The average cost of auto insurance in New Jersey is $1,592 per year — 3% more than the national average.
Your auto insurance premiums are dictated by factors other than state lines. Auto insurance premiums price based on myriad factors, such as a driver's marital status, driving history, credit rating, gender, and age.
We analyzed average New Jersey auto insurance rates by each of the major rating qualifications. Read on to see how much car insurance costs in your state — or enter your ZIP code to see personalized prices from leading insurers.
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
17
$6,589
18
$5,700
19
$3,581
20s
$2,133
30s
$1,596
40s
$1,556
50s
$1,468
60s
$1,505
70s
$1,662
Average car insurance costs by gender in New Jersey
While gender does not carry as significant an impact on auto insurance rates as location or age, it is used as a rating factor by insurance companies.
NEW JERSEY AUTO INSURANCE PREMIUMS BY GENDER
Gender
Average Yearly Premium
Male
$1,592
Female
$1,628
Average car insurance rates by marital status in New Jersey
One benefit of marriage — in addition to the honeymoon — is the better deal you typically receive for your car insurance policy. In the state of New Jersey, married drivers save $71 each year on car insurance policies. This is less than the national post-wedding price cut of $98.
NEW JERSEY CAR INSURANCE PREMIUMS BY MARITAL STATUS
Marital Status
Average Annual Premium
Single
$1,592
Married
$1,521
Divorced
$1,592
Widowed
$1,579
Average auto insurance costs in New Jersey by credit history
Auto insurance companies utilize credit history to gauge a potential customer's reliability. Trended data show drivers with superior credit histories are usually more dependable car insurance clients: they are less likely to file claims covered by insurance companies.
In New Jersey, a driver who maintains excellent credit saves over $2,200 each year on car insurance rates, versus a driver with a less-favorable credit history.
NEW JERSEY CAR INSURANCE RATES BY CREDIT LEVEL
Credit Tier
Average Annual Premium
Very Poor (300-579)
$3,546
Fair (580-669)
$2,786
Good (670-739)
$2,222
Very Good (740-799)
$1,699
Exceptional (800-850)
$1,333
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
Retrieve your rates now!
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
Liability coverage is legally required in New Jersey and pays for injury and lost wages that you cause to another driver or their passengers as well as damage to the other driver’s vehicle in the event that you are considered “at fault” in an accident. The coverage limits are determined by each individual state and normally split into three categories. In New Jersey, the minimum is listed as 15/30/5 and explained below:
$15,000 bodily injury coverage per person. This is the maximum dollar amount that pays for a single person that you injure in an auto accident.
$30,000 bodily injury coverage per accident. This is the maximum dollar amount that pays for all injuries that you cause in an accident if more than one person is hurt.
$5,000 property damage per accident. This is the maximum dollar amount that pays for damage that you cause in an accident.
Uninsured/Underinsured Motorist coverage is legally required in New Jersey and pays for injury and lost wages that you or your passengers may suffer in the event that you are hit by an uninsured/underinsured driver who is at fault. The coverage limits are determined by each individual state and normally split into two categories. In New Jersey, the minimum is listed as 15/30/5 and explained below:
$15,000 bodily injury coverage per person. This is the maximum dollar amount that pays for a single person injured in your vehicle by an uninsured/underinsured driver.
$30,000 bodily injury coverage per accident. This is the maximum dollar amount that pays for all injuries in your vehicle by an uninsured/underinsured driver if more than one person is hurt.
$5,000 property damage coverage per accident. This is the maximum dollar amount that pays for damage caused to your vehicle by an uninsured/underinsured driver.
Personal Injury Protection (PIP) in New Jersey can be coordinated with your health insurance or is offered as a stand-alone coverage for drivers that do not carry health insurance. It is important to check with your health insurance provider as to how or if they provide coverage for injuries resulting from auto accidents. Work loss, death benefit, and funeral expenses are not required but can be added to PIP to broaden coverage for you and your passengers. Minimum PIP coverage in New Jersey is listed below:
$15,000 per person. This is the total that pays out for injuries suffered by anyone in your vehicle, including the driver, regardless of fault. Limits can be increased to better suit your needs.
The lawsuit options in New Jersey determine a driver’s ability to sue for pain and suffering resulting from an accident. Choosing the “limited” option restricts the policyholder and their household members’ right to sue for pain and suffering in an accident to extreme circumstances like death, permanent disfigurement, or loss of a body part in return for a lower premium. Selecting the “unlimited” option allows the policyholder to sue for pain and suffering regardless of the severity of the injuries. This is generally a much more expensive option.
New Jersey is a no fault state!
What does this mean for you?
Put simply, a no-fault insurance laws system requires that drivers carry their own protection. When an accident happens, no matter who is at fault, your own insurance foots the bill. Each driver takes care of his or herself, and theoretically, the chances of someone suing or raising a hissy fit over culpability are lessened. And bonus? It guarantees every driver immediate medical treatment in the event of an accident.
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.
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.
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.
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.
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.
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.
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.
