How much does car insurance cost in New Jersey?
Auto insurance in New Jersey costs approximately $133 per month — 3% more than the national average. Learn more about average insurance rates in New Jersey for a variety of driving profiles.
Cheap car insurance in New Jersey
What's the cheapest car insurance in New Jersey?
| Rank | Company Name | Avg. Annual Premium |
|---|---|---|
| 1 | Travelers | $1,168 |
| 2 | GEICO | $1,353 |
| 3 | Cal Casualty | $1,466 |
| 4 | New Jersey Manufacturers | $1,558 |
| 5 | State Farm | $1,759 |
| 6 | Penn National | $1,776 |
| 7 | MetLife | $1,971 |
| 8 | Progressive | $2,003 |
| 9 | Mercury | $2,332 |
| 10 | Esurance | $2,443 |
| 11 | Allstate | $2,656 |
| 12 | Encompass | $2,706 |
| 13 | Metropolitan | $2,923 |
| 14 | Hanover | $5,194 |
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Cheap insurance for good drivers in New Jersey
Drivers with good driving records typically enjoy lower car insurance costs than drivers with histories of speeding tickets, at-fault accidents, or DUI citations. New Jersey drivers without a recent speeding ticket typically save 37% on their car insurance premiums — exceeding the 25% national average. In addition to earning a cheaper premium for driving incident-free, you may qualify for a safe-driving bonus through your car insurance company. The amount of these discounts may vary, but they typically run between 5 and 10%.
NEW JERSEY CAR INSURANCE AVERAGE SAVINGS FOR GOOD DRIVERS
| Rating Factor | $ Savings | % Savings |
|---|---|---|
| No Traffic Tickets | $591 | 37.12% |
| No Accidents | $776 | 48.74% |
| Good Credit | $1,324 | 60% |
Car insurance rates by age bracket in New Jersey
Young drivers (those between the ages of 16 and 25) pay extraordinarily high auto insurance rates, with those aged 16-19 paying the most expensive premiums of all. Because of the risk presented by inexperienced drivers, teens pay more than three times the national average for car insurance. In New Jersey, the typical teen driver pays $5,686 per year — 13% more than the national teen driver average, and more than three times as much as a typical driver in New Jersey.
NEW JERSEY CAR INSURANCE RATES BY AGE GROUP
| Age | Annual Average Premium |
|---|---|
| 16 | $6,873 |
| 20s | $2,133 |
| 30s | $1,596 |
| 40s | $1,556 |
| 50s | $1,468 |
| 60s | $1,505 |
| 70s | $1,662 |
What are the Best Car Insurance Companies in New Jersey?
Each auto insurance company highlights its cheap rates. But just like with any product, the cheapest choice isn't always the best idea. Considering the financial stakes, it's worth doing your homework to find the insurance policy that covers your vehicle completely after a collision. Find the best value, rather than settling for the most affordable car insurance you find.
Compare local and national insurance companies' financial stability and claims satisfaction levels to better understand the level of service you'll receive. Claims satisfaction — measured by J.D. Power — is ranked on a scale of 2 to 5, with 5 being "among the best" and 2 being "the rest." Financial strength — calculated by A.M. Best and ranging from "Superior" to "Poor" — measures an insurance company's financial stability and ability to meet its contractual and policy obligations.
| Insurance Company | Claims Satisfaction (J.D. Power) | Financial Strength (A.M. Best) |
| Allstate | 3 | Superior |
| Amica | 5 | Superior |
| Cal Casualty | Not Rated | Excellent |
| Esurance | 2 | Superior |
| GEICO | 3 | Superior |
| Hanover | 3 | Excellent |
| Liberty Mutual | 3 | Excellent |
| MetLife | 3 | Superior |
| Penn National | Not Rated | Excellent |
| Progressive | 3 | Superior |
| State Farm | 3 | Superior |
| The Hartford | 3 | Excellent |
| Travelers | 3 | Superior |
| USAA | 5 | Superior |
| 21st Century | 3 | Excellent |
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What is the Best Car Insurance Coverage in New Jersey?
The minimum insurance requirement in New Jersey is $15,000 Bodily Injury per person, $30,000 Bodily Injury per accident, and $5,000 Property Damage per accident.
If you elect for the legal minimum coverage level in New Jersey, you'll owe an average of $820 annually. This is more expensive than the nationwide average by 32%. If you want better coverage, you can purchase a policy with comprehensive and collision coverage, which will protect against damages caused by car-versus-car collisions, theft, or weather conditions. Better auto insurance coverage comes at a cost: in New Jersey, a comprehensive policy with a $1,000 deductible costs $1,481, 81% more than liability-only coverage. For comprehensive insurance coverage with a $500 deductible, you can expect to pay 94% more than you would for basic liability-only coverage.
Examine average premiums for basic and comprehensive car insurance options below.
| Location | Liability-Only | Comprehensive — $1,000 Deductible | Comprehensive — $500 Deductible |
| New Jersey | $820 | $1,481 | $1,592 |
| National Average | $621 | $1,373 | $1,868 |
Car Insurance Laws
State minimum insurance requirements in New Jersey
In New Jersey, the state minimum coverage requirements are as follows:
Liability
- Bodily Injury $15,000 per person
- Bodily Injury $30,000 per accident
- Property Damage $5,000 per accident
In New Jersey, you can select one of two common policy options:
- A standard policy, with typical Bodily Injury limits ($15,000/$30,000/$250,000/$500,000)
- A basic policy, with optional Bodily Injury coverage up to $10,000
Uninsured/Underinsured Motorist
- Bodily Injury $15,000 per person
- Bodily Injury $30,000 per accident
- Property Damage $5,000
Personal Injury Protection
- $15,000 PIP coverage per person (Primary or Secondary to health coverage)
Right to Sue
- Limited or Unlimited
Optional coverage in New Jersey (varies by carrier):
- Additional PIP
- Extended Medical Benefits
- Funeral Expense Coverage
- Death Benefit Coverage
- Comprehensive Coverage
- Collision Coverage
- Rental Car Reimbursement
- Roadside Assistance/Towing and Labor
New Jersey Car Insurance FAQs
What type of car insurance is mandatory in New Jersey?
Because New Jersey is a no-fault state, you're required to carry additional coverage beyond what is normally required in most states. You're required to carry the minimum liability coverage, uninsured motorist coverage, personal injury protection, and right to sue coverage.
Is New Jersey a no-fault car insurance state?
Yes. Regardless of fault, you're required to cover your own bodily injury damage.
Which New Jersey car insurance companies offer usage-based discounts?
Metromile is a leading pay-per-mile car insurance company that sells policies in New Jersey.
How much does car insurance cost in New Jersey cities?
Car insurance companies calculate your rate based on many factors, location of the vehicle being an important one. The cheapest car insurance is found in Toms River, New Jersey, and the most expensive in Newark, New Jersey.
| Rank | City | Avg. Annual Premium |
|---|---|---|
| 1 | Newark | $2,409 |
| 2 | East Orange | $2,356 |
| 3 | Paterson | $2,337 |
| 4 | Passaic | $2,337 |
| 5 | Elizabeth | $2,283 |
| 6 | Union City | $2,210 |
| 7 | Camden | $2,160 |
| 8 | Atlantic City | $2,148 |
| 9 | Perth Amboy | $2,083 |
| 10 | Linden | $2,074 |
| 11 | Fort Lee | $2,051 |
| 12 | Kearny | $2,039 |
| 13 | Clifton | $2,017 |
| 14 | Jersey City | $2,006 |
| 15 | Hoboken | $1,995 |
| 16 | Hackensack | $1,957 |
| 17 | Bayonne | $1,860 |
| 18 | Trenton | $1,847 |
| 19 | New Brunswick | $1,716 |
| 20 | Lakewood | $1,711 |
| 21 | Sayreville | $1,630 |
| 22 | Vineland | $1,620 |
| 23 | Toms River | $1,476 |
Recent New Jersey Car Insurance Questions and Answers
Why are my parents' driving records affecting my premium?
You should be able to get your own plan. Because you are in New Jersey, all people in the same household must be on the policy unless you can show proof the other people you live with are insured elsewhere.
Can I drive a truck I'm buying across state lines, without plates, to get it home?
I would call up your local DMV or appropriate state department and ask them what to do. Most states allow you to pay a small fee and show an out of state status and they will issue you a temporary paper plate for the vehicle to be relocated.
Does moving from one insurance company to another raise your insurance premium?
Switching insurance companies won't necessarily raise your rates as long as it doesn't result in a lapse in coverage. Accidents and violations can stay on your record for up to five years, so your past infractions from six years ago should not affect your rates.
What insurance do I need for driving for doordash?
You will need to get a commercial policy since you will be a delivery driver. If you were going to drive for a ride share company you could get a personal auto policy with an endorsement to drive for ride-share.
Driving Laws
New Jersey Texting and Driving Laws
- Ban on hand-held cell phones
- Ban on all cell phones for school bus drivers and Permit or Provisional Licenses
- Ban on text messaging for all drivers
New Jersey DUI Laws
New Jersey has a 10-year lookback period for DUI. Multiple offenses within this time period result in harsher penalties and fines.
In addition to penalties corresponding to the number of previous DUI convictions, any DUI offense in New Jersey includes the following surcharges:
- $100 to the Drunk Driving Enforcement Fund
- $100 Motor Vehicle Commission restoration fee
- $100 Intoxicated Driving Program fee
- $50 Violent Crimes Compensation Fund fee
- $75 Safe and Secure Community Program fee
- $1,000 per year automobile insurance surcharge ($1,500 for a third DUI offense)
How Do Tickets Impact Auto Insurance Rates in New Jersey?
If you receive a ticket or citation, your auto insurance rates will probably rise. By how much depends on the violation, your insurance company's pricing strategy, and differing local insurance risks and regulations. That's why tickets may have a different impact on insurance in your state compared to the national average.
Below is a look at the average car insurance rates in New Jersey after some common violations.
| Violation | Avg. Annual Auto Insurance Rate | % Insurance Rate Increase | $ Insurance Rate Increase |
|---|---|---|---|
| Hit and Run | $2,491 | 56% | $899 |
| Refused Breathalyzer/Chemical Test | $2,772 | 74% | $1,180 |
| DUI | $2,772 | 74% | $1,180 |
| Racing | $2,448 | 54% | $856 |
| Reckless Driving | $2,506 | 57% | $914 |
| Driving with a Suspended License | $2,797 | 76% | $1,205 |
| At-Fault Accident | $2,368 | 49% | $776 |
| Driving with an Open Container | $2,135 | 34% | $543 |
| Operating a Vehicle Without Permission | $2,274 | 43% | $682 |
| Passing a School Bus | $2,311 | 45% | $719 |
| Improper Passing | $2,206 | 39% | $614 |
| Following Too Closely | $2,304 | 45% | $712 |
| Speeding | $2,183 | 37% | $591 |
| Failure to Stop at a Red Light | $2,156 | 35% | $564 |
| Illegal Turn | $2,159 | 36% | $567 |
| Driving Wrong Way/Wrong Lane | $2,142 | 35% | $550 |
| Failure to Yield | $2,156 | 35% | $564 |
| Speeding in a School Zone | $1,958 | 23% | $366 |
| Driving Too Slowly | $1,958 | 23% | $366 |
| Distracted Driving | $2,142 | 35% | $550 |
| Driving with Expired Registration | $1,917 | 20% | $325 |
| Failure to Show Documents | $1,917 | 20% | $325 |
| Not-at-Fault Accident | $1,674 | 5% | $82 |
| Failure to Use Child Safety Restraint | $1,699 | 7% | $107 |
| Failure to Wear a Seat Belt | $1,699 | 7% | $107 |
| Driving Without Lights | $1,699 | 7% | $107 |
New Jersey Tour Guide Scholarship
At The Zebra, we know better than most just what a pain buying car insurance can be. We also know that students suffer from higher-than-average policy rates. Talk about a double-whammy. That’s why, this year, we’ve decided to continue The Zebra’s annual scholarship with the goal of helping to alleviate the financial pressures of college-bound students in the New Jersey area, while also getting an insider view of the Garden State.
Prompt
So, students, we want to see your favorite road trip destination(s) in your state— from your unique perspective. If it makes sense to hit the open road and be our virtual tour guide, that's great! But there are no limits to what we're looking for: a narrated animation, a slideshow of memorabilia, an illustrated map of the best roadside attractions on the way. This is a chance for you to showcase any place you love in as an original way as possible.
How do I choose a location?
The length of the road trip to your feature destination is inconsequential. So if you have an awesome spot in mind that's just two miles from home, we want to see it.
Qualifications
Applicants must be currently enrolled at or planning to attend a four-year university, graduate program, community college, or trade school located in the continental United States. Upon notification, winner(s) must supply a current proof of enrollment or letter of acceptance.
How to Apply
1. Create a video
Your original video should not exceed 2 minutes
2. Post online
The video must be hosted on YouTube or Vimeo
3. Submit by email
Email your submission to scholarships@thezebra.com
4. Please include...
your name, address, and phone number when you submit
Details
Award
Selected winner(s) will be awarded a check for $1,000
Deadline
Applications must be received by 11:59 p.m. CST on December 31st, 2020
Notification
Winner(s) will be selected and notified by email by January 31st, 2021
Judges: The Zebra
The winner will be selected based on creativity in the content and presentation
*Upon notification, winner(s) must also supply a current proof of enrollment at a four-year university, graduate program, community college, or trade school located in the continental United States.
Fine Print
By participating, entrants represent that the video submitted is their sole and original work and does not infringe the intellectual property rights of any other party. In other words, no copyrighted music or images may be used.
Employees of The Zebra and their immediate family members are not eligible to participate in the contest.
Written credits for any technical or talent positions (e.g., editor, director, actors) should be included with your submission, along with any sources used to create the video.