.5
+

2/5

User Satisfaction

3/5

Claims Ratings

2/5

Affordability

A+

Financial Stability

9

FarmersScore: 75
+

2/5

User Satisfaction

2/5

Claims Ratings

3/5

Affordability

A

Financial Stability

10

CSAAScore: 75
+

2/5

User Satisfaction

2/5

Claims Ratings

3/5

Affordability

A

Financial Stability

While USAA scores highly in many areas, this provider is only available to military members, veterans and their families.

Market Share by Company

According to the National Association of Insurance Commissioners, GEICO has the greatest market share in New Jersey with 13.10%, followed by Progressive Auto Insurance at 11.60% and Allstate at 10.49%. Check out the top insurers in New Jersey listed below.

Insurance Rates

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Ensure you're getting the best rate for your auto insurance. Compare quotes from the top insurance companies.

What Is the Average Cost of Car Insurance in New Jersey?

Many varying factors determine auto insurance premiums. MoneyGeek calculated the average rates for comprehensive and collision insurance for a 40-year-old male driving a Toyota Camry. New Jersey rates are not entirely the same across the board. The car insurance premium you pay depends on many factors like your age, driving history, location and coverage level.

  • Average Driver: $1,674
  • DUI: $3,320
  • Speeding Ticket: $2,259
  • Poor Credit Score: $3,409
  • Seniors: $1,465
  • Students: $3,906

Cheapest Car Insurance for Drivers With a DUI in New Jersey

Getting a DUI will impact the cost of your auto insurance. The percentage of adults who reported driving after drinking too much (in the 30 days prior to being surveyed) was 1.0% in New Jersey, according to a study done by the Centers for Disease Control and Prevention. Additionally, 1,459 people were killed in alcohol-related car crashes in New York from 2009-2018.

The financial repercussions of getting a DUI are costly and can range from court and legal fees to alcohol education treatment programs. Your insurance rate will also see a spike in cost in addition to the legal fees. The following auto insurance rates show what drivers who receive a DUI in New Jersey can expect to pay for insurance.

Average Car Insurance Rates With a DUI

While each insurance company calculates premiums differently, getting a DUI could cost you up to $40,000 over the course of 13 years. Your rate increase will depend on your insurance company, location and driving record. To avoid increased premiums, don't drink and drive.

Cheapest Car Insurance With Tickets in New Jersey

The National Highway Traffic Safety Administration reports that 525 crashes in New Jersey were caused by distracted driving. Getting a ticket because of distracted driving or speeding can cause your car insurance rates to increase since distracted drivers are more likely to get into an accident.

Here's what drivers in New Jersey might pay for auto insurance if they get a ticket for speeding or distracted driving.

Average Car Insurance Rates With a Ticket

Getting a ticket for speeding or for distracted driving could cause your auto insurance rates to go up. If you want to avoid rate increases, stay focused on the road and don't speed.

Cheapest Car Insurance Companies in New Jersey for Drivers With Bad Credit

Data from Experian shows that the average FICO score in New Jersey is 714. It's not uncommon for insurance agencies to look at credit scores when determining premiums. This is because research has shown that credit scores can be indicators of your likelihood of filing an insurance claim.

The following breakdown shows estimates of auto insurance prices for people with bad credit scores.

Average Car Insurance Rates for Drivers With Bad Credit

Want lower car insurance rates? Take the time to raise your credit score. Doing this could help you save money in the long run.

Cheapest Car Insurance Companies in New Jersey for Seniors

In a study done by National Highway Traffic Safety Administration, 16% of fatal car crashes in New Jersey in 2017 were caused by drivers older than 65.

Senior drivers in New Jersey who want to get the best rates should ask for discounts if they complete driver safety courses, drive infrequently or have a vehicle with safety features. Taking the time to compare car insurance rates can also ensure they get the most affordable policy for their needs.

The following chart shows estimates of how much seniors in New Jersey can expect to pay for car insurance.

Average Car Insurance Rates for Seniors

According to NOLO, New Jersey does not have special provisions for senior drivers. Like other drivers, senior drivers in New Jersey must renew their licenses every four years.

Cheapest Car Insurance for Students in New Jersey

Helping your teen comparison shop for insurance or lowering your premium by raising your deductible if you add your teen to your policy can help keep costs affordable. Just keep in mind that you pay more out of pocket if you raise your deductible and your teen gets into an accident.

If you're an out-of-state student attending a New Jersey school and you are younger than 21, you must complete New Jersey's mandatory Graduated Driver License (GDL) program requirements. If you're a New Jersey resident attending college in a different state, let your insurance company know if you'll be using the car in another state for more than 30 days a year. Think twice before loaning a car to friends because New Jersey holds the vehicle owner liable for damages if the driver isn't insured or doesn't have enough coverage.

The following table outlines estimates of what parents can expect to pay when adding a young driver to their policy.

Average Car Insurance Rates for Students

Insurance Rate Information for Military Drivers and Veterans

New Jersey has more than than 7,000 active-duty military personnel living in the state along with over 400,000 veterans. Most insurance companies voluntarily offer military discounts both to show appreciation for those who serve and to stay competitive with other insurance companies. Because your vehicle's worth and your driving record are factors in setting your insurance rate, it pays to shop around before buying coverage.

Once you have insurance on the vehicle, you also enjoy special benefits with the New Jersey DMV. If you join the U.S. Armed Forces and already have a valid New Jersey registration, you can get a refund for the remainder of the registration period by writing a letter and submitting a form. Service-disabled or blind veterans can qualify for free registration under certain conditions.

Average Rates for New Jersey service members

male
25 years$2,032
50 years$1,502
female
25 years$1,831
50 years$1,498

Car Insurance in New Jersey: What You Need to Know

All motor vehicle owners in New Jersey must have insurance to legally operate a vehicle on state roads.

Proof of Insurance in New Jersey

All drivers must show proof of insurance when registering a car or truck with the New Jersey Motor Vehicle Commission or when stopped by a police officer. Failure to show proof of insurance can lead to driver's license suspension and revoked registration. Proof of insurance can consist of a paper or electronic New Jersey Insurance Identification Card for each vehicle under your policy.

Minimum Liability Insurance Requirements in New Jersey

New Jersey law has some of the lowest liability insurance requirements in the country, but it also requires personal injury protection. Drivers can select a basic policy that offers very little liability protection and a standard policy that offers more. The state says this option should only be considered “by those with few family responsibilities and few real assets,” but it is available to all drivers.

A basic policy provides the bare minimum auto insurance coverage mandated by the state:

  • No bodily injury liability coverage included
  • $5,000 property damage liability per accident
  • $15,000 of personal injury protection per person or accident (up to $250,000 of personal injury protection for severe or permanent injuries)

With a standard policy, you get a minimum of:

  • $15,000 of bodily injury liability insurance per person; $30,000 per accident
  • $5,000 of property damage liability per accident
  • $15,000 of personal injury protection per person or accident (up to $250,000 of personal injury protection for severe or permanent injuries)

If you choose the standard policy, you also have to check a box choosing between an unlimited or limited right to sue. If you do not make a choice, the state insurance department warns that you may have only a limited right to sue following a car accident. As for the basic policy, only the “limited right to sue” option is available.

Alternatives to Insurance in New Jersey

Auto insurance is mandatory in New Jersey, but the type and cost of that coverage can vary significantly. The Automobile Insurance Cost Reduction Act mandated that a basic policy be available to all drivers.

High-Risk Auto Insurance Program in New Jersey

NJPAIP Insurance is the assigned risk pool for drivers unable to obtain coverage in the New Jersey auto insurance voluntary market.

How Much Coverage Do You Need in New Jersey?

Experts advise that you get much higher liability coverage than the state requires if you can afford it. Consumer and insurance experts recommend liability coverage of $100,000 per injury and $300,000 per accident. You may also want to consider comprehensive and collision insurance to protect your car, as well as uninsured motorist coverage in case a driver hits you without insurance.

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Insurance Rates

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Ensure you're getting the best rate for your auto insurance. Compare quotes from the top insurance companies.

About the Author


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Laura Longero is an award-winning journalist who has 15 years of experience in the industry across content creation, writing and editing, communications and storytelling. She spends her free time wrangling her kids, reading and pinching pennies.


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