Cheap New Jersey Car Insurance

Compare the best rates from 6 car insurance companies in New Jersey.

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Here's what you need to know when driving in New Jersey

Across the Garden State, there are 84,281 miles of road just waiting to be driven. We’ll get you prepped, then you take the wheel.


 

Cheap Car Insurance

What's the cheapest car insurance in New Jersey?
RankCompany NameAvg. Annual Premium
121st Century$1,089
2Travelers$1,168
3New Jersey Manufacturers$1,284
4Penn National$1,352
5Palisades$1,368
6Cal Casualty$1,466
7The Hartford$1,506
8Allstate$1,508
9USAA$1,569
10Mercury$1,619
11Amica$1,850
12Esurance$1,875
13Progressive$1,900
14MetLife$1,971
15State Farm$2,204
16GEICO$2,218
17Encompass$2,350
18Liberty Mutual$2,949
19Hanover$3,948

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 24% on their car insurance premiums — far exceeding the 17% 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%.

Rating Factor$ Savings% Savings
No Traffic Tickets$53624.66%
No Accidents$82133.41%
Good Credit$1,36045.38%

Cheap Insurance for Young Drivers 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 $4,704 per year — just a bit less than the nationwide teen driver average, but more than twice as much as a typical driver in New Jersey.

AgeAnnual Rate with ParentsAnnual Rate Alone
16$3,129$7,870
17$3,129$7,197
18$3,159$6,298
19$3,100$3,752

Cheap Car Insurance for Bad Drivers in New Jersey

The best way to minimize your auto insurance expenditure is to avoid at-fault accidents, speeding tickets, and DUIs. As insurance companies use your driving record as a way to predict the level of risk you present, keeping your driving record clean will lead to lower premiums. It's especially important to avoid at-fault accidents, speeding tickets and DUI citations in New Jersey, one of the states in which insurance companies penalize poor driving most severely. In fact, a single speeding ticket could raise your car insurance rates by 24% in New Jersey.

Rating FactorAnnual Rate% Increase
At-Fault Accident$2,45933.41%
DUI$2,46533.57%
Speeding Violation$2,17324.66%
Bad Credit$2,99745.38%

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 CompanyClaims Satisfaction (J.D. Power)Financial Strength (A.M. Best)
Allstate3Superior
Amica4Superior
Cal CasualtyNot RatedExcellent
EsuranceNot RatedSuperior
GEICO3Superior
Hanover3Excellent
Liberty Mutual3Excellent
MetLife3Superior
Penn NationalNot RatedExcellent
Progressive3Superior
State Farm3Superior
The Hartford4Excellent
Travelers3Superior
USAA5Superior
21st Century3Excellent

 

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 the legal minimum coverage level in New Jersey, you'll owe an average of $1,044 annually. This is more expensive than the nationwide average by 59%. 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 $1,531, 47% more than liability-only coverage. For comprehensive insurance coverage with a $500 deductible, you can expect to pay 58% more than you would for basic liability-only coverage.

Examine average premiums for basic and comprehensive car insurance options below.

LocationLiability-OnlyComprehensive — $1,000 DeductibleComprehensive — $500 Deductible
New Jersey$1,044.34$1,531.30$1,655.22
National Average$657.66$1,241.26$1,397.94

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.

Car Insurance FAQs

Are digital insurance cards accepted in New Jersey?

Yes. If you happen to find yourself pulled over by a police officer in New Jersey you won't have to rifle through your glovebox wondering if you remembered to replace that expired insurance card last month. Instead, you can provide proof of coverage with your smartphone.

Do I need uninsured motorist coverage in New Jersey?

15% of drivers don't have insurance in New Jersey — more than the national average of 13%. It's not a bad idea to purchase uninsured motorist coverage in New Jersey to avoid extra costs if you're involved in an accident with an uninsured motorist.

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.

RankCityAvg. Annual Premium
1Newark$2,547
2East Orange$2,546
3West New York$2,481
4Paterson$2,424
5Elizabeth$2,422
6Union City$2,402
7Passaic$2,348
8Hoboken$2,330
9Clifton$2,322
10Kearny$2,312
11Jersey City$2,299
12Bayonne$2,229
13Camden$2,177
14Linden$2,142
15Perth Amboy$2,123
16Fort Lee$2,102
17Atlantic City$2,065
18Hackensack$1,960
19Plainfield$1,937
20Trenton$1,935
21Sayreville$1,901
22New Brunswick$1,894
23Lakewood$1,837
24Vineland$1,824
25Toms River$1,708

Recent New Jersey Car Insurance Questions and Answers

How much is short term auto insurance for honda fit

How much would I pay for short term auto insurance running from 08/06/2018 to 09/30/2018? It’s for a 2011 Honda ...

AUG 02, 2018
Should I file a claim after I’ve been ticketed for an accident?

So, I’m stuck on whether to file an accident claim or pay out of pocket. My insurance has already gone ...

JUL 29, 2018
Someone jumped into my car on purpose

Some kid jumped in front of a car while the light was green and got bumped with the car. Kid ...

MAY 22, 2018
Does roadside assistance cover people not on your policy

How can I get roadside insurance coverage that covers anyone who drives my car? Cover the car, any driver, not ...

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Driving Laws

New Jersey Texting and Driving Laws

  1. Ban on hand-held cell phones
  2. Ban on all cell phones for school bus drivers and Permit or Provisional Licenses
  3. 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)
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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 destrination 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, 2018

Notification

Winner(s) will be selected and notified by email by January 31st, 2019

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.

Click here to learn more