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Average Cost of Car Insurance in New Jersey (With Quotes, Updated September 2022)

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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.
Katie Powers

By: Katie Powers

Edited by Jackie Cohen

Updated June 24, 2022

Quick Facts

  • New Jersey drivers spend $270 monthly and $3,240 yearly for auto insurance.
  • Married couples in New Jersey pay $45 less per month on average than single people.
  • Average auto insurance rates vary from city to city throughout New Jersey.

Drivers in New Jersey spend $270 per month and $3,240 per year on auto insurance, which exceeds the national average rates by $37 per month and $444 per year. On an individual level, auto insurance premiums vary based on driving history, credit history, marital status, age, insurance policy, insurance provider, vehicle type, and location throughout New Jersey.

Auto insurance companies offer a wide variety of coverage options and annual premiums. Shop around for car insurance quotes from all the insurers available to you to find the best car insurance for your insurance needs. Try out the Insurify quote-comparison tool today to learn how much you can save on an auto insurance policy from the convenience of your home.

How much does car insurance cost in New Jersey?

What is the average cost of car insurance in New Jersey?

On average, New Jersey drivers spend $270 per month and $3,240 per year on auto insurance. Rates ultimately vary depending on driving history, credit history, marital status, age, vehicle type, coverage type, insurance provider, and more.

The average annual cost for car insurance in the Garden State is $3,240, which shakes out to monthly payments of $270. Though New Jersey drivers face insurance prices that are more expensive than the national average, individual rates depend on driving history, coverage type, credit history, marital status, age, location in the state, and the chosen auto insurance company.

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Best New Jersey Auto Insurance Rates

Why would you settle for higher insurance rates when plenty of cheaper options exist? We identified the top auto insurers offering the best rates available in New Jersey to help you narrow your car insurance search. When it comes to car insurance premiums, car insurance companies are not created equal, which is why considering all of your options is so important.

Insurance ProviderAverage Monthly Premium
Travelers$190
CSAA$232
Nationwide$237
Progressive$245
Liberty Mutual$267
Bristol West$407
Plymouth Rock$181
Foremost Group$231
Mercury$290
Midvale Home & Auto$319
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

How are insurance rates calculated in New Jersey?

Auto insurance providers use unique methodologies when calculating insurance rates for their policyholders, but they generally consider common factors like driving history, credit history, age, marital status, vehicle type, discount eligibility, and coverage policy when assessing risk levels. Within New Jersey, rates will vary further depending on each policyholder’s city of residence.

New Jersey Car Insurance Rates by City

Area-specific factors, like population, crime rates, weather, and climate, influence auto insurance rates on a city-by-city basis in New Jersey. Average rates in Camden, East Orange, Elizabeth, Newark, Passaic, and Paterson all exceed the state average monthly rate of $270 by over $100, while New Jersey residents in other cities may pay less.

CityAverage Monthly Premium
Brick$222
Camden$392
Cherry Hill$220
Clifton$281
East Orange$396
Edison$240
Elizabeth$366
Franklin$232
Gloucester City$223
Hoboken$231
Jersey City$295
Lakewood$251
Middletown$202
Newark$381
Passaic$381
Paterson$389
Toms River$220
Trenton$290
Union City$341
Woodbridge$254
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

What is the average cost of car insurance in New Jersey by credit tier?

New Jersey, like most states, allows auto insurance providers to consider credit score history when calculating rates for policyholders and assessing risk. On average, drivers with poor credit in New Jersey spend over $100 more per month on car insurance payments than their peers with excellent credit. Insurify identified average rates by credit tier, as seen in the chart below.

Credit TierAverage Monthly Premium
Poor Credit$321
Average Credit$300
Good Credit$273
Excellent Credit$217

What is the average cost of car insurance in New Jersey by driver age?

Auto insurers charge teen drivers and young drivers under the age of 25 the highest car insurance premiums by driver age. Generally speaking, insurance providers view a lack of driving experience as a high-risk factor that increases the likelihood of a policyholder having a car accident or other incident. Rates steadily decrease as folks age, except for drivers over 80.

Average Cost of Car Insurance in New Jersey by Driver Age
Drivers under 25$423
20s$326
30s$254
40s$258
50s$239
60s$199
70s$185
80s and older$189
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

What is the average cost of car insurance in New Jersey by driver gender?

Statistically speaking, women in the United States tend to practice safer driving habits than their male peers, and men are more likely to purchase larger or more expensive motor vehicles. As a result of these and other factors, women typically pay slightly lower rates for auto insurance, but women currently pay $1 more than men on auto insurance in the state of New Jersey.

Average Monthly Quote for Women in New JerseyAverage Monthly Quote for Men in New Jersey
$277$276
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

What is the average cost of car insurance in New Jersey by marital status?

Good news for married couples: insurance providers view married folks as lower-risk drivers than single individuals, perhaps due to perceived stability or additional financial security. In New Jersey, married couples spend an average of $45 less per month on car insurance than their single companions.

Average Monthly Quote for Singles in New JerseyAverage Monthly Quote for Married Couples in New Jersey
$289$244
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

What is the average cost of car insurance in New Jersey for high-risk drivers?

Driving history is one of the most reliable factors that regularly impact the insurance rates calculated by auto insurance providers. Policyholders with clean driving records earn the lowest rates since they have demonstrated reliability behind the wheel and safe driving practices. Drivers with any recorded DUI, at-fault accident, or speeding ticket pay higher rates accordingly.

Driver ProfileAverage Monthly Premium in New Jersey
Clean Record$250
DUI$307
At-Fault Accident$343
Speeding Ticket$317
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

New Jersey Car Insurance Rates by Coverage Level

The levels of coverage purchased significantly impact car insurance rates. A more basic policy, like minimum liability insurance or other state minimum coverage, costs less than a standard policy with comprehensive coverage, collision coverage, or full-coverage car insurance. Drivers save with less coverage but risk being underinsured.

Coverage LevelAverage Monthly Premium in New Jersey
Liability Only$232
Comprehensive$230
Collision$322
Full Coverage$303
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

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

Whereas the Basic Policy in New Jersey only provides $5,000 of property damage liability insurance per accident and $15,000 of PIP per person, per accident, the Standard Policy has higher minimum coverage. The minimum liability insurance requirements for a Standard Policy in New Jersey[1] are:

  • $15,000 per person for bodily injury
  • $30,000 per accident for bodily injury

Personal injury protection coverage, also referred to as PIP coverage, will cover the policyholder for medical payments they incur in the event of an accident. Depending on your plan, you may also receive non-medical benefits, compensating you for lost wages, household expenses, and even funeral costs.

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 costs 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.

Tips for Getting the Cheapest Car Insurance in New Jersey

Many strategies for earning cheap car insurance exist, but shopping around for quotes before purchasing or renewing an auto policy is one of the most reliable ways to save money. With the Insurify quote-comparison tool, you can compare insurance quotes from top national and regional providers from the comfort of home. Give it a try today to find the perfect fit for you.

Frequently Asked Questions

  • Yes, car insurance rates vary depending on your city or county residence within New Jersey. Area-specific factors, like population, crime rates, weather, and climate, make some cities more expensive than others. For instance, average monthly rates in Newark and Paterson currently cost over $100 more than the average monthly rate for New Jersey as a whole.

  • On average, New Jersey drivers spend $270 per month and $3,240 per year on auto insurance coverage. Premiums vary depending on factors like driving history, discount eligibility, credit history, marital status, age, gender, vehicle type, chosen coverage, set deductible, and specific insurance provider. Rates also fluctuate significantly depending on location within the state.

  • Like in most states, auto insurance rates in New Jersey depend on driving history, personal information, location, auto insurer, coverage type, bundling with homeowners insurance, and more. Adhering to state coverage limits for personal injury protection and liability coverage for property damage and bodily injury liability results in lower rates than other coverage types.

  • You can find cheap car insurance in New Jersey by considering all of your insurance options before purchasing or renewing an auto policy. With the Insurify quote-comparison tool, you can easily compare quotes from regional providers and national providers like Allstate, GEICO, Progressive, and State Farm. Give it a try today to see your personalized monthly quotes.

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  • Data scientists at Insurify analyzed over 40 million auto insurance rates 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. With these insights, Insurify is able to offer drivers insight into how their car insurance premiums are priced by companies.

Katie Powers
Katie Powers
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Insurance Writer

Katie Powers is an insurance writer at Insurify with expertise in personal finance and auto insurance topics. She strives to help consumers make better financial decisions. Prior to joining Insurify, she completed her undergraduate and graduate degrees at Emerson College. Her work has been published in St. Louis Magazine, the Boston Globe, and elsewhere. Connect with Katie on LinkedIn.

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Sources

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