Best homeowners insurance in New Jersey (2024)

We looked at average costs, customer service ratings, and policy options from multiple top insurers to find the best and cheapest home insurance companies in New Jersey.

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By

Andrew HurstSenior Editor & Licensed Auto Insurance ExpertAndrew Hurst is a senior editor and a licensed auto insurance expert at Policygenius. His work has also been featured in The New York Times, The Wall Street Journal, Forbes, USA Today, NPR, Mic, Insurance Business Magazine, ValuePenguin, and Property Casualty 360.

Edited by

Pat HowardPat HowardManaging Editor & Licensed Home Insurance ExpertPat Howard is a licensed insurance expert and managing editor at Policygenius. Pat has written extensively about the home insurance industry and his insights as a subject matter expert have appeared in several top tier publications, including The New York Times, The Wall Street Journal, CNBC, and Reuters. Pat has a bachelor's degree in journalism from Michigan State University.
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Reviewed by

Michael Reynolds, CSRIC®, AIF®, CFT-I™Michael Reynolds, CSRIC®, AIF®, CFT-I™Financial AdvisorMichael Reynolds, CSRIC®, AIF®, CFT-I™, is a financial advisor, principal and founder of Elevation Financial, host of the weekly personal finance podcast Wealth Redefined®, and a member of the Financial Review Council at Policygenius.

Updated|4 min read

Expert reviewedExpert reviewedThis article has been reviewed by a member of ourFinancial Review Council to ensure all sources, statistics, and claims meet the highest standard for accurate and unbiased advice.Learn more about oureditorial review process.

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New Jersey's coastal location means it's susceptible to severe weather activity, including tropical storms. These disasters can lead to catastrophic wind and flood damage, which means potential damage to New Jersey homes. 

But even with the threat of these damaging storms, the average cost of homeowners insurance in New Jersey is only $886 per year or $74 a month. That's almost half as cheap as the national average cost of $1,754 per year.

Compare home insurance rates in New Jersey

Compare the best homeowners insurance companies in New Jersey

Based on our analysis of the most widely available insurance companies in the Garden State, NJM, State Farm, Chubb, and Plymouth Rock are the best homeowners insurance companies in New Jersey.

We found the best homeowners insurance companies in New Jersey by analyzing quotes from all the state's ZIP codes. We also looked at J.D. Power customer satisfaction scores, the NAIC's complaint index, and coverage offered by insurers to find the best homeowners insurance in the state.

Company

Best for...

Average monthly cost

Policygenius rating

NJM

Overall

$65

5.0 out of 5

State Farm

Coverage options

$83

4.8 out of 5

Chubb

High-value homes

$87

4.3 out of 5

Plymouth Rock

Flood protection

$94

4.3 out of 5

Methodology & why you can trust our rates

Policygenius has analyzed home insurance rates provided by Quadrant Information Services in March 2022 for ZIP codes in all 50 states plus Washington, D.C., for a 40-year-old female homeowner with no claim history, good credit, a $1,000 deductible, and the following coverage limits:

  • Dwelling: $300,000

  • Other structures: $30,000

  • Personal property: $150,000

  • Loss of use: $60,000

  • Liability: $300,000

  • Medical: $1,000

All rates based on the above coverage limits except where otherwise noted.

Some carriers may be represented by affiliates or subsidiaries. Rates provided are a sample of costs. Your actual quotes may differ.

Compare home insurance rates in New Jersey

Best overall home insurance in New Jersey: NJM

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2024 Policygenius award winner

NJM Insurance

NJM Insurance

Policygenius rating 

Our proprietary rating methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the "methodology" section for more details.

Full orange starFull orange starFull orange starFull orange starFull orange star

5.0

AM Best rating 

AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).

A+

Cost 

Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).

$

$

$

$

$

Bundle home & auto

Offers flood insurance

Offers earthquake insurance

Age 65+

Why we chose itchevron icon

NJM is the best overall home insurance company in New Jersey for its cheap rates, range of coverage add-ons, and highly-rated customer service.

Pros and conschevron icon

Pros

  • Cheap rates and 9 discounts to save even more, including ones for being a non-smoker and owning a back-up generator

  • Excellent NAIC score for customer service — received 100% fewer complaints than other insurers of its size in 2021

  • Offers a variety of lesser-seen endorsements, such as earthquake, flood, and assisted living care coverage

Cons

  • Doesn’t offer mobile app or customer service via online chat

More detailschevron icon

Why we chose NJM as the best home insurance in New Jersey

NJM is the best overall homeowners insurance company in New Jersey. While NJM is a small company, its rates and coverage options stack up well against those of a much larger company.

We found that NJM has the cheapest homeowners insurance among major companies in New Jersey, on average. NJM also offers a few discounts — including a non-smoker discount — that you can use to lower your rates even more.

NJM has a few useful add-ons, too. You can get water backup coverage, flood insurance (via the company's partnership with Wright Flood), scheduled personal property coverage, and others.

How do NJM home insurance rates compare to the average in New Jersey?

The average cost of NJM home insurance in New Jersey is $777 per year, which is 12% cheaper than the statewide average of $886 per year.

How to get a quote

Online through NJM

Best home insurance in New Jersey for coverage options: State Farm

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2024 Policygenius award winner

State Farm

State Farm logo

Policygenius rating 

Our proprietary rating methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the "methodology" section for more details.

Full orange starFull orange starFull orange starFull orange starHalf orange star

4.8

AM Best rating 

AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).

A++

Cost 

Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).

$

$

$

$

$

Bundle home & auto

Offers extended replacement cost

Offers flood insurance

Offers earthquake insurance

Wind/hail deductible

Offers wildfire insurance

Why we chose itchevron icon

State Farm is one of the best home insurance companies in New Jersey thanks to its large selection of policy options, high customer service marks, and industry-best financial stability ratings.

Pros and conschevron icon

Pros

  • Top-tier coverage add-ons, including extended replacement cost coverage

  • High customer satisfaction and financial strength ratings

  • Offers large discounts when you bundle your home and auto insurance

Cons

  • 20% more complaints filed with the NAIC than other companies of its size

  • No discounts for first-time homebuyers

  • Rates are more expensive than average in NJ

More detailschevron icon

Why we chose State Farm

State Farm is the best home insurance company in New Jersey for those who want to customize a basic policy with home insurance endorsements. With State Farm, you can get extended replacement cost coverage for your home, replacement cost coverage for your personal property, water backup protection, and much more.

You also get top-rated customer service with State Farm. The company has received high ratings from policyholders according to J.D. Power’s 2022 customer satisfaction, claims, and digital experience surveys. It has also received the highest rating possible from A.M. Best for financial strength and stability.

In New Jersey, State Farm's rates are higher than average. The company doesn't offer the same number of discounts as other insurers in the state, but if you're planning to bundle home and auto insurance with State Farm, you may receive a large discount.

How do State Farm home insurance rates compare to the New Jersey average?

The average cost of home insurance from State Farm in New Jersey is $991 per year, which is 12% higher than the statewide average.

How to get a quote

Online through State Farm or by contacting your local State Farm agent.

Best home insurance for high-value homes: Chubb

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2024 Policygenius award winner

Chubb

Policygenius rating 

Our proprietary rating methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the "methodology" section for more details.

Full orange starFull orange starFull orange starFull orange starHalf orange star

4.3

AM Best rating 

AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).

A++

Cost 

Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).

$

$

$

$

$

All 50 states

Offers flood insurance

Offers extended replacement cost

Offers wildfire insurance

Smart home discounts

Bundle home & auto

Mobile app

New homebuyer discount

Why we chose itchevron icon

Chubb is the best home insurance company for people with high-value and luxury homes, as well as other assets that need to be insured, like boats and luxury cars.

Pros and conschevron icon

Pros

  • Extended replacement cost coverage

  • Cash-out claim settlements

  • Complimentary wildfire and hurricane mitigation services

Cons

  • Below-average J.D. Power customer satisfaction ratings

More detailschevron icon

Why we chose Chubb

Chubb is the best home insurance company in New Jersey for high-value homes. While it's more expensive than average, Chubb's coverage offerings and specialized features make it our top pick for high-net worth individuals.

Chubb offers a range of robust coverages on top of its basic home insurance protections. These add-ons include extended replacement cost coverage for your home, replacement cost coverage for your personal property, water backup coverage, blanket personal property coverage, equipment breakdown coverage, and more.

You can also get a few special features with Chubb, like property manager services for a second home, high-tech home inspections, and personalized claims services.

How do Chubb home insurance rates compare to the New Jersey average?

The average cost of home insurance from Chubb in New Jersey is $1,039 per year, which is 17% more expensive than the statewide average of $886 per year.

How to get a quote

Online through Chubb

Best home insurance for flood protection: Plymouth Rock

award icon

2024 Policygenius award winner

Plymouth Rock

Plymouth Rock logo

Policygenius rating 

Our proprietary rating methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the "methodology" section for more details.

Full orange starFull orange starFull orange starFull orange starHalf orange star

4.3

AM Best rating 

AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).

A-

Cost 

Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).

$

$

$

$

$

Bundle home & auto

Offers flood insurance

Offers extended replacement cost

New homebuyer discount

Why we chose itchevron icon

Plymouth Rock offers flood insurance through its partnership with Neptune Flood, along with other useful endorsements that you can add to a basic policy.

Pros and conschevron icon

Pros

  • Offer private flood insurance with up to $2 million in coverage through its partnership with Neptune Flood

  • Guaranteed replacement cost coverage for your home available

Cons

  • Doesn’t offer replacement value coverage for your personal belongings

  • Much higher rates than average in NJ

More detailschevron icon

Why we chose Plymouth Rock

Plymouth Rock is the best homeowners insurance company in New Jersey for those who live near the coast or in a low-lying part of the state and need flood insurance. As an alternative to an NFIP policy, you can get up to $2 million in flood insurance from Plymouth Rock and its partnership with Neptune Flood.

You can also add a few types of home insurance to a basic Plymouth Rock policy, including guaranteed replacement cost coverage for your home, water backup protection, home systems coverage, and more.

How do Plymouth Rock home insurance rates compare to the New Jersey average?

The average cost of Plymouth Rock home insurance in New Jersey is $1,131 per year, which is around 28% higher than the annual statewide average of $886.

How to get a quote

Online through Policygenius or Plymouth Rock

How much is homeowners insurance in New Jersey?

The average cost of homeowners insurance in New Jersey is $886 per year, or $74 a month, for an insurance policy with $300,000 in dwelling coverage. This means insurance in New Jersey is 49% cheaper than the national average.

New Jersey homeowners insurance rates by city

We calculated the cost of home insurance in New Jersey's largest cities and found that Hackensack is the cheapest big city for homeowners insurance in the state. Paterson is the most expensive.

Here’s a look at the average cost of home insurance in the 20 largest cities in New Jersey.

City

Average monthly cost

Average annual cost

Difference from state average (%)

Newark

$86

$1,032

16%

Jersey City

$86

$1,029

16%

Paterson

$88

$1,058

19%

Elizabeth

$79

$946

7%

Trenton

$80

$961

8%

Clifton

$74

$890

0%

Camden

$82

$983

11%

Bayonne

$75

$901

2%

Passaic

$85

$1,018

15%

East Orange

$87

$1,047

18%

Union City

$80

$960

8%

Vineland

$84

$1,010

14%

Hoboken

$74

$882

0%

New Brunswick

$71

$856

-3%

Perth Amboy

$72

$867

-2%

Plainfield

$73

$877

-1%

West New York

$74

$887

0%

Hackensack

$67

$798

-10%

Linden

$71

$852

-4%

Kearny

$74

$890

0%

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New Jersey homeowners insurance rates by coverage amount

The table below highlights the average annual home insurance premium in New Jersey for five different levels of dwelling coverage, which is the part of your policy that covers structural damage to your home.

Generally speaking, more dwelling coverage means higher homeowners insurance rates, as shown in the table below.

Dwelling coverage limit

Average annual cost

$100,000

$408

$200,000

$660

$300,000

$886

$400,000

$1,104

$500,000

$1,341

Compare home insurance rates in New Jersey

Cheapest homeowners insurance companies in New Jersey

We found that the absolute cheapest homeowners insurance companies in New Jersey are Cumberland Mutual, Selective Insurance, Narragansett Bay, Preferred, and NJM. The company that has the cheapest rates for you depends on where you live and other factors to do with your home and insurance record.

Company

Average annual cost

Cumberland Mutual

$505

Selective Insurance

$625

Narragansett Bay

$697

Preferred Mutual Insurance

$724

NJM

$777

Franklin Mutual Insurance

$863

The Philadelphia Contributionship

$867

National General

$916

UPC Insurance

$955

State Farm

$991

Farmers

$1,026

Chubb

$1,039

USAA

$1,050

Plymouth Rock

$1,131

Progressive

$1,236

Collapse table

Cheapest New Jersey homeowners insurance if you have poor credit

Your credit score can impact your home insurance rates. Homeowners with poor credit scores are viewed by insurance providers as higher risk, so they’ll often be charged expensive rates as a result.  

With an average rate of $859 per year, Selective Insurance has the cheapest home insurance rates in New Jersey for homeowners with poor credit, while Farmers' average yearly premium of $1,948 is the highest.

Company

Average annual cost

Selective Insurance

$859

Franklin Mutual Insurance

$863

Narragansett Bay

$886

Cumberland Mutual

$964

Preferred Mutual Insurance

$992

NJM

$1,120

Plymouth Rock

$1,202

National General

$1,362

The Philadelphia Contributionship

$1,415

UPC Insurance

$1,592

Chubb

$1,648

State Farm

$1,666

Progressive

$1,834

USAA

$1,847

Farmers

$1,948

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Cheapest New Jersey homeowners insurance if you have an older home

It can be costly to insure older homes since they're more prone to structural damage than newer homes. They're also often constructed with materials and features that would be more expensive to replace after a claim.

With an average annual premium of $508, Cumberland Mutual offers the cheapest home insurance rates for an older home in New Jersey.

Company

Average annual cost

Cumberland Mutual

$508

Selective Insurance

$651

Preferred Mutual Insurance

$724

Narragansett Bay

$734

NJM

$813

Franklin Mutual Insurance

$863

Farmers

$863

The Philadelphia Contributionship

$962

National General

$966

State Farm

$991

Chubb

$1,001

UPC Insurance

$1,027

USAA

$1,156

Plymouth Rock

$1,203

Progressive

$1,240

Collapse table

Cheapest New Jersey homeowners insurance if you have a history of claims

Having a history of claims is one of the most likely reasons why your rates could be expensive. If you have multiple claims on your record, insurers will think you're more likely to file future claims than a homeowner without any past claims.

With an average annual premium of $724, Preferred Mutual offers the cheapest home insurance rates in New Jersey for a homeowner that's filed three claims within a five-year period, while Farmers is the most expensive.

Company

Average annual cost

Preferred Mutual Insurance

$724

Cumberland Mutual

$784

Franklin Mutual Insurance

$863

NJM

$878

Chubb

$1,001

Selective Insurance

$1,025

State Farm

$1,090

Plymouth Rock

$1,203

The Philadelphia Contributionship

$1,447

Narragansett Bay

$1,553

USAA

$1,607

UPC Insurance

$1,688

National General

$1,749

Progressive

$1,771

Farmers

$2,545

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Coverage options in New Jersey

When looking at how much each insurance company charges for different coverage levels and risks, you should also be aware of what your policy does and doesn’t cover.

Before you buy homeowners insurance in New Jersey, you should be sure you're protected against flooding.

Flood insurance

Many of New Jersey's homes are in flood zones, but flooding damage isn't covered by normal home insurance policies. If you live in a coastal city near the Atlantic Ocean or in an interior part of the state that's prone to flooding, you should consider flood insurance.

Some flood insurance companies, like Plymouth Rock and Neptune Flood, offer private flood endorsements or policies. Garden State homeowners can compare private flood insurance rates in New Jersey with Policygenius, or choose a policy through a government entity like the National Flood Insurance Program (NFIP).

How to buy homeowners insurance in New Jersey

New Jersey homeowners benefit a lot from living in their great state, but with the threat of hurricanes, bad weather, and flooding, it’s extra important to compare policies from multiple companies to make sure you’re getting the best coverage at the fairest price. 

Here are a few steps to follow as you shop for homeowners insurance in New Jersey: 

  1. Reach out to a licensed Policygenius agent. Our team of licensed home insurance experts are ready to help you figure out how much coverage you need and what company offers it at the best price. Plus, it comes at no charge and with no impact to your credit score.

  2. Consider purchasing flood insurance. Did you know standard home insurance policies don't cover flooding? Homeowners in the Garden State are at high risk of flood damage, so you’ll want to purchase flood insurance in New Jersey to make sure you’re fully protected. A Policygenius agent can help you do this, too.

  3. Figure out how low of a deductible you can afford. You’ll want to figure out how much you’ll be able to afford to pay out of pocket every time you file a claim due to hurricane or flood damage.

  4. Compare quotes from a Policygenius agent. Once you’ve nailed down your coverage needs and input details about your home, a Policygenius agent will walk you through quotes from a few different companies to help you find the best policy for your needs.

  5. Sign the policy and pay your first premium. After you’ve chosen the policy you want, your Policygenius agent will complete all of the paperwork for you. The only thing left to do is sign the policy and pay your first premium.  

Compare home insurance rates in New Jersey

Author

Andrew Hurst is a senior editor and a licensed auto insurance expert at Policygenius. His work has also been featured in The New York Times, The Wall Street Journal, Forbes, USA Today, NPR, Mic, Insurance Business Magazine, ValuePenguin, and Property Casualty 360.

Editor

Pat Howard is a licensed insurance expert and managing editor at Policygenius. Pat has written extensively about the home insurance industry and his insights as a subject matter expert have appeared in several top tier publications, including The New York Times, The Wall Street Journal, CNBC, and Reuters. Pat has a bachelor's degree in journalism from Michigan State University.

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