Best Cheap Car Insurance Companies for High-Risk Drivers in New Jersey

Insurance companies generally charge more to insure high-risk drivers as they are seen as more likely to file a claim. If you have a history of driving violations and want the cheapest policy, it’s best to shop around and compare quotes from different insurers.

MoneyGeek’s analysis shows that GEICO offers the best and cheapest high-risk auto insurance in New Jersey. The policy costs roughly $1,553 per year.

Insurance companies will consider you a high-risk driver if you have a DUI conviction or a history of at-fault accidents or speeding tickets. Such drivers pay higher rates for a policy because they may be more likely to file a claim. You are also high-risk if you’re a young driver that has little experience.

Based on MoneyGeek’s analysis, the insurance cost in New Jersey for a high-risk driver is around 35% more than for a driver with a clean driving record.

MoneyGeek's analysis of different insurance companies shows that GEICO offers the cheapest high-risk car insurance quotes in New Jersey. On average, a policy costs $1,553 per year. You can read our review of GEICO's auto insurance to understand the company's pros and cons and policy details.

MoneyGeek analyzed several insurance companies and found that GEICO is the best option for high-risk drivers in New Jersey. The company scored 96 out of 100 based on our rating system. MoneyGeek’s GEICO auto insurance review can help you understand its available coverage details and decide if it’s the ideal option based on your needs.

With a score of 81 out of 100, Progressive is the runner-up for high-risk auto insurance in the state. Our review of the company’s coverages, discounts and other policy details can help you make a decision.

MoneyGeek found that New Jersey drivers looking for car insurance with a DUI on their record can benefit the most from Progressive auto insurance. The average high-risk driver policy cost is $1,789 per year. If you want more information about Progressive’s coverages and discounts, read our review of its auto insurance.

If you have a military background and a DUI conviction, USAA could also be a cheap option for you.

Finding a cheap insurance provider as a young driver might be challenging. MoneyGeek’s research shows that GEICO is the most affordable option for teen drivers in New Jersey, charging an average of $2,912 per year. Our review of its pros and cons will help you evaluate if it’s the best option for your needs.

Insurers generally consider it risky to insure drivers with bad credit because they may be more likely to file a claim. Based on MoneyGeek’s analysis, GEICO offers the most affordable high-risk auto insurance policy for drivers with bad credit in New Jersey. On average, it charges $2,310 annually.

Your driving history and overall profile significantly impact your car insurance rate. Insurers will give you expensive quotes if you have a bad driving record or lack driving experience.

MoneyGeek found that the average insurance cost for New Jersey drivers with a clean record is $1,795 per year. However, this average cost increases to $2,906 annually if you’re a high-risk driver. On average, high-risk car insurance costs $1,111 more.

Using MoneyGeek’s New Jersey car insurance calculator is an easy way of estimating your monthly car insurance payment. It’s a helpful tool for drivers looking to get an idea of their insurance cost based on factors like age, driving record, coverage and other essential details.

You should understand that insurance is a voluntary market, which means that car insurance companies can deny you a policy if they analyze your details and find it too risky to insure you. However, even if you get rejected by insurers, you can still get a residual market plan through the Automobile Insurance Plan Service Office (AIPSO). This organization helps high-risk drivers find coverage that fits their needs and has been operating for the past 45 years.

The Automobile Insurance Plan Service Office (AIPSO) database helps drivers find the available residual market plan based on location. New Jersey’s residual market plan is called the New Jersey Automobile Insurance Plan (NJAIP). It makes personal private passenger and commercial automobile insurance coverage available for qualified applicants. The NJAIP is overseen by a Governing Committee and a Plan of Operation approved by the Commissioner.

Buying a car insurance policy as a high-risk driver can be complicated. The following frequently asked questions will help you understand how high-risk car insurance works in New Jersey.

MoneyGeek calculated average rates using full coverage car insurance policies with 100/300/100 liability insurance and comprehensive and collision coverage with a $1,000 deductible. Minimum coverage car insurance policy rates were calculated based on each state’s minimum car insurance requirement.

To calculate rates for high-risk drivers, MoneyGeek averaged the premiums insurance companies charge for three of the most common driving violations: speeding, at-fault accident and DUI.

To determine the best car insurance company for high-risk drivers, MoneyGeek scored companies based on affordability, customer satisfaction and complaints — obtained from J.D. Power surveys and NAIC complaint scores — and financial strength ratings as calculated by AM Best. Affordability received the greatest weighting in our calculations.