New Jersey drivers pay an average of $2,259 a year for full coverage car insurance, making it one of the most expensive states in the U.S. for car insurance coverage.
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But even though car insurance rates are high in New Jersey, drivers can still save by shopping around and comparing quotes before they buy. Policygenius can help you see affordable options from top companies, so you can choose the coverage that’s right for you.
GEICO has the lowest average rates in New Jersey at $1,078 per year for a full coverage policy
Drivers in New Jersey must have at least $15,000 per person and $30,000 per accident in in bodily injury liability coverage and at least $5,000 in property damage liability coverage
Personal Injury Protection (PIP) and uninsured/underinsurance motorist coverage are also required in the Garden State
Each car insurance company uses different methods when calculating rates. So even though they’re all looking at your age, address, and driving history, one company may charge you much less for coverage than another. Comparing quotes from a few different companies will help you find the best deal.
Teens and young drivers pay more for car insurance, because their inexperience behind the wheel means they’re more likely to get in an accident and file a claim.
Typically, rates for young drivers fall as they approach the age of 25 and age-out of the highest-risk age group, but if you’ve just gotten your license or you’ve got accidents and violations on your record, turning 25 might not mean lower rates.
There’s no one right car insurance company that works for every driver. Since car insurance costs are based on so many individual factors — your age, driving history, credit score, and address — the right car insurance company for you may be different from the best option for your neighbor.
That’s why the key to finding your best rates is shopping around. Policygenius can help you see options from top car insurance companies, so you can choose the policy that’s best for your needs (and your wallet).
The more accidents and violations in your driving history, the more you’ll pay for car insurance. If you do have a less than perfect record, it’s even more important to shop around and compare options before you buy.
Having a good credit rating will help keep your car insurance costs down, while a low credit score likely means you’ll pay more for car insurance.
Where in New Jersey you live will also affect how much you’ll pay for car insurance. Crime rates, the number of accidents and claims and even the average cost of car repairs in your area will affect the cost of car insurance. Here’s what drivers pay in the 10 biggest cities in New Jersey:
Newark : $3,425
Jersey City: $3,012
Brick Township: $2,150
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New Jersey requires all drivers to have at least a minimum amount of car insurance in order to be legally allowed to drive. All drivers in New Jersey must have at least the following amounts of coverage:
Bodily injury liability coverage per person: $15,000 (Standard)
Bodily injury liability coverage per accident: $30,000 (Standard)
Property damage liability coverage: $5,000 (Basic/Standard)
Personal injury protection: $15,000 per accident, plus up to $250,000 for severe injuries for a standard policy (Basic/Standard)
Uninsured/underinsured motorist coverage: Must match liability limits if purchasing a standard policy
Standard vs. basic car insurance policies: Under New Jersey law, drivers can select a “basic” car insurance policy. These policies offer very limited coverage at a reduced rate, so drivers who can afford to buy well-over the amounts required by law should do so.
New Jersey is a no-fault state: This means that each driver's own car insurance pays for their medical bills after a car accident, regardless of who was at fault. New Jersey drivers are required to have at least a minimum amount of PIP coverage, which is the coverage that pays for injuries after an accident.
There are several ways to get cheap car insurance in New Jersey, including:
Always compare costs: Shop around to make sure you’re getting the best deal
Get discounts: Insurance companies offer discounts for things like safe driving and paying your premium up front as opposed to monthly billing. Make sure you know what you qualify for
Bundle policies: Bundling insurance means getting more than one type of insurance policy from the same company, like auto and home together — this can usually earn you savings on both
Reshop yearly: Before renewing your policy, check to see if you could be getting the same coverage at a better rate from another company
Yes, it is required in New Jersey. Driving without car insurance carries penalties of monetary fines, driving privilege suspension, and possible jail time.
Collision coverage pays for damage to your vehicle even if you’re at fault in an accident. Comprehensive coverage covers damage caused by non-accident incidents, like fire, flood, theft, and vandalism.
Under certain circumstances, yes. For example, as long as the policyholder is listed on your registration along with you, it’s permitted. This is one of those situations that can be addressed when you shop for car insurance, just make sure to be upfront about your situation.
Policygenius has analyzed car insurance rates provided by Quadrant Information Services for every ZIP code in all 50 states plus Washington, D.C. For full coverage policies, the following coverage limits were used:
Bodily injury liability: 50/100
Property damage liability: $50,000
Uninsured/underinsured motorist: 50/100
Comprehensive: $500 deductible
Collision: $500 deductible
In some cases, additional coverages were added where required by state or insurer.
Rates for overall average rate, rates by ZIP code, and cheapest companies determined using averages for single drivers ages 30, 35, and 45. Our sample vehicle was a 2017 Toyota Camry LE driven 10,000 miles/year.
Rates for driving violations and “Poor” credit determined using average rates for a single male 30-year-old driver with a credit score under 578.
Some carriers may be represented by affiliates or subsidiaries. Rates provided are a sample of costs. Your actual quotes may differ.