Car insurance rates vary greatly based on your ZIP code, the coverage you choose and other personal details, such as age and driving record. CarInsurance.com’s data shows that New Jersey Manufacturers offers the most affordable car insurance at $1,318 per year.
This guide makes buying car insurance in New Jersey easy. We’ve done the hard work by researching and analyzing what different drivers might pay for insurance.
Keep reading to learn how auto insurance in New Jersey works and how much insurance you need.
- New Jersey Manufacturers provides the most affordable annual rates for full coverage car insurance in New Jersey, at $1,318 per year.
- In New Jersey, car insurance costs can change based on the type of coverage, coverage limits, age, location, make and model of your car and your driving record.
- Minimum liability coverage in New Jersey costs around $853 annually for limits of 25/50/25, while liability-only coverage costs $915 per year for limits of 50/100/50.
- In New Jersey, driving incidents can significantly increase premiums, with a speeding ticket raising rates by up to 32%, a DUI raising rates by 72%, and an at-fault accident by up to 79%.
How much is car insurance in New Jersey?
According to CarInsurance.com data, drivers in New Jersey pay about $159 per month for full coverage car insurance.
Understanding the average insurance cost can help you plan your budget. Remember, car insurance rates vary widely, depending on the type of car you drive, your driving history and other personal factors.
Average cost of auto insurance in New Jersey by coverage level
Car insurance costs in New Jersey can differ based on the coverage limit. To legally drive, New Jersey residents must adhere to the minimum liability limits of 25/50/25.
Liability-only insurance is the least expensive coverage and meets the minimum legal requirements in New Jersey, but it doesn’t offer adequate protection.
While liability insurance protects you from financial loss by covering legal defense and damages if you’re found responsible for causing injury or property damage to others, it doesn’t protect your vehicle or passengers.
On the other hand, full coverage car insurance costs more but provides a lot more protection. It covers damage to your car in accidents, theft, natural events and animal collisions. If you have full coverage, you can be reassured that you’re well-protected.
Full coverage comprises liability, comprehensive, collision and any other coverage required by your state.
Below are the New Jersey car insurance costs for three different coverage levels.
| Coverage Level | Avg. Monthly Cost | Avg. Annual Cost |
|---|---|---|
| State Minimum – Liability Only BI/PD | $71 | $853 |
| Liability Only – 50/100/50 BI/PD | $76 | $915 |
| Full Coverage – 100/300/100 Liability BI/PD with $500 Comp/Coll Deductible | $159 | $1,902 |
State minimum car insurance in New Jersey
New Jersey laws mandate that all drivers carry insurance with minimum liability limits of $25,000 for bodily injury liability per person, $50,000 for bodily injury liability per accident and $25,000 for property damage liability.
The state minimum coverage in New Jersey costs $853 a year but doesn’t provide much protection for drivers. New Jersey drivers may purchase additional coverage, such as comprehensive and collision insurance, increase their liability limits and add personal injury coverage or other endorsements for extra protection.
Drivers in New Jersey must be aware of the minimum insurance coverage requirements to stay compliant.
Liability-only car insurance in New Jersey
The average cost of liability-only insurance in New Jersey is $915 for the coverage limits of 50/100/50, based on a recent data analysis by CarInsurance.com.
Liability-only insurance helps cover the costs if you damage someone else’s car or injure someone in an accident. It’s more affordable than full coverage insurance, but remember, it doesn’t pay for repairs to your vehicle or cover injuries to your passengers.
Full coverage car insurance in New Jersey
The average annual premium in New Jersey is $1,902 for a full coverage policy with limits of 100/300/100 – $100,000 in bodily injury coverage, $300,000 in bodily injury coverage per accident and $100,000 in property damage coverage.
Car insurance experts advise drivers to get full coverage insurance with the highest liability limits they can afford. Full coverage includes liability, comprehensive and collision coverage, with a deductible.
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Calculate the cost of car insurance in New Jersey
A policy that is perfect for someone living in one ZIP code might be expensive for a driver living in another.
When determining insurance premiums, companies study crime rates, traffic conditions, car thefts and population density in different areas. This research helps them assess the associated risk and set competitive prices for their policies.
As a result, residents in higher-risk neighborhoods in New Jersey pay more for premiums than those in lower-risk areas.
With our easy-to-use tool, you can get insurance quotes for different coverage limits for your ZIP code in minutes. Enter your ZIP code into our free tool to see how much you can save.
New Jersey Car Insurance Rates by ZIP Code
Estimate car insurance in New Jersey by car model
Car insurers in New Jersey use the make and model of your car to determine your insurance rates. Cars deemed more expensive to repair, such as luxury cars and EVs, may raise your rates more than those that may cost less to fix.
For instance, Maserati, BMW, Porsche and Audi are some of the most expensive cars to insure. Subaru, Hyundai, Honda and Mazda are among the cheapest cars to insure.
Find out how much you’ll pay for car insurance for your vehicle make and model in New Jersey.
Insurance Rates by Car Model
Guide: How to estimate car insurance using our car insurance estimator tool
Car insurance rates by age group in New Jersey
Younger drivers and teenagers typically pay more for insurance than older, more experienced drivers. This is because teenagers are more likely to get into car accidents. In fact, teenagers are four times more likely to crash than drivers who are 20 or older, according to the Insurance Institute for Highway Safety.
Auto insurance companies understand that teenage drivers typically have less experience and pose a higher risk to insure. In New Jersey, drivers aged 30 to 60 enjoy the lowest average auto insurance premiums, at $1,856 annually.
Car insurance for drivers aged 16-19 costs $4,701 more annually than New Jersey drivers aged 30-60.
See the average rates by age group below:
- For teen drivers: Teens aged 16-19 can expect to pay $6,557 per year for a full coverage car insurance policy.
- For young adults: Drivers aged 20-25 can expect to pay $2,916 a year for a full coverage policy.
- For average-aged drivers: Drivers aged 30 to 60 can expect to pay $1,856 per year in New Jersey.
- For senior drivers: Drivers age 65 and older can expect to pay $1,970 per year.
Check out our detailed guide on average car insurance rates by age
Rates based on driver profile, history and habits in New Jersey
A history of DUI, speeding, or at-fault accidents often results in significant hikes in insurance premiums. In New Jersey, a DUI conviction lead to increased rates and you may see a rate hike of up to 72% as insurers categorize you as a high-risk driver.
Similarly, if you get a speeding ticket in New Jersey, you’ll likely see an increase in your car insurance premium by up to 32% upon your policy renewal. Typically, you’ll pay more for three years. However, your rate increase also depends on state laws, your insurance company and your driving record.
Find below how much your car insurance rate increases depending on driving incidents:
- Speeding ticket: Up to 32% increase
- DUI conviction: 72% increase
- At-fault accident (bodily injury and property damage): 79% increase
Even if you’ve received a traffic ticket, you can still save money by comparing insurance quotes.
Car insurance cost in New Jersey for high-risk drivers
In New Jersey, if you’re a high-risk driver, you’ll pay more for car insurance. Factors such as past accidents, speeding tickets, and having a low credit score can increase your insurance costs.
Fortunately, high-risk drivers have several options to lower their insurance premiums. A good first step is to shop around and compare quotes, as each insurance provider has a unique rate structure designed to meet individual needs.
Use the tool below to see which company offers cheaper rates for drivers with speeding tickets, DUI convictions and at-fault accidents.
Select your state and risk factor below to see the insurance company and its
average annual full coverage rates.
| Company Name | Insurance Rates |
|---|---|
| NJM | $1,430 |
| Geico | $2,197 |
| Plymouth Rock Assurance | $2,573 |
| Travelers | $2,965 |
| State Farm | $3,586 |
| Progressive | $3,730 |
| Farmers | $4,984 |
| Allstate | $5,169 |
Learn more: The 10 most important factors that affect car insurance rates
Average car insurance cost in different states of U.S.
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Our apologies, we cannot display the data due to availability or spelling errors. Please check the spelling and try again. For assistance, reach out us via Compare car insurance quotes in New Jersey
Drivers in New Jersey can save hundreds of dollars by shopping around and comparing quotes. While many factors influence the cost of your car insurance, from driving record to the type of car you drive, there are many options to get the coverage you need at a price that works for you.
Compare the best car insurance options in New Jersey by getting quotes from different insurance companies.
Below are the details of New Jersey car insurance companies and their annual premiums.
| Company | State Minimum | 50/100/50 | 100/300/100 |
|---|---|---|---|
| New Jersey Manufacturers | $560 | $560 | $1,318 |
| Geico | $588 | $679 | $1,563 |
| Travelers | $983 | $1,043 | $1,706 |
| Plymouth Rock Assurance | $618 | $668 | $1,737 |
| Selective Insurance | $895 | $985 | $1,908 |
| State Farm | $1,089 | $1,186 | $2,153 |
| Progressive | $952 | $993 | $2,187 |
| Farmers | $1,073 | $1,101 | $2,254 |
| Allstate | $936 | $1,020 | $2,294 |
Car insurance rates by city in New Jersey
Newark is the priciest city in New Jersey for car insurance, costing an average of $2,641 annually. On the other hand, Brielle is the most affordable city, where drivers pay an average of $1,602 per year for car insurance.
Car insurance premiums differ across cities in New Jersey and are influenced by traffic conditions. Cities with heavier traffic often experience more frequent accidents and insurance claims, which results in higher insurance costs.
Other factors that can affect rates include the number of uninsured drivers, the cost of repairs and medical bills and the crime rate in the city.
Find below the average annual car insurance cost for drivers in some of New Jersey’s major cities.
Select your city below to see the insurance company and its average full coverage rates.
| Company Name | Insurance Rates |
|---|---|
| NJM | $1,320 |
| Geico | $1,452 |
| Selective Insurance | $1,639 |
| Travelers | $1,655 |
| Plymouth Rock Assurance | $1,718 |
| State Farm | $2,053 |
| Allstate | $2,054 |
| Progressive | $2,059 |
| Farmers | $2,104 |
How much does car insurance cost in New Jersey per month?
The average cost of a full-coverage car insurance policy in New Jersey costs $159 monthly for coverage limits of 100/300/100.
Paying car insurance monthly can offer individuals greater budget flexibility. By spreading the cost over time, they can avoid the strain of a hefty lump sum payment and manage their expenses more comfortably.
Alternatively, paying your car insurance in full upon renewal may earn you a discount. Ultimately, the ideal choice depends on your needs and situation.
| Coverage Level | Avg. Monthly Rates |
|---|---|
| State Minimum – Liability Only BI/PD | $71 |
| Liability Only – 50/100/50 BI/PD | $76 |
| Full Coverage – 100/300/100 Liability BI/PD with $500 Comp/Coll Deductible | $159 |
Final thoughts on choosing car insurance in New Jersey
When it comes to car insurance, one size doesn’t fit all. Drivers prioritize different things. Some value top-notch customer service and are willing to pay extra for it. Others focus on finding the cheapest rates possible. Some look for insurance companies with user-friendly mobile apps for managing claims and payments.
It’s really important to figure out what you need and find the best insurance policy for your car without breaking the bank while driving in New Jersey.
Resources & Methodology
Sources
- Insurance Institute for Highway Safety. “Teenagers.” Accessed September 2024.
- USAA. “How credit affects insurance premiums.” Accessed September 2024.
Methodology
CarInsurance.com commissioned Quadrant Information Services to get car insurance rates in New Jersey. The average premiums are based on the sample profile of a 40-year-old male and female driving a Honda Accord LX with a good insurance score and a clean driving record.
The rates are for different coverage limits. It includes:
- Full coverage car insurance with a coverage limit of $100,000 in bodily injury per person, $300,000 in bodily injury coverage per accident, $100,000 in property damage coverage per accident and a $500 collision/comprehensive deductible.
- Liability-only car insurance rates with a limit of 50/100/50.
- State minimum coverage limit of 25/50/25.
To evaluate the rates, we have compared 53,409,632 insurance quotes from 75 company groups across 34,588 ZIP codes. The average premiums are for comparison purposes only; your exact rates may vary.
Note: USAA is only available to military community members and their families.
Ask the Insurance Expert
Laura Longero
Executive Editor
Laura Longero is an insurance expert and Executive Editor at CarInsurance.com, where she specializes in helping consumers navigate the complexities of the financial and insurance industries. She has 15 years of experience educating people about finance and car insurance. Prior to joining CarInsurance.com, she worked as a reporter and editor at the USA Today Network. Her expertise provides readers with practical guidance, helping them make informed choices about their financial and insurance needs.
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John McCormick
Editorial Director
John is the editorial director for CarInsurance.com, Insurance.com and Insure.com. Before joining QuinStreet, John was a deputy editor at The Wall Street Journal and had been an editor and reporter at a number of other media outlets where he covered insurance, personal finance, and technology.
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Leslie Kasperowicz
Executive Editor
Leslie Kasperowicz is an insurance educator and content creation professional with nearly two decades of experience first directly in the insurance industry at Farmers Insurance and then as a writer, researcher, and educator for insurance shoppers writing for sites like ExpertInsuranceReviews.com and InsuranceHotline.com and managing content, now at CarInsurance.com.
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Nupur Gambhir
Managing Editor
Nupur Gambhir is a content editor and licensed life, health, and disability insurance expert. She has extensive experience bringing brands to life and has built award-nominated campaigns for travel and tech. Her insurance expertise has been featured in Bloomberg News, Forbes Advisor, CNET, Fortune, Slate, Real Simple, Lifehacker, The Financial Gym, and the end-of-life planning service.
Guide to car insurance (with rates) in cities of New Jersey