Cheap Auto Insurance in New Jersey (2023)

The best car insurer for your needs will vary depending on factors like your location, coverage needs, and price. And since the cost of car insurance seems to continually increase, finding affordable options is also an important factor.

If you live in the Garden State, you have a lot to consider when determining the best car insurer for you. Here’s what you should know about the best car insurance in New Jersey.

Best car insurance companies in New Jersey

When trying to find the best car insurance company for you, you’ll want to look at your individual needs and compare the value you’d get with one insurer versus another. Are you looking for an insurance company that offers lots of discounts, or are you interested in one that’s more lenient on drivers with violations on their records?

Or maybe you want a company that offers better rates to drivers younger than 25. No single car insurance option will work for everyone in New Jersey. The key is to find the best insurer to match your needs.

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Best car insurance overall: State Farm

State Farm

State Farm works with more than 19,000 agents to provide affordable car insurance options across the United States. Start Farm also has a 4.4 IQ Score and offers savings for teen drivers and students. State Farm customers can receive discounts for being a good driver, for drivers under 25, and for drivers who have gone three or more years without any moving violations or at-fault accidents.

State Farm customers pay an average of $206 for liability coverage and $216 for full coverage.

Best cheap car insurance in New Jersey: Travelers

Travelers

Travelers provides several car insurance options in New Jersey. It also offers benefits like accident forgiveness, which allows you to avoid a premium increase after your first at-fault accident. Travelers has a 4.3 IQ Score and offers new-car replacement coverage as an add-on option.

Customers pay an average of $170 for liability coverage and $217 for full coverage.

Most affordable car insurance in New Jersey: GEICO

GEICO

GEICO can save you some money, offering an average monthly rate of $112 for liability only and $117 for full coverage. GEICO also offers online quotes and personalized coverage, including collision, comprehensive, emergency road service, and mechanical breakdown insurance.

With a 4.3 IQ Score, GEICO also helps customers save an average of 15% on insurance and has a 97% customer satisfaction rating.

Best for commuters: Nationwide

Nationwide

Nationwide has been around for more than 90 years and earned an IQ Score of 4.1 out of 5. The Nationwide SmartRide program rewards safe drivers with a 10% discount upon enrollment and savings of up to 40% overall. This program can help commuters who spend a lot of time in the car and practice safe driving habits save money.

Nationwide also offers optional coverages like accident forgiveness, roadside assistance, and gap coverage. For liability coverage car insurance from Nationwide, drivers pay an average of $287 per month.

Best for families: Midvale Home & Auto

Midvale Home & Auto

Coverage from Midvale Home & Auto can meet your family’s basic auto and home insurance needs while providing useful additional coverage options and savings opportunities. Customers can save on premiums by bundling auto and homeowners insurance, and the company rewards drivers for insuring multiple vehicles.

Midvale Home & Auto also offers a good student discount and an away at school discount for young drivers attending school at least 100 miles away from their insured vehicle. On average, customers pay $289 per month for liability and $355 for full coverage with Midvale Home & Auto.

Best for college students: Liberty Mutual

Liberty Mutual

Liberty Mutual offers customizable auto insurance plans based on your needs. This company is a great option for college students. Students with a B- or higher average GPA can earn a good student discount. The company also offers a student away at college discount for those who leave their cars at home.

Liberty Mutual has an IQ Score of 3.8 out of 5. On average, drivers pay $243 per month for liability and $317 for full coverage.

Best for luxury car owners: Allstate

Allstate

Allstate rewards safe drivers with discounts for driving safely and for insuring a brand-new car. The company also provides umbrella insurance, which can be helpful for luxury car drivers with expensive vehicle repair costs. On average, Allstate drivers pay $337 per month for liability and $354 for full coverage in New Jersey.

Best car insurance for renters: Progressive

Progressive

If you’re a renter in New Jersey, you may be able to score additional savings when you bundle your auto insurance and rental insurance with Progressive. Your apartment complex may require you to get renters insurance. And if you need coverage, this is a great way to save up to 4% when combined with auto insurance. Progressive offers various pricing options and competitive rates.

The average monthly cost of liability insurance in New Jersey from Progressive is $198. If you want more protection, full coverage costs $312 per month. You may be able to save even more with the company’s Snapshot program if you practice safe driving habits. Plus, with Progressive’s Name Your Price tool, you can see what options fit your budget.

Progressive has an IQ Score of 4.1. It should be noted, though, that the company has below-average ratings in customer satisfaction when it comes to filing auto claims, according to data from J.D. Power.

Best car insurance for high-risk drivers: Bristol West

Bristol West

Bristol West is a good choice for high-risk drivers in New Jersey, specifically because the insurer works with drivers who don’t have stellar records. Bristol West offers a variety of coverage options, whether you’ve had a DUI, traffic infraction, or limited credit history. This also means that it has some of the highest average monthly premiums.

Bristol West has nearly 50 years of experience in the insurance industry. It holds an A rating from A.M. Best and from the BBB, though its customer reviews stand at a 1.32/5 rating. New Jersey drivers with clean records pay an average of $335 per month for liability-only coverage and $492 per month for full coverage.

How Insurify’s experts used internal proprietary data to rate the top auto insurers

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 Services’ database of auto insurance rates.

With these insights, Insurify is able to offer drivers insight into how companies price their car insurance premiums. The data included on this page represent averages across all driver ages, gender, credit scores, and driver profiles for New Jersey drivers.

How to shop for the best car insurance in New Jersey

You should consider several factors when you’re shopping for the best car insurance in New Jersey. You can start your search by confirming the state’s legal minimum car insurance requirements. Then, you can look into:

• How much coverage you may want or need: This could include collision, comprehensive, uninsured motorist, or emergency roadside assistance.

• Reviews and customer satisfaction: Look at credible customer satisfaction ratings, as well as reviews and complaints filed with the Better Business Bureau, to find any issues customers might have had with the company and how they were resolved.

• Types of communication offered: Do you prefer to have your own local agent? Or would you rather call the company directly or send messages through the app? Think about your preferred communication methods as well when considering the best car insurance option for you.

• Claim-filing process: Check if there’s a way to file claims easily via phone or through an online system. You also may want to confirm whether the insurance company allows you to check the status of your claim online.

How to get the cheapest car insurance in New Jersey

Finding the cheapest car insurance in New Jersey will depend on factors such as your location, age, and driving history, but you can still do some specific things to lower costs:

• Ask your insurer about discounts (multi-policy and safe driver discounts are popular).

• Keep a clean driving record.

• Consider increasing your deductible.

• Shop around and gather quotes from at least three insurance companies.

“While you may explore trimming coverages or making changes to your deductible, talk with your agent and make sure you completely understand the impact of those cost-saving changes,” says Adam Schwery of COUNTRY Financial. “They could have long-term consequences if you have an accident or claim.”

Minimum car insurance requirements in New Jersey

All motor vehicles operating in New Jersey must meet minimum insurance coverage requirements. New Jersey is also a no-fault state, which means both parties’ insurance companies will pay for medical expenses via personal injury protection, regardless of who caused the accident.

Below are the minimum coverage requirements for both a standard and a basic policy.

Liability-only vs. full-coverage insurance in New Jersey

The state of New Jersey requires minimum liability auto insurance for drivers. This pays for the damage to the other vehicle and the other person’s medical expenses during an accident. Liability-only coverage won’t help pay for the cost of repairs to your car or your personal medical expenses during an accident.^[3]

However, liability-only coverage may make sense if you’re driving an older vehicle that’s more affordable to replace. An older car will have depreciated in value, which could reduce repair and replacement costs as well.

You may also consider liability-only coverage if your car is completely paid off. In the case of an accident, you wouldn’t have to worry about paying a lender your full loan amount or having to replace the vehicle if you didn’t need to right away.

If you want more coverage, you may want to consider full-coverage auto insurance. Full-coverage insurance includes liability as well as comprehensive and collision coverage. With comprehensive coverage, your vehicle is protected against:

• Natural disasters

• Falling objects

• Fires

• Theft

• Riots and civil unrest

Collision insurance can be added on to liability coverage and helps pay for damage to your car due to any type of collision, usually up to the actual cash value of your vehicle.

While full-coverage may cost more, it could be ideal if you’re looking for more coverage. Here’s a look at the cheapest auto insurance in New Jersey by policy type. GEICO, State Farm, Travelers, Esurance, and Nationwide all have prices below the state average.

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New Jersey car insurance rates by driving and accident history

Your driving history also affects your car insurance rates. If you have moving violations or tickets on your record, this can increase your car insurance premiums since insurers might see you as a higher-risk driver.^[4]

Things that could affect your insurance rates include speeding tickets, driving under the influence, and at-fault accidents, which can stay on your driving record for several years.

Here’s a look at the average monthly quotes for the cheapest car insurance in New Jersey, based on driving and accident history.

SR-22 insurance in New Jersey

An SR-22 is a form that your insurance company files with the state’s department of motor vehicles (DMV) to verify that you’re carrying the state’s minimum auto insurance coverage. In several states, drivers convicted of a DUI need to get an SR-22 before being able to drive again.

However, this isn’t required in New Jersey. If you do have a DUI conviction in New Jersey, talk to your insurance company about your coverage options.

New Jersey car insurance quotes by credit tier

Many states allow insurers to factor in your credit score when calculating your car insurance rate, and this includes New Jersey.^[5] Your credit score shows how well you manage your finances and if you pay your bills on time. A good credit score ranges from 670 to 739, according to Equifax. But the higher your credit score, the better your options will be.

Car insurance quotes in New Jersey cities

Car insurance rates can vary by city within New Jersey. Some larger cities may have more traffic or a higher number of accidents, leading to higher car insurance rates. Cities that experience more theft or vandalism can also have higher insurance rates.

Here are the average monthly quotes for car insurance in 10 New Jersey cities.

New Jersey car insurance rates by driver age

Age is another important factor that affects car insurance rates. Insurers find that drivers younger than 25 tend to have more accidents than older drivers, so they accommodate this risk by increasing prices for this group.^[4]

This chart shows you what you can expect to pay for car insurance in New Jersey based on your age.

New Jersey car insurance FAQs

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 Accord

Most Popular Car in New Jersey

#49

State with the Most Speeding Tickets Rank

#47

State with the Moving Violations Rank

#47

State with the Most DUIs Rank

#41

State with the most Suspended Licenses

• Accidents in New Jersey

  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 #42 state in the country for drivers with an at-fault accident on their driving record.

  • Rank among states: #42
  • Percent of drivers in New Jersey with an accident: 6.9%
• DUIs in New Jersey

  While driving while intoxicated is never acceptable, it’s a more common offense than many assume. New Jersey is the #47 state in the country for drivers with a prior drunk driving conviction.

  • Rank among states: #47
  • Percent of drivers in New Jersey with a DUI: 0.8%
• Reckless Driving in New Jersey

  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 #20 state in the country for drivers with a reckless driving offense on record.

  • Rank among states: #20
  • Percent of drivers in New Jersey with a reckless driving offense: 1.4%
• Rude Driving in New Jersey

  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 #17 state in the country for drivers with a rude driving violation on record.

  • Rank among states: #17
  • Percent of drivers in New Jersey with a rude driving violation: 1.8%
• Speeding in New Jersey

  Exceeding the speed limit can endanger others and have a serious impact on your insurance costs. New Jersey is the #49 state in the country for drivers with a speeding ticket on record.

  • Rank among states: #49
  • Percent of drivers in New Jersey with a speeding ticket: 4.7%
• Failure to Yield Rates in New Jersey

  Failing to yield the right of way isn’t just frustrating for other drivers; it’s dangerous, too. New Jersey is the #11 state in the country for drivers with a failure to yield violation on record.

  • Rank among states: #11
  • Percent of drivers in New Jersey with a failure to yield violation: 0.2%

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.