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Best Cheap Car Insurance in New Jersey (2023)
Drivers in New Jersey pay rates starting at $196/mo for full-coverage car insurance.
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Written by
Jess Ullrich
Insurance Writer
Jess is a personal finance writer who's been creating financial and business content for over a decade. Her work is published on Investopedia, MoneyWise, NextAdvisor, The HuffPost, and more. Prior to freelancing full-time, Jess was an editor at Investopedia, The Balance, and FinanceBuzz. Connect with her on LinkedIn.
Edited by
Tanveen Vohra
Editorial Manager
Tanveen Vohra is an editorial manager at Insurify specializing in writing about property and casualty insurance. Through her work, Tanveen helps consumers better understand the components of their insurance policies so they can make smarter purchase decisions.Tanveen's work has been cited by CNBC , Fox Business, Business Insider, Fortune, and Market Watch, among others.
Data reviewed by
Konstantin Halachev
VP of Engineering
Konstantin has led data science and engineering projects across multiple domains: biology, travel and insurance. He loves finding data nuggets that help people.
Updated December 21, 2022
New Jersey packs more than 1,260 residents per square mile into its 8,722 square miles of space.[1] [2] The Garden State’s population density definitely plays a role in its position as the sixth most-expensive U.S. state for auto insurance.
New Jersey drivers pay an average of $354 per month for coverage.
If you need new coverage, you can find the cheapest and best options available by comparing quotes from different insurers. To compare quotes online, you’ll only need to provide your ZIP code and some basic information about your driving history.
Quick Facts
The average cost of car insurance in New Jersey is $354/mo.
GEICO is the cheapest provider in New Jersey, with average rates of $196/mo.
The easiest way to cut car insurance costs is to compare quotes online.
Table of contents
- Best cheap car insurance in New Jersey: GEICO
- Minimum car insurance requirements in New Jersey
- Tips for getting cheap car insurance in New Jersey
- Liability-only vs. full-coverage insurance in New Jersey
- How your driving history affects New Jersey car insurance rates
- How credit scores affect New Jersey car insurance quotes
- How your city affects New Jersey insurance quotes
- How your age affects your New Jersey car insurance rates
- New Jersey car insurance FAQs
Best cheap car insurance in New Jersey: GEICO
1
GEICO
Best Cheap Car Insurance New Jersey
To help identify the best cheap car insurance in New Jersey, Insurify collects and analyzes data about insurers in the state to calculate an Insurify Composite Score (ICS). Each company’s score is a reflection of their reliability, quality, and financial stability. With an ICS of 88 and a relatively affordable average monthly quote of $196, GEICO is our top pick for cheap auto coverage in New Jersey.
| Car Insurance Company | Insurify Composite Score (ICS) | Average Monthly Quote |
|---|---|---|
| GEICO | 88 | $196 |
| Travelers | 80 | $203 |
| USAA | 96 | $215 |
| Nationwide | 89 | $230 |
| American Family | 89 | $272 |
| Plymouth Rock | N/A | $198 |
| Erie | 85 | $205 |
| CSAA | N/A | $302 |
| Mercury | 81 | $306 |
| Progressive | N/A | $308 |
| Liberty Mutual | 82 | $314 |
| Midvale Home & Auto | N/A | $351 |
| Foremost Signature | N/A | $356 |
| State Farm | 88 | $368 |
| Farmers | 85 | $428 |
| Bristol West | N/A | $486 |
| Allstate | 85 | $635 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
The Insurify Composite Score (ICS) is a proprietary rating calculated by a team of data scientists at Insurify, weighing multiple factors that reflect the quality, reliability, and health of an insurance company.
Inputs to the score include financial strength ratings from A.M. Best, Standard & Poor’s, Moody’s, and Fitch; J.D. Power ratings; Consumer Reports customer satisfaction surveys and customer complaints; mobile app reviews; and user-generated company reviews.
Learn More: Best Car Insurance Companies
Minimum car insurance requirements in New Jersey
All motor vehicles operated or parked on New Jersey roadways are required to be insured. Proof of insurance must be carried in your car at all times and must be available when:
Requested by law enforcement
Renewing vehicle registration
The vehicle is involved in a car accident
Where the basic plan only requires $5,000 per accident of property damage liability insurance, the minimum liability insurance requirements for a standard plan in New Jersey are:1
$15,000 per person for bodily injury
$30,000 per accident for bodily injury
As a major part of your liability insurance, bodily injury coverage covers medical bills for people other than the policyholder who are injured during an accident. New Jersey is a no-fault state, meaning both parties’ insurance providers will pay for expenses, regardless of which party caused the accident.
$5,000 per accident for property damage
If it’s determined that an insured driver is at fault for an accident, this coverage pays for repairs to the property of the other involved parties. Additionally, property damage coverage can cover legal costs if the insured driver is involved in a lawsuit following the accident.
$15,000 per person for uninsured underinsured motorist bodily injury
$30,000 per accident for uninsured/underinsured motorist bodily injury
$5,000 per accident for uninsured/underinsured motorist property damage
Uninsured and underinsured motorist coverage pays for damages caused by a driver with little or no insurance after a car accident. In New Jersey, drivers are required to purchase this coverage for bodily injuries.
New Jersey MVC information
Drivers in New Jersey who want to access driving-related services can start online through the New Jersey Motor Vehicle Commission. The state’s MVC website provides step-by-step information about how to get a learners permit and license, and new drivers can also get information on road tests. For existing drivers, the MVC lets you renew your license, register a new vehicle or renew a registration, restore a suspended license, and more.
Public transportation in New Jersey
Like many states, New Jersey has both urban and rural areas. In general, its larger cities have more options for public transit, providing both rail and bus service. Many New Jersey residents also commute to New York City for work, and NJ Transit trains provide regular round-trip service to The Big Apple. Ferry and water taxi services are also available in select locations, like Hoboken.
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Tips for getting cheap car insurance in New Jersey
Insurers look at several factors when determining insurance rates in New Jersey. They typically consider your location, age, driving record, and more. The best way to get cheap auto coverage is to maintain a clean record and shop around for car insurance when buying a policy. Comparing quotes from different insurance companies will help you understand what’s available and get the best price on coverage
Liability-only vs. full-coverage insurance in New Jersey
If you live in New Jersey, you can opt to carry liability-only auto insurance, which pays for expenses related to injuries and damage to the other party’s car if you cause an accident. Each state sets its own minimums for how much liability insurance it requires drivers to carry. Liability-only insurance can make sense if:
You have a low-value vehicle.
You can afford to repair or replace your car out of your own pocket.
Getting the cheapest insurance possible is your top priority.
For a higher level of protection, you can choose full-coverage insurance, which includes basic liability plus collision and comprehensive coverage. Collision coverage pays for damages to your car, even if you’re at fault for an accident. Comprehensive coverage pays for damages caused by events out of your control, like vandalism, theft, weather, and damage caused by animals. Auto lenders and leasing companies typically require drivers to carry full coverage on a car they’ve financed.
You may also opt for full coverage if:
You have a high-value vehicle.
You wouldn’t be able to afford to repair or replace your car out of pocket.
Your car’s actual cash value (the payout you’d likely get if your car is totaled) exceeds your annual premium to carry full coverage.
Here’s a look at the average monthly quotes for the cheapest auto insurance in New Jersey by policy type.
| Car Insurance Company | Liability Only | Full Coverage |
|---|---|---|
| USAA | $140 | $215 |
| Travelers | $165 | $203 |
| American Family | $177 | $272 |
| Progressive | $201 | $308 |
| Erie | $134 | $205 |
| Foremost Signature | $140 | $356 |
| Plymouth Rock | $185 | $198 |
| Nationwide | $220 | $230 |
| AAA | $227 | $302 |
| State Farm | $240 | $368 |
| Liberty Mutual | $246 | $314 |
| Midvale Home & Auto | $272 | $351 |
| Farmers | $279 | $428 |
| Mercury | $294 | $306 |
| Bristol West | $337 | $486 |
| Allstate | $414 | $635 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
How your driving history affects New Jersey car insurance rates
Driving violations like speeding tickets, DUIs, or at-fault accidents can increase the cost of car insurance for New Jersey drivers. The safest drivers tend to pay the lowest rates, while drivers with infractions like a speeding ticket, at-fault accident, or DUI on their records pay much higher rates. Check out how car insurance quotes in New Jersey vary based on drivers’ driving records in the table below, sourced from Insurify’s proprietary database of more than 70 million quotes.
See More: High-Risk Car Insurance New Jersey
| Car Insurance Company | Clean Record | Speeding Ticket | With a DUI | At-Fault Accident |
|---|---|---|---|---|
| Nationwide | $194 | $261 | $386 | $284 |
| State Farm | $195 | $262 | $388 | $285 |
| Travelers | $198 | $266 | $394 | $290 |
| Farmers | $204 | $274 | $406 | $299 |
| American Family | $271 | $364 | $539 | $397 |
| Plymouth Rock | $193 | $259 | $384 | $283 |
| Mercury | $277 | $372 | $551 | $406 |
| Foremost Signature | $283 | $380 | $563 | $414 |
| AAA | $290 | $389 | $577 | $425 |
| Midvale Home & Auto | $304 | $408 | $605 | $445 |
| Liberty Mutual | $306 | $411 | $609 | $448 |
| Progressive | $307 | $412 | $611 | $449 |
| USAA | $367 | $493 | $730 | $537 |
| GEICO | $426 | $572 | $848 | $624 |
| Bristol West | $442 | $594 | $880 | $647 |
| Allstate | $633 | $850 | $1,260 | $927 |
| Erie | $674 | $905 | $1,341 | $987 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
See More: SR-22 Car Insurance New Jersey
SR-22 insurance in New Jersey
In the majority of states, drivers who are convicted of a DUI need to file an SR-22 form before they can get back on the road. This form serves as proof of minimum coverage. However, New Jersey doesn’t require an SR-22 after an in-state DUI conviction. If you have a DUI conviction in New Jersey, talk with your insurance company about your coverage options.
How credit scores affect New Jersey car insurance quotes
In general, insurance companies consider drivers with excellent credit to be a lower financial risk to insure. These drivers tend to get lower car insurance rates than drivers with average or poor credit. In New Jersey, drivers with excellent credit pay $301 per month for auto insurance coverage on average, while those with poor credit pay $603 per month on average.
New Jersey lawmakers are currently considering a bill calling to ban insurers from using credit scores while setting car insurance rates. If this bill becomes law, drivers’ credit scores will no longer affect their insurance rates.2
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
See More: Car Insurance Quotes for Bad Credit
How your city affects New Jersey insurance quotes
Car insurance costs in New Jersey also vary based on where you live. Generally, it’s more expensive to get auto insurance coverage in large cities and high-crime areas. In New Jersey, drivers in East Orange pay the highest average rates for car insurance, at $502 per month, while drivers in Middletown pay the lowest on average, at $145 per month.
| City | Average Monthly Quote |
|---|---|
| Bayonne | $333 |
| Brick | $308 |
| Camden | $401 |
| Cherry Hill | $192 |
| Clifton | $330 |
| East Orange | $502 |
| Edison | $287 |
| Elizabeth | $377 |
| Irvington | $487 |
| Jersey City | $320 |
| Lakewood | $244 |
| Middletown | $145 |
| Newark | $445 |
| Old Bridge | $236 |
| Passaic | $383 |
| Paterson | $418 |
| Toms River | $213 |
| Trenton | $286 |
| Union City | $393 |
| Woodbridge | $318 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
How your age affects your New Jersey car insurance rates
Auto insurers generally consider younger drivers to be a higher risk to insure due to their inexperience on the road. Higher risk often means higher rates, and this holds true in New Jersey, where teen drivers pay $784 per month on average for auto insurance coverage. Drivers in their 60s pay the lowest average monthly rates of $214. The table below shows the average car insurance quote associated with each age group, sourced from Insurify’s proprietary database.
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
Quotes for younger drivers
In New Jersey, as in most states, drivers under the age of 25 are considered the highest risk to insure. Teen drivers pay the most, followed by drivers in their early 20s. This is due to their lack of a proven driving record. Young drivers with infractions on their record, like speeding tickets and DUIs, can expect to pay even higher rates. Check out the table below for a closer look at what young drivers in New Jersey pay for car insurance.
| Car Insurance Company | Liability Only | Full Coverage | With an Accident | With a DUI |
|---|---|---|---|---|
| Travelers | $209 | $246 | $242 | $492 |
| Progressive | $279 | $398 | $355 | N/A |
| Liberty Mutual | $349 | $416 | $420 | N/A |
| Plymouth Rock | $259 | $257 | $256 | $509 |
| AAA | $331 | $390 | $401 | $782 |
| Midvale Home & Auto | $363 | $424 | $522 | $748 |
| Mercury | $407 | $376 | $428 | $708 |
| Bristol West | $442 | $604 | $685 | N/A |
| Nationwide | N/A | $347 | $497 | $490 |
| Foremost Signature | N/A | $384 | N/A | N/A |
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
Quotes for middle-aged drivers
Middle-aged drivers in New Jersey typically find much cheaper car insurance rates compared to younger drivers. This is because they have a proven driving record that makes them a lower risk to insure. However, middle-aged drivers with DUIs and accidents can still expect higher rates than their clean-record counterparts, given that the infractions make them a risk to insure in the eyes of insurance companies.
The table below gives an idea of how much middle-aged drivers in New Jersey can expect to pay, based on their driving record. The quotes shown below are from Insurify’s proprietary database.
| Car Insurance Company | Liability Only | Full Coverage | With an Accident | With a DUI |
|---|---|---|---|---|
| Travelers | $152 | $194 | $203 | $378 |
| Progressive | $168 | $240 | N/A | N/A |
| Liberty Mutual | $202 | $260 | $271 | $509 |
| Plymouth Rock | $141 | $165 | $163 | $324 |
| AAA | $206 | $273 | N/A | $521 |
| Nationwide | $215 | $204 | N/A | $380 |
| Midvale Home & Auto | $232 | $321 | $419 | $551 |
| Mercury | $245 | $277 | $367 | $494 |
| Bristol West | $305 | $432 | $546 | $790 |
| Foremost Signature | N/A | $404 | N/A | N/A |
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
Quotes for senior drivers
Senior drivers in the garden state can expect some of the cheapest rates compared to other age groups. This is due to the group’s safer driving behaviors as well as their tendency to have better credit scores, which makes them a lower risk to insure.3 The table below shows how much senior drivers in New Jersey can expect to pay, based on their driving record and policy preferences.
| Car Insurance Company | Liability Only | Full Coverage | With an Accident | With a DUI |
|---|---|---|---|---|
| Travelers | $107 | $155 | $152 | $306 |
| Progressive | $116 | N/A | N/A | N/A |
| Nationwide | $146 | $166 | N/A | $324 |
| Plymouth Rock | $126 | $140 | $152 | $269 |
| AAA | $134 | $179 | N/A | $346 |
| Liberty Mutual | $156 | $204 | $252 | $378 |
| Mercury | $159 | $190 | $256 | $348 |
| Midvale Home & Auto | $191 | $248 | $311 | $450 |
| Bristol West | $217 | $350 | $526 | $611 |
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
New Jersey car insurance FAQs
Here are answers to some commonly asked questions about car insurance in New Jersey.
On average, GEICO and Plymouth Rock offer the cheapest car insurance in New Jersey, with average monthly quotes of $196 and $198, respectively. Travelers also provides fairly affordable policies, at an average of $203 per month.
However, the cost of your insurance can change depending on the coverage level you select. Drivers who opt for minimum coverage car insurance will pay less on average than those who opt for full coverage. For instance, GEICO offers the cheapest minimum coverage at $128 per month on average, while Travelers offers the cheapest full coverage at $203 per month.
The cost of car insurance in New Jersey will vary based on your age, driving record, credit score, location, and other factors. For instance, young drivers with clean driving records can get a full-coverage policy for as low as $246 per month on average with Travelers, while middle-aged drivers can get the same coverage for just $194 per month. For a young driver with a DUI, the lowest cost coverage jumps to $490 on average with Nationwide. The same coverage costs only $380 for a middle-aged driver with a DUI.
Middle-aged and senior drivers tend to pay less for coverage than younger drivers, and those with bad credit generally pay more than those with excellent credit. Drivers in more densely populated areas are also likely to pay higher insurance rates than those in more rural areas.
The average cost of car insurance in New Jersey is relatively high compared to most other U.S. states. Drivers pay an average of $354 per month for coverage, making New Jersey the sixth most-expensive state for an auto policy. That average considers factors like driver location, age, credit, and more. While the cost of car insurance is fairly high in New Jersey, drivers in neighboring New York state pay a steep $569 on average each month for coverage.
GEICO, State Farm, USAA, Nationwide, and American Family are among the top insurers in New Jersey based on their Insurify Composite Scores (ICS), which consider provider quality, reliability, and financial health. USAA receives an impressive 96 ICS, followed by Nationwide and American Family, each with scores of 89. GEICO and State Farm both received scores of 88.
Among those insurers, GEICO, State Farm, and USAA all received recent AM Best ratings of A++ (Superior), which is the highest possible rating. Nationwide received an A+, while American Family received an A. AM Best ratings are a measure of the financial stability of insurance companies.
New Jersey requires drivers to buy personal injury protection (PIP) coverage. State law mandates that drivers have a minimum of $15,000 per person or accident, though you can get up to $250,000 (or even more, in some cases).4 This type of coverage offers financial protection no matter who’s found at fault in an accident, and it can help pay for medical costs or lost wages if you or a passenger is hurt in an auto accident and can’t work.
Yes, car insurance is required in New Jersey. Depending on their situation, drivers in the state may opt for a basic policy or standard policy and select their desired coverage amounts with their insurer. The basic policy offers limited coverage, and it’s designed for young drivers with few assets and no children. With a basic policy, minimum coverage requirements are $5,000 per accident in property damage liability and $15,000 in PIP.
The standard policy is the more common option, and coverage minimums are as follows:
Bodily injury liability: $15,000 per person, $30,000 per accident
Property damage liability: $5,000 per accident
Personal injury protection: $15,000 per person or accident
In the majority of U.S. states, the insurance follows the car, and New Jersey is no exception. Your insurance will be the primary form of coverage whether you’re driving or not. If a friend or family member borrows and crashes your car, and they’re found at fault, your insurance coverage will kick in. Keep in mind that an at-fault accident could result in higher insurance premiums for you, so always be sure a driver is trustworthy before you let them borrow your vehicle.
Full-coverage car insurance in New Jersey typically includes PIP, bodily injury liability, property damage liability, collision, and comprehensive coverage. Note that with standard policies, both collision and comprehensive are optional. It may also include underinsured or uninsured motorist coverage, which is optional as well.
While these coverages may be optional, adding them to your car insurance policy could help ensure you have adequate financial protection in the event of an accident. However, drivers who have an older vehicle or those who drive very infrequently may decide optional coverage isn’t worth the cost.
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Data scientists at Insurify analyzed more than 40 million real-time auto insurance rates from our partner providers across the United States to compile the car insurance quotes, statistics, and data visualizations displayed on this page. The car insurance data includes coverage analysis and details on drivers' vehicles, driving records, and demographic information. Quotes for Allstate, Farmers, GEICO, State Farm, and USAA are estimates based on Quadrant Information Service's database of auto insurance rates. With these insights, Insurify is able to offer drivers insight into how companies price their car insurance premiums.
Sources
- New Jersey State Government. "2021 Population Density: New Jersey Counties." Accessed December 20, 2022
- New Jersey State Government. "State of NJ Profile." Accessed December 20, 2022
