So far in New Jersey, there have been more than 300 accidents and fatalities each in 2021, according to New Jersey State Police. These numbers are higher than the year-to-date for 2020 and 2019, with the highest number of driver fatalities per year. While the state’s rising accident death rate contributes to the higher-than-average cost of auto insurance, New Jersey drivers can protect themselves by having adequate auto insurance coverage. When shopping for auto insurance, it helps to know the average as a benchmark for comparing prices of competitors. The average cost of auto insurance in New Jersey is $ 1,757 per year for full coverage and $ 847 for the state minimum.
The Bankrate editorial team reviewed current premium information, obtained from Quadrant Information Services, and organized the cost of auto insurance by insurance company, city, age, and driving record. Understanding what factors affect the average cost of auto insurance in New Jersey could help you make more informed choices about your own coverage.
How Much Does Auto Insurance Cost in New Jersey?
Average auto insurance rates in New Jersey are $ 847 per year for minimum coverage and $ 1,757 per year for full coverage. Compared to the national average annual premiums of $ 565 per year for minimum coverage and $ 1,674 per year for full coverage, New Jersey drivers tend to pay more for auto insurance.
However, New Jersey auto insurance rates are determined using a number of personal factors. Your premium may be higher or lower depending on your age, credit rating, type of vehicle you drive, driving history and other factors.
New Jersey Auto Insurance Rates By Company
Each auto insurance company has its own pricing system, which means that the premiums offered for the same coverage will usually be different. If you are shopping for auto insurance coverage, it may be a good idea to get quotes from several different providers. Obtaining multiple quotes allows you to review coverage, discounts, and premiums.
|Auto insurance company||Average annual premium for minimum coverage||Average annual premium for full coverage|
|Allstate||$ 909||$ 1,686|
|American Independent||$ 1,463||$ 3,414|
|Amica||$ 430||$ 1,504|
|Farmers||$ 1,359||$ 2,803|
|Geico||$ 559||$ 1,316|
|Mercury||$ 1,022||$ 1,845|
|MetLife||$ 795||$ 1,307|
|NJM||$ 370||$ 1,271|
|Palisades||$ 528||$ 1,135|
|Penn National||$ 970||$ 1,820|
|Progressive||$ 735||$ 1,469|
|Selective||$ 474||$ 1,085|
|State farm||$ 724||$ 1,244|
|Hanover||$ 2,123||$ 4,638|
|Tower group||$ 1,087||$ 2,010|
|Travelers||$ 703||$ 1,320|
New Jersey auto insurance rates by city
Even within a state, auto insurance premiums can vary. Different cities and even different zip codes have different average annual premiums. This can be due to several factors, including the likelihood of accidents, the cost of vehicle repairs, and the price of health services in your area. The following table shows the average annual full coverage premium for New Jersey’s 20 most populous cities, along with how those premiums compare to the state average.
|City||Average annual premium for full coverage||% difference from the average annual state premium|
|Jersey City||$ 2,304||31%|
|Tom River||$ 1,635||-7%|
|Union City||$ 2,461||40%|
|Eastern Orange||$ 2,573||46%|
|Bergen North||$ 2,516||43%|
|New Brunswick||$ 1,815||3%|
New Jersey Auto Insurance Rates by Age
Age is one of the main drivers of auto insurance premiums. Indeed, younger drivers have less experience and tend to have more accidents than more experienced drivers. Because of the increased risk, insurance companies typically charge young drivers a higher premium.
* 16 years added to their parents’ policy
Premiums tend to decrease as you get older, but may start to rise again around age 70. This is because older drivers may again have a higher than average risk of a car accident.
New Jersey Auto Insurance Rates by Driving Record
Having tickets, accidents, or DUIs on your driving record tends to increase your auto insurance premium. Insurance companies tend to consider drivers with a history of offenses to be more likely to have accidents in the future.
|Driving incident||Average annual premium for full coverage in New Jersey||% increase in average annual premium|
How To Save On Car Insurance In New Jersey
Although drivers in New Jersey pay more than the national average for auto insurance, there are still ways to lower your premium. To find a cheaper font, you can:
- Compare the prices: Each insurance company has its own business model, which means that each company will weigh the rating factors differently. The cheapest business for one person may not be the cheapest business for another person. Getting quotes from multiple providers can help you find the coverage you’re looking for for a lower amount.
- Take advantage of discounts: Most insurance companies offer discounts. The more discounts you can take, the less you could pay for auto insurance. Finding a business with lots of discounts that you qualify for could help save you money.
- Increase your deductible (s): Your All Perils and Collision Damage deductibles are the amount you will pay out of pocket if you file a claim for damage to your car. Increasing one or both of these could reduce your premium. Just keep in mind that if you have an accident you will have to pay your deductible, so choosing a level that makes sense for your finances might be a good idea.
- Keep a good driving record: Your driving record greatly impacts your premium. Avoiding tickets, accidents, and offenses like DUIs could help you avoid surcharges and keep your rates lower.
There may be other ways to save that are specific to your insurance company. Talking to an agent can help you identify savings opportunities.
Frequently Asked Questions
How Much Does Car Insurance Cost in New Jersey Per Month?
The average monthly cost of auto insurance in New Jersey is just over $ 146 per month for full coverage and around $ 71 per month for minimum coverage. Your actual premium will vary based on your individual pricing factors.
Is New Jersey a No-Fault State for Auto Insurance?
Yes, New Jersey is a no-fault state, which means you need to purchase Personal Injury Protection Coverage (PIP). This coverage pays for medical bills and other eligible expenses for you and your passengers, regardless of who is at fault for an accident.
How Much Car Insurance Do I Need in New Jersey?
The amount of auto insurance you need in New Jersey depends on several factors, such as the age of the drivers in your household, the type and value of the car you drive, and where you live in the country. New Jersey. The state standard minimum includes limits of $ 15,000 for bodily injury liability per person and up to $ 30,000 per accident, as well as $ 5,000 for property damage liability per accident.
Coverage for uninsured / underinsured motorists is available up to the same selected liability amounts. The state’s PIP requirement requires coverage of at least $ 15,000. Some drivers may find only the minimum coverage needed on an older car while others may have full coverage. If you can’t afford to repair or replace your car if it’s damaged or destroyed in an accident, consider fully-covered auto insurance.
What is the best auto insurance in New Jersey?
Determining the best auto insurance in New Jersey depends on individual preferences and needs. When choosing the best auto insurance, consider what is most important to you, such as price, coverage offers, available discounts, or customer satisfaction. The best auto insurance company might not have the cheapest rates, but there is another area that is important to you.
Bankrate uses Quadrant Information Services to analyze 2021 rates for all zip codes and carriers in all 50 states and Washington, DC Rates shown are based on a 40 year old male and female driver with a clean driving record, credit and the following comprehensive coverage limits:
- $ 100,000 liability for bodily injury per person
- $ 300,000 in civil liability for bodily injury per accident
- Civil liability for property damage of $ 50,000 per accident
- $ 100,000 in bodily injury caused by an uninsured motorist per person
- $ 300,000 in uninsured bodily injury per accident to a motorist
- $ 500 collision deductible
- Global deductible of $ 500
To determine the minimum coverage limits, Bankrate used minimum coverage that meets the requirements of each state. Our basic profile drivers own a 2019 Toyota Camry, commute five days a week and cover 12,000 miles a year.
These are sample rates and should only be used for comparison purposes.
Age: The rates were calculated by evaluating our baseline profile with ages 18-60 (baseline: 40) applied.
Incident: The rates were calculated by evaluating our basic profile with the following incidents applied: clean criminal record (basic), responsible accident, single speeding ticket, single conviction for driving while intoxicated and forfeiture of coverage.