New Jersey's average home insurance premium costs $148 per month or $1,771 annually. That's $141 less monthly than the national average, saving residents $1,696 per year. New Jersey ranks 35th most expensive nationwide for home insurance coverage.
Average Home Insurance Cost in New Jersey
Updated: January 6, 2026
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Key Takeaways: New Jersey Home Insurance Rates
New Jersey home insurance costs average $148 monthly or $1,771 annually, ranking as the thirty-fifth most affordable state for homeowners coverage.
Determine your coverage needs, gather multiple quotes and research providers to find the best home insurance in New Jersey at competitive rates.
MoneyGeek's free home insurance calculator helps you estimate costs in seconds without entering any personal information.
How Much Is Home Insurance in New Jersey?
| New Jersey | $1,771 | $3,467 | -49% |
*These rates are for a frame construction home built in 2000 with $250,000 dwelling, $125,000 personal property, $200,000 liability coverage and a $1,000 deductible.
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$220
High
$144
Average
$104
Low
Rates updated:
Feb 03, 2026
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What Affects Average New Jersey Home Insurance Costs?
New Jersey home insurance costs vary based on multiple factors. Your location, coverage limits, home construction materials, insurance company, credit score and claims history all affect your premium. Each of these elements plays a different role in determining what you pay for coverage.
Average Cost of New Jersey Home Insurance by Company
The insurance company you choose makes a huge difference in New Jersey home insurance costs. Plymouth Rock charges an average of $2,808 per year, while Chubb costs just $953 annually. That means the most expensive provider costs nearly three times more than the most affordable option.
| Chubb | $79 | $953 |
| Farmers | $110 | $1,325 |
| State Farm | $111 | $1,332 |
| USAA | $113 | $1,359 |
| Progressive | $136 | $1,630 |
| New Jersey Skylands | $149 | $1,783 |
| Narragansett Bay Insurance Company | $169 | $2,032 |
| The Hanover | $227 | $2,721 |
| Plymouth Rock | $234 | $2,808 |
Average New Jersey Home Insurance Cost by City
Home insurance costs differ across New Jersey cities based on local factors. Property values, housing age, and weather risks create premium variations between locations. These city-specific conditions may cause rate differences throughout the state.
| Clarksboro | $143 | $1,722 |
| Elizabeth | $139 | $1,662 |
| Elizabethport | $142 | $1,707 |
| Ho Ho Kus | $125 | $1,496 |
| Jersey City | $159 | $1,913 |
| Newark | $169 | $2,024 |
| Paterson | $145 | $1,741 |
| Plainfield | $129 | $1,543 |
Average New Jersey Homeowners Insurance Pricing by Coverage Level
New Jersey homeowners pay between $957 and $5,366 annually for home insurance, depending on their coverage levels. Higher dwelling coverage limits and lower deductibles push premiums up, while choosing lower coverage amounts and higher deductibles brings costs down.
| $100K Dwelling / $50K Personal Property / $100K Liability | $80 | $957 |
| $250K Dwelling / $125K Personal Property / $200K Liability | $148 | $1,771 |
| $500K Dwelling / $250K Personal Property / $300K Liability | $241 | $2,893 |
| $750K Dwelling / $375K Personal Property / $500K Liability | $344 | $4,131 |
| $1MM Dwelling / $500K Personal Property / $1MM Liability | $447 | $5,366 |
Average New Jersey Home Insurance Cost by Credit Score
Your credit score directly affects your New Jersey home insurance costs. Insurers view higher credit scores as lower risk, resulting in cheaper premiums. Annual rates range from $1,002 to $2,660 based on your credit profile.
| Excellent | $84 | $1,002 |
| Good | $148 | $1,771 |
| Below Fair | $169 | $2,025 |
| Poor | $222 | $2,660 |
New Jersey Homeowners Insurance Costs by House Age
Home age impacts insurance costs in New Jersey. Homes built in 2020 average $1,343 annually, while homes built in 1980 cost $1,845 per year. Newer homes cost about $500 less to insure than older properties, making them more affordable to protect.
| Newer | $112 | $1,343 |
| Middle Age | $148 | $1,771 |
| Older | $154 | $1,845 |
Why Is Home Insurance So Affordable in New Jersey?
New Jersey home insurance costs $1,771 annually on average — 49% below the national average of $3,467. Despite coastal location and weather risks, several factors keep premiums relatively low for Garden State homeowners.
Strong Building Codes Reduce Claims
New Jersey enforces some of the nation's strictest building codes, particularly in coastal areas. The state's Uniform Construction Code requires enhanced wind resistance and flood mitigation features that reduce storm damage. These standards lower claim frequency and severity, allowing insurers to offer more competitive rates.
Competitive Insurance Market
New Jersey's robust insurance marketplace includes a variety of home insurance providers competing for customers. This competitive environment drives insurers to offer lower premiums and better coverage options to attract homeowners, particularly in densely populated areas.
Lower Catastrophic Loss History
While New Jersey faces hurricane risks, the state experiences fewer billion-dollar natural disasters than many coastal states. The moderate claim history compared to states like Florida or Louisiana allows New Jersey insurers to maintain lower baseline premiums while still accounting for weather-related risks.
Tips to Save on New Jersey Home Insurance
Home insurance costs continue climbing, making it important to find the cheapest home insurance in New Jersey. These proven strategies help reduce your premiums.
- 1Calculate Coverage Needs
Determine your home's replacement cost based on today's construction prices, not market value. Take inventory of belongings to establish personal property coverage requirements. New Jersey homeowners in areas like Camden County should consider add-ons such as water backup coverage due to regional weather patterns, while those in Newark may need scheduled coverage for valuable electronics or jewelry.
- 2Research Rates and Discounts
Use MoneyGeek's New Jersey home insurance calculator to estimate fair pricing based on your location, home age and size. Ask insurers about available discounts when gathering quotes. New Jersey providers offer savings for security systems, newer homes, claim-free records and protective devices like smoke detectors or storm shutters that can reduce premiums.
- 3Compare Multiple Providers
Collect quotes from at least three insurers, comparing more than just price. Review customer satisfaction ratings, claims service quality and financial strength ratings. A lower premium from a company with poor claims processing or weak financials may cost more long-term. Jersey City and Trenton homeowners should prioritize insurers with strong regional service networks.
- 4Bundle Your Policies
Combine home and auto insurance with the same provider to unlock bundling discounts ranging from 10% to 25% in New Jersey. This strategy reduces costs on both policies while simplifying your insurance management. Many insurers offer competitive bundled rates specifically for New Jersey residents, making this one of the most accessible ways to lower premiums immediately.
- 5Lower Your Risk Profile
Install safety features like smoke detectors, security systems or storm shutters to qualify for premium reductions. Maintaining a claim-free record saves $282 to $520 annually compared to filing claims. Improving credit from below fair to good saves about 13% on premiums in New Jersey. Pay bills on time and reduce debt to boost your credit score.
Calculate New Jersey Homeowners Insurance Costs: FAQ
New Jersey homeowners insurance costs vary based on your home's location, age, coverage limits and other factors. The FAQs below explain what affects your premiums and help you understand potential expenses.
How much will my premium increase after filing a claim in New Jersey?
Filing a claim in New Jersey increases your premium by $282 after one claim and $519 after two claims compared to claim-free homeowners. New Jersey homeowners without claims pay $1,771 annually on average.Â
One claim raises your rate to $2,053 per year. Two claims bump your annual premium to $2,291. Filing claims stays on your record for five years, so you'll pay these higher rates throughout that period.
How much can I save by choosing a different insurer in New Jersey?
Shopping around for home insurance in New Jersey can put thousands of dollars back in your pocket annually. The cheapest provider, Chubb, charges just $953 per year, while The Hanover costs $2,721 for similar coverage.
Even mid-tier companies show differences. USAA costs $1,359 annually compared to Progressive's $1,630, a $271 yearly difference. Compare quotes from at least three insurers to find the best rate for your situation.
Does home insurance in New Jersey cover tornado damage?
Yes, standard home insurance policies in New Jersey cover tornado damage. It covers wind damage from tornadoes, including damaged roofs, broken windows, and destroyed structures. You will need to pay your deductible before your coverage starts.Â
New Jersey homeowners should review their policy limits to make sure they have enough coverage for potential tornado damage. While tornadoes are less common in New Jersey than in other states, they can still cause damage when they occur.
Why does home insurance cost more for older homes in New Jersey?
Home age impacts insurance costs in New Jersey. Older homes cost 37% more to insure than newer properties. A newer home averages $1,343 annually for coverage, while an older home costs $1,845 per year. That's a $502 difference. Middle-aged homes fall between these at $1,771 annually.
Insurance companies charge higher premiums for older homes because they present greater risks. These properties often have outdated electrical systems, aging plumbing, and worn roofing that are more likely to fail and trigger claims.
How can I lower my home insurance costs in New Jersey?
Shopping around remains important since premiums can vary between insurers for identical coverage. Maintaining a claim-free history delivers annual savings of $282 compared to filing one claim, or $519 versus filing two claims over five years.
Raising your deductible from $500 to $1,000 reduces your annual premium by $129. While you'll pay more upfront during a claim, these yearly savings accumulate over time. Contact multiple insurers about available discounts for policy bundling, security system installations, or newer home features.
How We Analyzed New Jersey Home Insurance Rates
MoneyGeek calculated New Jersey home insurance estimates using real rate data from major insurers. This approach shows how specific factors affect what homeowners actually pay for coverage.
Our calculations use a standard homeowner profile: $250,000 in dwelling coverage, $125,000 in personal property coverage, $200,000 in liability coverage, and a $1,000 deductible. The home profile includes a house built in 2000 with frame construction and a composition roof, plus no insurance claims in the past five years.
This profile represents typical New Jersey homeowners. The $250,000 dwelling amount matches median home values across many state markets. The 2000 construction year reflects middle-aged homes, which make up the largest segment of New Jersey's housing stock.
We tested how individual factors change rates by adjusting one element while keeping everything else the same. For home age comparisons, we analyzed identical policies for houses built in 1980, 2000, and 2020. This method reveals exactly how much each factor affects your premium.
Your actual rates will be different depending on your home's construction, roof condition, age, location, coverage amounts, claims history, credit score, and insurance company. The rate differences shown here demonstrate how much these factors matter when you shop for coverage.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. He has analyzed the insurance market for over five years, conducting original research for insurance shoppers. His insights have been featured in CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.
sources
- Department of Community Affairs. "The Uniform Construction Code (NJAC 5:23)." Accessed January 6, 2026.