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 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 |
|---|---|---|---|
Overall | $65 | 5.0 out of 5 | |
Coverage options | $83 | 4.8 out of 5 | |
High-value homes | $87 | 4.3 out of 5 | |
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.
Best overall home insurance in New Jersey: NJM
2025 Policygenius award winner
NJM Insurance
5.0
Bundle home & auto
Offers flood insurance
Offers earthquake insurance
Age 65+
Why we chose it
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 cons
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 details
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
2025 Policygenius award winner
State Farm
4.8
Bundle home & auto
Offers extended replacement cost
Offers flood insurance
Offers earthquake insurance
Wind/hail deductible
Offers wildfire insurance
Why we chose it
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 cons
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 details
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
2025 Policygenius award winner
Chubb
4.3
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 it
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 cons
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 details
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
2025 Policygenius award winner
Plymouth Rock
4.3
Bundle home & auto
Offers flood insurance
Offers extended replacement cost
New homebuyer discount
Why we chose it
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 cons
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 details
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% |
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 |
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 |
$697 | |
Preferred Mutual Insurance | $724 |
$777 | |
Franklin Mutual Insurance | $863 |
The Philadelphia Contributionship | $867 |
$916 | |
$955 | |
$991 | |
$1,026 | |
$1,039 | |
$1,050 | |
$1,131 | |
$1,236 |
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 |
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 |
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 |
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:
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.
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.
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.
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.
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.
