Gianetta Palmer

By 

Gianetta Palmer

Gianetta Palmer

Freelance contributor

Gianetta Palmer is a freelance writer who lives in the Georgia mountains. Her writing on health and car insurance, has appeared on numerous sites.

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With its proximity to the Atlantic Ocean, Newark has seen its share of bad weather, including nor’easters and hurricanes. So homeowners in Newark will want to have enough home insurance to withstand any weather event.

The average cost of homeowners insurance in Newark is $1,115 per year or $93 a month. This is around 13% higher than the statewide average of $926 per year and on par with the national average of $1,899. 

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However, the cost isn’t the only factor to consider when choosing a home insurance company. Not sure what to look for? Policygenius can help you figure out your coverage needs and compare quotes from multiple top companies in Newark.  

Best homeowners insurance companies in Newark

Of the companies we looked at, NJM has the lowest home insurance rates in Newark, with an average annual policy cost of $1,062 per year — lower than the average rate for all of New Jersey. Chubb has the next lowest average rates at $1,082 per year.

Policygenius analyzed thousands of quotes from the 5 largest Newark insurers to find the average cost of homeowners insurance with each company in 2022. We then looked at 2021 J.D. Power customer satisfaction scores and compared that with the coverage needs of Newark residents to find the best homeowners insurance in Newark.

Company

Average yearly cost

J.D. Power Rating

NJM

$1,062

--

State Farm

$1,142

835

Chubb

$1,082

801

Plymouth Rock

$1,611

--

USAA

$1,105

882

NJM Insurance

NJM Insurance logo

NJM offers customizable home insurance coverage at an affordable rate, including policy add-ons for increased protection for your computers, firearms, credit cards, and more.

Pros

  • Coverage add-ons include mold protection, HOA insurance, earthquake coverage, and assisted living care protection

  • Increased personal property coverage limits available

  • Save with discounts for nonsmokers, owning a backup generator, installing storm shutters, and more

  • Excellent customer satisfaction ratings

  • Receives fewer customer complaints than the industry average

  • File claims online — with 24/7 claims support

Cons

  • Doesn't offer extended replacement cost coverage for your home or belongings

Why NJM tops our best list

NJM scores well in customer satisfaction ratings and receives fewer customer complaints than the industry average. It has numerous add-on coverages, including mold protection, as well as discounts for nonsmokers, owning a backup generator, or installing storm shutters.

How to get a quote

Online through NJM

State Farm

State Farm logo

There's a reason State Farm is one of the top-rated insurance companies in the U.S. — its customer satisfaction ratings are through the roof, it offers a slew of coverage add-ons for full protection, and makes filing claims through its mobile app a breeze.

Pros

  • Top-tier coverage add-ons, including equipment breakdown, water backup, and service line coverage

  • Get up to $1 million in personal liability coverage

  • Score discounts for bundling, installing security devices, and choosing a high deductible

  • File and track claims online, over the phone, in person, or through its mobile app

  • High customer satisfaction and financial strength ratings

Cons

  • No discounts for first-time homebuyers or going a year without a claim

Why State Farm tops our best list

State Farm is one of the top-rated insurance companies in the industry. It scores well in both customer service and claims satisfaction, according to J.D. Power, and with several available discounts and already low rates, State Farm is a top choice for homeowners insurance in Newark. Customers can file and track claims online or through the company’s mobile app.

How to get a quote

Online through State Farm

Chubb

Chubb logo

Chubb is a top-tier insurer ideal for high-value homes that need more robust coverage that goes beyond the run-of-the-mill options offered by traditional insurance companies.

Pros

  • Base policies include extended replacement cost coverage for your home and replacement cost coverage for your personal property — two perks that cost extra with most other companies

  • Helps you find temporary living arrangements if your home can't be lived in after a covered loss

  • No deductible on losses greater than $50,000

  • Cash-out claim settlement option means you can still get paid even if you decide not to repair your home after a covered loss

Cons

  • Rates are among highest in the industry

  • Will only insure high-value homes

Why Chubb tops our best list

Chubb offers extended replacement cost coverage for your home and property — a perk that typically costs more with other insurance companies. Chubb specializes in home insurance for high-dollar homes and for those looking for more robust coverage than traditional companies offer. One perk we love is that Chubb requires no deductible on losses greater than $50,000.

How to get a quote

Online through Policygenius or Chubb

Plymouth Rock

Plymouth Rock logo

Plymouth Rock offers comprehensive dwelling coverage option like guaranteed replacement cost, affordable rates, and simplified claims and policy management thanks to a convenient mobile app.

Pros

  • Rates are lower than the national average

  • Offers guaranteed replacement cost coverage

  • Multiple discount options

Cons

  • No online quotes

Why Plymouth Rock tops our list

Plymouth Rock is only available in six states but offers rates lower than the national average. Enjoy discounts for using fire-resistant building materials during construction, installing smart home monitoring devices, or buying a new home. Customers can file and track claims online or through the Plymouth Rock mobile app.

How to get a quote

Online through Policygenius or by calling Plymouth Rock

USAA

USAA logo

USAA's robust coverages and high marks for customer service and claims satisfaction make it a solid home insurance option for military members and their families.

Pros

  • Score discounts for zero claims, being a loyal USAA member, opting into e-billing, and more

  • Base policy includes coverages that cost extra with most other companies

  • Offers earthquake coverage — which is hard to come by

  • Get discounted home security systems and a discount on premiums through its partnership with ADT

  • Industry-best customer service and claims satisfaction ratings

Cons

  • Only available to military families

  • Doesn’t offer extended or guaranteed replacement cost dwelling coverage

Why USAA tops our best list

USAA’s base policy includes coverage options that that generally cost extra with other companies, making it a smart move to get great coverage at an affordable price. USAA is only available to those serving in the military and their family members, and customers can bundle their home and auto insurance policies together to receive a discount. 

How to get a quote

Online through USAA

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Cheapest homeowners insurance companies by ZIP code in Newark

Looking at average home insurance costs for 15 of the most popular companies in Newark, we found that the cheapest home insurance in the city can be found in the 07102 ZIP code (Downtown) with Narragansett Bay. The average Narrangansett Bay rate in this area is $716 per year — $400 less than the city average of $1,115 per year. 

Homeowners in most areas of Newark are likely to have the cheapest rates with Narragansett Bay and UPC Insurance, with rates up to $925 per year. 

ZIP code

Company

Average yearly cost

07102

Narragansett Bay

$716

07103

UPC Insurance

$897

07104

UPC Insurance

$902

07105

Narragansett Bay

$856

07106

UPC Insurance

$886

07107

UPC Insurance

$895

07108

UPC Insurance

$902

07112

UPC Insurance

$897

The most affordable areas for homeowners insurance in Newark

With an average home insurance rate of $1,082 per year, the 07114 ZIP code (Newark Airport) is the most affordable area for home insurance in Newark. Median home values of $400,000 make this neighborhood one of the most affordable places to live in the city.   

ZIP code

Average yearly cost

07114

$1,082

07105

$1,083

07102

$1,102

07107

$1,110

07112

$1,114

The most expensive areas for homeowners insurance in Newark

With an average home insurance rate of $1,142, the 07106 ZIP code (Vailsburg) is the most expensive area for home insurance in Newark. 

ZIP code

Average yearly cost

07106

$1,142

07108

$1,136

07103

$1,132

07104

$1,130

07112

$1,114

Shopping for homeowners insurance in Newark

Shopping for home insurance in Newark might not be at the top of your daily to-do list, but finding the right insurance company for home insurance needs is an important decision. With help from the experts at Policygenius, you’ll be able to explore coverage options and choose which providers work best for you.

In this section, we break down the average annual home insurance rates in Newark for different coverage and deductible levels, as well as the cheapest and most expensive home insurance companies for dog and pool owners, and those with a low credit score.

Newark home insurance costs by coverage amounts

Dwelling coverage is the section of your homeowners insurance policy that pays to repair or rebuild your home from the ground up after a covered loss. 

Newark homes with a dwelling coverage limit of $400,000 pay an average of $1,402 each year for home insurance. The most significant rate jump occurs in the $400,000 to $500,000 price rang, with a $300 difference in premiums between those coverage levels.

Dwelling coverage amount

Average yearly cost

$100,000

$512

$200,000

$825

$300,000

$1,115

$400,000

$1,402

$500,000

$1,723

Personal liability coverage is the section of your home insurance that pays the medical, legal, and repair bills of an injured party on your property if you are found legally responsible. 

Liability coverage amount

Average yearly cost

$100,000

$1,098

$200,000

$1,076

$300,000

$1,115

$400,000

$1,071

$500,000

$1,143

Newark home insurance costs by deductible amount

Your home insurance deductible is the amount you’re responsible for paying before insurance kicks in after a covered loss.

A higher deductible means lower monthly payments, but it also means you'll be paying more out of pocket on each claim. Newark residents can save around $320 on their home insurance policy by choosing a $2,000 deductible over the $500 option.

Deductible amount

Average yearly cost

$500

$1,290

$1,000

$1,115

$2,000

$969

Home insurance discounts in Newark

One smart way to protect your family and earn a discount on your home insurance at the same time is by having certain features like home security systems and deadbolt locks on your property. Here is the average annual rate and average discount percentage for homes in Newark with deadbolts, smoke alarms, or burglar alarms. 

Discount

Average yearly cost

Dead bolt

$1,113

Smoke alarm

$1,110

Burglar alarm

$1,055

Home insurance companies in Newark for dog owners

Most communities have laws in place that require your dog to be on a leash whenever you are outside your property, which protects you and others in the event of a dog bite. Some insurance companies might charge you more for your home insurance because of the heightened risk of a dog bite.

With an average rate of $1,082 per year, Chubb has the cheapest home insurance rates in Newark for a home with a dangerous dog breed, while Plymouth Rock’s average yearly premium of $1,611 is the highest. 

Company

Average yearly cost

Chubb

$1,082

NJM

$1,101

USAA

$1,105

State Farm

$1,142

Plymouth Rock

$1,611

Home insurance companies in Newark for poor credit

A few late payments can have a huge impact on your credit score and can also lead to higher home insurance rates. That’s because some insurance providers consider a poor credit score as an indicator of risky behavior and an increased risk of filing an insurance claim

With an average rate of $1,549 per year, Chubb has the cheapest home insurance rates in Newark for a homeowner with poor credit, while State Farm’s average yearly premium of $1,923 is the highest. 

Company

Average yearly cost

Chubb

$1,549

NJM

$1,592

Plymouth Rock

$1,611

USAA

$1,824

State Farm

$1,923

Home insurance companies in Newark for pool owners

Swimming pools are a lot of fun on a hot day, but you might be surprised to learn that some insurance companies consider swimming pools to be a liability risk and charge higher rates.

With an average rate of $1,082 per year, Chubb has the cheapest home insurance rates for Newark homes that have a swimming pool, while Plymouth Rock has the most expensive rates at $1,611 per year.

Company

Average yearly cost

Chubb

$1,082

NJM

$1,084

USAA

$1,105

State Farm

$1,142

Plymouth Rock

$1,611

How to buy homeowners insurance in Newark

To help make the home insurance buying process go smoothly for you, we’ve compiled a list of easy steps to take as you shop for home insurance in Newark. Check out the list below:

  1. Reach out to a licensed Policygenius agent. Our team of licensed home insurance experts can help you get affordable quotes from top companies. We can help you determine how much coverage you need to ensure your house is fully protected — all at no cost or obligation to you.

  2. Ask if you should purchase flood or hurricane coverage. With the recent uptick in coastal storms, adding hurricane coverage to your base policy is a smart move to keep your home protected when bad weather happens. Plus, flood insurance isn’t covered in a basic home insurance policy, so consider asking your Policygenius agent about purchasing this additional coverage.

  3. Figure out if you need a $500, $1,000, or $2,000 deductible. A lower deductible means you’ll pay more per month for home insurance. However, you’ll pay less out of pocket on a covered claim. A Policygenius agent can help you pick out a deductible that works within your budget.

  4. Compare quotes from a Policygenius agent. Once you’ve determined which coverage options work best for you, a Policygenius agent can send over several quotes for your review. 

  5. Sign the policy, and pay your first premium. Policygenius will handle all of the paperwork for you. Just sign your name and pay your first premium. We’ll even cancel your old policy if it isn’t expired yet.

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Frequently asked questions

Is home insurance mandatory in Newark?

Home insurance isn’t required in Newark unless you financed your home with a loan or mortgage. Mortgage lenders require home insurance to protect their investment against catastrophic losses. Even if you don’t have a mortgage, having home insurance is the best way to protect your assets against weather-related disasters like Hurricane Sandy.

What is the average home insurance cost in Newark?

The average home insurance rate in Newark is $1,115 a year or $93 a month. That’s about $16 more per month than the statewide average.

Does Newark offer flood insurance?

Flood insurance is offered in Newark through insurers taking part in FEMA’s National Flood Insurance Program, as well as some independent insurance companies. Consider asking a Policygenius agent about getting this valuable coverage in addition to homeowners insurance.

Methodology

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.