Car Insurance in Florida vs. New Jersey: Costs, Laws and Resources

If you're traveling from Florida to New Jersey or vice versa, you'll need to consider car insurance requirements. For instance, both states require property damage liability per accident, but Florida requires a coverage of $10,000, whereas New Jersey only requires $5,000.

MoneyGeek analyzed insurance regulations, criteria and costs in its car insurance Florida vs. New Jersey review to help you find the best auto insurance policy for your needs.

Florida car insurance laws only require property damage liability and personal injury protection (PIP). Car insurance laws in New Jersey, meanwhile, require a minimum liability insurance coverage of $15,000 per person for injury or death, $30,000 per accident for all injuries and $5,000 for property damage. This is in addition to a minimum of $15,000 in PIP.

The average cost of state-minimum coverage in Florida is $1,123, whereas, in New Jersey, it’s $1,018. State car insurance laws are just one of several factors that affect the cost of premiums; population density and frequency of accidents also impact that rate that you receive.

Florida and New Jersey are “no-fault” states, which could contribute to higher car insurance premiums. This means that drivers are accountable for vehicle damage and medical expenditures regardless of who caused the crash.

To put it another way, no-fault vehicle insurance regulations require each motorist to file a claim with their own insurance company following an accident. As part of their auto insurance policy, all no-fault drivers must purchase personal injury protection.

According to MoneyGeek's analysis, the following are the cheapest insurance companies in Florida and New Jersey, based on average minimum coverage policies:

• Cheapest in Florida: GEICO ($590 per year)
• Cheapest in New Jersey: GEICO ($499 per year)

GEICO is the cheapest insurer in both states, although its insurance policies in Florida are more expensive than those in New Jersey. This demonstrates how rates can differ significantly from one state to the next.

Despite having the lowest annual rates in Florida, at $406, USAA's policies are exclusively available to current and former military personnel and their families.

The level of coverage impacts the cost of auto insurance in Florida vs. New Jersey. Florida's premiums are much more expensive than New Jersey's for both minimal and full coverage options.

In Florida, the average annual cost for a minimum coverage policy is $1,123, whereas in New Jersey, it is $1,018. On average, full coverage policies in Florida and New Jersey cost $2,208 and $1,674 per year, respectively. But because rates are based on a variety of other factors, your final price may differ.

Several factors affect auto insurance premiums, which explains why rates in Florida are greater than in New Jersey. While both states have higher auto premiums than other states because of their no-fault status, Florida also has a higher percentage of uninsured drivers. This translates to higher insurance costs in the state.

The cost of auto insurance varies greatly depending on where you live within a state. In Florida, Gainesville has the cheapest auto insurance policies at an average of $693 per year, while Hialeah has the most expensive policies at $1,461 per year. Meanwhile, in New Jersey, the cheapest and most expensive policies can be found in Jersey City and Paterson at $960 and $1,089 per year, respectively.

While all states have identical car insurance standards, other factors such as population density and cost discrepancies between cities impact the cost of your premium.

When you move from Florida to New Jersey or vice versa, you'll need to transition your driver's license and registration. You may be able to keep your current insurer if you are happy with it, but rates may change to reflect the new state's risks and coverage requirements.

In the interest of looking for a new insurance provider, MoneyGeek included numerous resources to help you find the best policy for you.

MoneyGeek answers some frequently asked questions regarding vehicle insurance in Florida and New Jersey to help you make an informed choice about a policy that fits your every need.

To calculate average car insurance rates by company and across Florida and New Jersey, MoneyGeek collaborated with Quadrant Information Services to collect auto insurance quotes from both locations. We used a sample profile for a 40-year-old driver with a clean driving record and minimum coverage unless modified by criteria like coverage level, age, driving offenses and credit score. Learn more about how costs are calculated in our MoneyGeek car insurance methodology.

Minimum car insurance requirements by state were sourced from the Department of Motor Vehicles (DMV) of the respective state.