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Cheap Car Insurance in New Jersey (With Quotes, July 2022)

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Lindsay Frankel

By: Lindsay Frankel

Edited by Jackie Cohen

Last Updated June 15, 2022

Why you can trust Insurify

Insurify partners with top insurance companies and is a licensed agent in all 50 states. However, the insurance experts writing our content operate independently of our partners. Check out reviews from over 3,000 satisfied customers, how we make money, our data methodology, and our editorial standards.

Car Insurance in New Jersey

Car insurance in New Jersey is somewhat expensive compared to the national average, and while the state offers a low-cost alternative, it’s not available to everyone. Luckily, it’s possible to find affordable car insurance in the Garden State if you compare car insurance quotes across providers using an insurance comparison platform like Insurify.

See More: Cheap Car Insurance

See More: Cheap Car Insurance No Deposit

Quick Facts

  • The average cost of car insurance in New Jersey is $267 per month, or $3,204 annually.
  • Plymouth Rock is the cheapest provider we found in New Jersey, with average premiums of $182 per month.
  • Your rates are determined by factors outside of your location, such as your age and driving record – but by comparing car insurance quotes, you can ensure you find the best rate for your circumstances.

Cheapest Car Insurance in New Jersey

How much is car insurance in New Jersey?

The average cost of car insurance in New Jersey is $267 per month. However, keep in mind that what you pay for car insurance will depend on your age, gender, driving record, credit score, and other factors in your unique driving profile.

The cheapest car insurance company for you will depend on individual information in your driver profile, so it’s best to compare customized quotes with Insurify. But if you’re curious what insurers in New Jersey are charging on average, below are the cheapest New Jersey auto insurance companies, along with their average monthly premiums.

Car Insurance CompanyAverage Monthly Quote
Plymouth Rock$182
Travelers$191
Progressive$232
Nationwide$252
Liberty Mutual$268
Mercury$303
Midvale Home & Auto$322
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

See More: Car Insurance Quotes

Cheapest Liability Auto Insurance in New Jersey

A standard policy includes bodily injury liability coverage, property damage liability coverage, and personal injury protection. New Jersey drivers can also opt for a basic policy, which provides minimum coverage but does not include bodily injury liability coverage. Here’s what drivers pay, on average, for liability-only insurance in New Jersey.

Car Insurance CompanyAverage Monthly Quote
Travelers$149
Plymouth Rock$150
Progressive$175
Nationwide$229
Liberty Mutual$231
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Cheapest Full-Coverage Auto Insurance in New Jersey

In addition to liability insurance, full-coverage car insurance typically includes optional coverages, such as collision coverage, comprehensive coverage, and underinsured or uninsured motorist coverage. Keep in mind, if you opt for full-coverage insurance, you’ll have a deductible that is your share of the financial responsibility.

Auto insurance rates are higher for full-coverage car insurance, but it’s worth it for the financial protection in the event of an accident. Here’s what drivers in New Jersey pay, on average, for full-coverage car insurance at the cheapest companies in the state.

Car Insurance CompanyAverage Monthly Quote
Plymouth Rock$203
Travelers$206
Nationwide$258
Progressive$274
Liberty Mutual$289
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

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Best Car Insurance in New Jersey

Price is not the only important factor to consider when signing up for an insurance policy. You also want to make sure the company you choose is reliable and offers the insurance coverage you need. That’s why we reviewed a variety of data on each company to generate Insurify Composite Scores.

A high score indicates high marks in the areas of financial strength, customer satisfaction, and more. New Jersey drivers can compare their customized quotes against the best auto insurance companies in the area to find a reputable company offering a cheap rate.

Car Insurance CompanyICSAverage Monthly Quote
Nationwide89$252
Liberty Mutual82$268
Travelers80$191
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

See More: Best Car Insurance Companies

Insurify Composite Score

The Insurify Composite Score 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.

New Jersey Car Insurance Rates by Driving and Accident History

One of the factors that significantly impacts your car insurance rates is your driving history. If you have a clean driving record, you’ll be eligible for some of the cheapest auto insurance rates. If you have car accidents or DUIs on your record, on the other hand, you’ll be considered a higher risk to insure, so you’ll pay higher premiums.

Even a speeding ticket can be enough to raise your rates significantly. Here’s what drivers pay, on average, with each type of infraction.

InfractionAverage Monthly Cost
Clean Record$249
DUI$319
Speeding Ticket$316
At-Fault Accident$337
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

See More: High-Risk Car Insurance New Jersey

Cheap Car Insurance for Good Drivers in New Jersey

Safe drivers with no violations on their records pay the lowest car insurance premiums and can often qualify for car insurance discounts as well. That’s because insurance providers view them as a lower risk to insure. Here’s what good drivers pay, on average, for auto insurance coverage in New Jersey.

Car Insurance CompanyAverage Monthly Quote
Plymouth Rock$176
Travelers$180
Progressive$233
Nationwide$227
Liberty Mutual$260
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Cheap Car Insurance for Drivers with DUI in New Jersey

A DUI typically results in a driver’s license suspension. When you’re ready to reinstate your license after a DUI, insurance companies will view you as a high-risk driver and charge you higher rates. Here’s what you can expect, on average, from the cheapest insurance providers for drivers with DUIs in New Jersey.

Car Insurance CompanyAverage Monthly Quote
Plymouth Rock$198
Travelers$209
Progressive$252
Liberty Mutual$282
Mercury$330
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

See More: SR-22 Insurance New Jersey

SR-22 Insurance in New Jersey

If you had a violation like a DUI that resulted in license suspension, the reinstatement process in New Jersey requires you to have an SR-22 form on file. Your insurance company will need to file the SR-22 with the Motor Vehicle Commission on your behalf. Insurance companies typically charge higher rates or fees to motorists who need an SR-22.

Keep in mind that having an SR-22 on file also means your insurer will notify the MVC if you cancel your policy, so make sure to keep it in force. If you’re getting back on the road and seeking an auto insurance policy, the following companies will file an SR-22 form for you:

Cheap Car Insurance for Drivers with an At-Fault Accident in New Jersey

Car insurance companies charge higher average rates to drivers with accidents on their records, but it’s still possible to find affordable car insurance if you compare quotes. Below are the companies offering the cheapest rates to drivers who have been in car accidents in the past.

Car Insurance CompanyAverage Monthly Quote
Plymouth Rock$192
Travelers$211
Progressive$260
Liberty Mutual$307
Nationwide$330
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Cheap Car Insurance for Drivers with Speeding Tickets in New Jersey

Having a speeding ticket shows insurance companies that you’re not taking every precaution on the road. As a result, you’ll pay more for auto insurance. But some car insurance companies offer cheaper rates to drivers with speeding tickets than others. Here are the cheapest providers, along with the average monthly cost drivers pay for coverage.

Car Insurance CompanyAverage Monthly Quote
Plymouth Rock$207
Progressive$240
Travelers$243
Liberty Mutual$296
Nationwide$320
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

New Jersey Car Insurance Rates by Credit Tier

In many states, auto insurance companies use your credit-based insurance score to determine your premium because of a correlation between low scores and high claims filing. However, the New Jersey Senate voted to prohibit this practice in the state in 2022.

The bill, if passed, will ban auto insurers from using credit score, education, and occupation when determining a driver’s rates. Currently, New Jersey law restricts car insurance companies from using credit scores to establish rates for drivers with a basic policy or covered by the Dollar-a-Day program.

Many drivers’ rates are still impacted by insurance scoring, however. Here’s what drivers pay for car insurance in each credit tier.

Credit TierAverage Monthly Quote
Excellent$211
Good$225
Average$262
Poor$326
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

New Jersey Car Insurance Rates by Driver Age

Young drivers pay more for car insurance in New Jersey because they have less experience on the road. In fact, teen drivers are at a greater risk of a crash than any other age group. That can make it pricey for teens to obtain auto insurance. Rates generally decrease with age, though. Here are the average rates New Jersey drivers pay in each age group.

Age GroupAverage Monthly Rate
Teenagers$543
Under 25$423
20s$325
30s$253
40s$256
50s$238
60s$199
70s$183
80+$184
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Car Insurance Rates in New Jersey Cities

Car insurance is more expensive in some areas of New Jersey than in others, due to the frequency of claims in each area. For example, some high-traffic cities tend to have more car accidents, so residents of these cities will pay more for insurance. Here are the average rates for some of the top major cities in New Jersey.

CityAverage Monthly Quote
Newark$374
Jersey City$283
Trenton$281
Paterson$376
East Orange$393
Irvington$395
Elizabeth$359
Camden$389
Toms River$218
Clifton$274
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

New Jersey Driving Facts

Every state has minimum insurance requirements, and New Jersey is no exception. Additionally, all drivers in New Jersey will have to visit their local DMV and may at some point need to rely on public transportation. The following sections break down minimum insurance requirements, DMV services, and public transit options in New Jersey.

Minimum Car Insurance Requirements in New Jersey

All motor vehicles operated or parked on New Jersey roadways are required to be insured with either a basic or standard insurance plan. 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[1] are:

  • $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.

  • $15,000per 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 costs caused by a driver with little or no insurance after a car accident. In Massachusetts, drivers are required to purchase this coverage for bodily injuries.

New Jersey DMV Information

The New Jersey MVC offers several online services, including driver’s license and registration renewals. If you need to title your vehicle, get your first license, or complete another in-person service, there are also more than 70 local offices throughout the state that can serve you.

Public Transportation in New Jersey

NJ Transit operates trains, buses, and light-rails that reach most of the state. Public transportation is a more popular option in New Jersey than in many other states, with about 12 percent of New Jersey residents using the transit system to get to work. Still, many residents rely on their vehicles and will need an auto insurance policy to stay legal on the road.

How much is car insurance for a new driver in New Jersey?

With the aid of Insurify’s comprehensive quote-comparison tool, young drivers in New Jersey can easily compare up-to-date auto insurance rates from the nation’s top insurance providers. Individuals simply have to enter information regarding their vehicle and driving habits to find the rates that work best for them. On average, young New Jersey drivers pay monthly rates of around $392 for their auto coverage.

Age, Driving Experience, and the Cost of Car Insurance

Insurance companies consider factors like age and driving experience when calculating insurance premiums for auto coverage. Young and inexperienced drivers pay more for insurance coverage due to companies viewing them as higher-risk drivers. With more time and experience, drivers earn lower rates from their providers based on personal and driving histories—as well as eligibility for certain discounts.

Best Car Insurance Companies in New Jersey for New Drivers

Plenty of car insurance provider options exist, but Insurify identified the providers best suited for young New Jersey drivers. Available insurance providers include Plymouth Rock, Travelers, and Progressive—all of which offer young drivers quality coverage at affordable rates. Providers like Allstate, GEICO, and State Farm may offer better coverage for drivers with a recorded DUI or poor credit history.

How New Drivers Can Lower Their Car Insurance Premiums

Young and new drivers can save money on their premiums by joining their parents’ auto policy, deciding on the coverage types that meet their insurance needs, earning good grades for good student discounts, initiating good credit practices, and driving a vehicle that is a few years old. Drivers can compare monthly quotes from top providers in their consideration with ease on Insurify.

NJ Dollar-a-Day Program: How It Works and How to Enroll

For some New Jersey drivers struggling to afford car insurance, a low-cost program exists that provides insurance coverage for only one dollar a day. The Special Automobile Insurance Policy (SAIP, or NJSAIP) is an insurance program for eligible drivers enrolled in federal Medicaid with hospitalization. Ultimately, the program lacks many important aspects of insurance coverage but does allow drivers to drive legally.

Through the New Jersey Department of Banking and Insurance, SAIP provides policyholders coverage for some emergency treatment, brain or spinal cord injury treatment, and $10,000 to the policyholder’s family in the event of a fatal accident. Additional medical treatment, injuries and damage to the other driver, and vehicle damage are not covered.

Read more about New Jersey’s Dollar-a-Day program.

How to Get the Cheapest Car Insurance in New Jersey

When it comes to finding auto insurance in New Jersey, you have a few options. You can hire a broker, pull individual quotes from different insurers’ websites, or use Insurify to quickly and easily compare quotes in one spot. (Hint: The third option will save you a ton of time and effort.)

You’ll be able to change your coverage options and deductible amount to see the effect on your premiums. And we’ll even factor in certain discounts you may be eligible for, such as a homeowners discount. You’ll just need to answer a few questions about your vehicle and driving record to get started, and Insurify’s artificial intelligence technology will do the rest of the work.

Frequently Asked Questions: Cheap Car Insurance in New Jersey

  • Yes. New Jersey law requires that all drivers carry state minimum coverage. However, New Jersey drivers have the unique option of choosing between the standard auto insurance policy and the basic policy, which costs less but doesn’t include bodily injury liability coverage and only provides a limited right to sue.

  • The easiest way to find the best cheap car insurance in New Jersey is to use Insurify to compare quotes across multiple insurance providers. You might be surprised how affordable car insurance can be when you shop around—the average Insurify user saves $585 annually.

  • The average monthly premium for car insurance in New Jersey is $267, but your actual rate will vary based on the information in your driving profile, like your age and accident history. You can find quotes as low as $149 in the Garden State, so be sure to use Insurify to shop around.

  • New Jersey is a densely populated state with a lot of drivers and a high incidence of accidents, which is one reason for the high cost of insurance. Furthermore, higher healthcare costs, more expensive auto repairs, and more severe weather are all driving up the cost of car insurance in New Jersey.

  • Yes. New Jersey is a no-fault state, and all drivers must carry at least $15,000 in PIP coverage. All the best car insurance companies in the state offer personal injury protection that meets state requirements.

Insurify Insights

How New Jersey Drivers Measure Up

While most drivers know that car insurance quotes are determined in part by your personal driving history, many may be unaware that rates are also impacted by the average risk of the drivers around you as well. Check out Insurify's latest analysis of driving records in New Jersey below:

Methodology

Drawing from an internal database of over 4 million car insurance applications, the research team at Insurify analyzes patterns in car ownership and driver behavior - including how New Jersey drivers measure up to their fellow motorists across the United States in areas including speeding, DUIs, and more.
Insurify Insights publishes data-driven articles, trend analyses, and national rankings each week on all factors related to cars and those who drive them.

honda

Honda Accord

Most Popular Car in New Jersey

#51

State with the Most Speeding Tickets Rank

#45

State with the Moving Violations Rank

#45

State with the Most DUIs Rank

#46

State with the most Suspended Licenses

  • While car accidents are a sadly unavoidable feature of time spent on the road, rates of accidents do vary from city to city and from state to state. New Jersey is the #37 state in the country for drivers with an at-fault accident on their driving record.

    • Rank among states: #37
    • Percent of drivers in New Jersey with an accident: 9.3%
    • Percent of all U.S. drivers with an at-fault accident: 10.18%
    • Drivers in NJ who have a current at-fault accident on their driving record pay 31.38% more on average than drivers with a clean record.
  • Exceeding the speed limit can endanger others and have a serious impact on your insurance costs. New Jersey is the #51 state in the country for drivers with a speeding ticket on record.

    • Rank among states: #51
    • Percent of drivers in New Jersey with a speeding ticket: 5.14%
    • Percent of all U.S. drivers with a speeding ticket: 9.18%
    • Drivers in NJ with a speeding ticket in their driving history pay on average 23.85% more than drivers with a clean record.
  • While driving while intoxicated is never acceptable, it’s a more common offense than many assume. New Jersey is the #45 state in the country for drivers with a prior drunk driving conviction.

    • Rank among states: #45
    • Percent of drivers in New Jersey with a DUI: 1.32%
    • Percent of all U.S. drivers with a DUI: 1.65%
    • Drivers in NJ with a DUI in their driving history pay on average 16.32% more than drivers with a clean record.
  • The Insurify team classifies rude drivers as those who commit one or more of the following driving offenses: failure to yield or failure to stop, improper backing, passing where prohibited, tailgating, street racing, or hit-and-run. New Jersey is the #8 state in the country for drivers with a rude driving violation on record.

    • Rank among states: #8
    • Percent of drivers in New Jersey with a rude driving violation: 2.27%
    • Percent of all U.S. drivers with a rude driving violation: 1.68%
    • Drivers in NJ with a rude driving violation in their driving history pay on average 37.66% more than drivers with a clean record.
  • Reckless driving refers to a specific traffic violation: when drivers willfully act dangerously in spite of the risks they’re imposing on both themselves and others. New Jersey is the #15 state in the country for drivers with a reckless driving offense on record.

    • Rank among states: #15
    • Percent of drivers in New Jersey with a reckless driving offense: 0.17%
    • Percent of all U.S. drivers with a reckless driving offense: 0.0949%
  • Failing to yield the right of way isn’t just frustrating for other drivers; it’s dangerous, too. New Jersey is the #21 state in the country for drivers with a failure to yield violation on record.

    • Rank among states: #21
    • Percent of drivers in New Jersey with a failure to yield violation: 0.4%
    • Percent of all U.S. drivers with a failure to yield violation: 0.36%
    • Drivers in NJ with a failure to yield violation in their driving history pay on average 33.89% more than drivers with a clean record
  • Having a squeaky-clean driving record is an impressive accomplishment. Some states have consistently safer drivers than others; New Jersey is the #4 state in the country for drivers with a clean record.

    • Rank among states: #4
    • Percent of drivers in New Jersey with a clean record: 84.83%
    • Percent of all U.S. drivers with a clean record: 82.17%
  • As auto manufacturers increasingly turn towards producing greener car models, more and more motorists are embracing hybrids and EV’s. New Jersey drivers rank #12 in hybrid and electric vehicle ownership across all fifty states.

    • Rank among states: #12
    • Percent of drivers in New Jersey with a hybrid/electric vehicle: 1.23%
    • Percent of all U.S. drivers with a hybrid/electric vehicle: 2.4%
Insurify Insights

Insurify's team of data scientists and content specialists presents Insurify Insights, a series of automotive, home, and health studies focusing on the topics that impact us all. through expert analysis of over 4 million car insurance applications and an array of top data sources, the Insurify Insights team produces new data-driven articles, trend analyses, regional superlatives, and national rankings every week. See Insurify Insights as featured in Forbes, Fox News, USA Today, NPR, and more.

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  • The car insurance quotes displayed are based on an analysis of Insurify’s database of over 40 million quotes from 500 ZIP codes nationwide. To obtain representative rates, Insurify’s data science team performs frequent comprehensive analyses of the factors car insurance providers weigh to calculate rates including driver demographics, driving record, credit score, desired coverage level, and more.

    Insurify’s analysis also incorporates the Insurify Composite Score (ICS) assigned to each insurance provider. The ICS is a proprietary rating that weighs multiple factors reflecting the quality, reliability, and health of an insurance company. Ratings used to calculate the ICS 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. 

    With the above insights and ranking methods, Insurify is able to offer car insurance shoppers insight into how various insurance providers compare to one another in terms of both cost and quality. Note, actual quotes will vary based on unique attributes including the policyholder’s driver history and their garaging address.

Lindsay Frankel
Lindsay Frankel

Insurance Writer

Lindsay Frankel is a content writer specializing in personal finance and auto insurance topics. Her work has been featured in publications such as LendingTree, The Balance, Coverage.com, Bankrate, NextAdvisor, and FinanceBuzz.

Learn More

Sources

  1. New Jersey Department of Banking and Insurance. "State Minimum Car Insurance Requirements." Accessed May 28, 2022