Cheap Car Insurance in New Jersey (2021)
State Farm is the best and cheapest car insurance company in New Jersey, according to our survey of the state’s top providers.
State Farm offers New Jersey drivers full-coverage car insurance for an average of $139 per month, based on our research. And it offers liability-only car insurance for an average of $41 per month.
Find out how much you might pay for auto insurance in New Jersey in this article, which includes information on:
How much is car insurance in New Jersey?
Liability-only, or minimum-coverage, car insurance in New Jersey costs $86 per month, on average. Full-coverage car insurance in New Jersey, which usually includes liability, collision and comprehensive coverages, costs an average of $178 per month.
What you pay for car insurance depends on several factors, including:
- How much coverage you select
- Your driving history
- Your age
- Your vehicle's make and model
- Where you buy your policy
To get your best rate for car insurance, shop around and compare quotes from multiple companies.
Where to get cheap full-coverage car insurance in New Jersey
The best company for cheap full-coverage car insurance in New Jersey is State Farm, with an average monthly premium of $139, our analysis shows.
This is $39 per month less than the average car insurance cost for full coverage in New Jersey, which is $178 per month.
| Company | Average monthly premium | |||
|---|---|---|---|---|
| State Farm | $139 | |||
| Progressive | $145 | |||
| Selective | $168 | |||
| Travelers | $173 | |||
| NJM | $175 | |||
| New Jersey average | $178 | |||
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | ||||
State Farm isn’t the only company that offers cheap full-coverage car insurance in New Jersey. GEICO and Progressive offer cheap full-coverage policies, too, with average monthly premiums of $145.
Where to get cheap liability car insurance coverage in New Jersey
State Farm is the cheapest company for liability car insurance in New Jersey, too, with an average monthly premium of $41.
This is $45 per month less than the average cost of liability coverage in New Jersey, which is $86 per month.
| Company | Average monthly premium | |||
|---|---|---|---|---|
| State Farm | $41 | |||
| GEICO | $67 | |||
| Progressive | $78 | |||
| Allstate | $92 | |||
| Selective | $98 | |||
| NJM | $99 | |||
| New Jersey average | $86 | |||
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | ||||
Other car insurance companies in New Jersey also offer cheap minimum-coverage policies. GEICO is one example, with a $67 average monthly premium. Progressive’s $78 average monthly premium is among the cheapest in the state as well.
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Cheapest New Jersey car insurance rates based on age
Young drivers pay more for car insurance in New Jersey than older drivers who have more experience behind the wheel. This is especially true for teen drivers in the Garden State. The average 16-year-old driver pays $293 per month for a liability-only car insurance policy in New Jersey. The average 19-year-old driver pays almost half that amount, $164 per month.
Drivers age 30 and older pay the cheapest rates for car insurance in New Jersey. They pay between $77 and $86 per month for minimum-coverage policies, according to our research, and between $154 and $178 per month for full-coverage policies.
Who offers young drivers the cheapest auto insurance in New Jersey?
State Farm and GEICO are the cheapest car insurance companies in New Jersey for young drivers looking to buy the minimum amount of coverage the state requires. This is true whether you’re in your teens or twenties.
Here’s how State Farm and GEICO compare to some other top car insurance companies in New Jersey for young drivers who want state-minimum coverage.
| Company | Average monthly premium for teen drivers | Average monthly premium for 20+ drivers | ||
|---|---|---|---|---|
| State Farm | $131 | $75 | ||
| GEICO | $134 | $95 | ||
| Allstate | $196 | $117 | ||
| NJM | $203 | $132 | ||
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | ||||
GEICO, NJM and Travelers are the best car insurance companies in New Jersey for young drivers looking to get full-coverage policies.
| Company | Average monthly premium for teen drivers | Average monthly premium for 20+ drivers | ||
|---|---|---|---|---|
| GEICO | $323 | $224 | ||
| NJM | $383 | $245 | ||
| Travelers | $410 | $221 | ||
| State Farm | $436 | $254 | ||
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | ||||
Where to find cheap car insurance in New Jersey for drivers with prior incidents
Speeding tickets, accidents and DUIs often cause car insurance rates to go up. DUIs and accidents result in bigger rate increases than speeding tickets, generally speaking, but that’s not always the case.
Cheapest car insurance in New Jersey for drivers with a DUI: Progressive
Progressive is the best insurance company for New Jersey drivers who have a DUI on their records. It offered our sample driver an average monthly premium of $174 for full-coverage car insurance after a DUI. That’s only $29 per month more than what it charges drivers with clean records.
| Company | Monthly premium before DUI | Monthly premium after DUI | Difference | |
|---|---|---|---|---|
| Progressive | $145 | $174 | $29 | |
| NJM | $175 | $217 | $42 | |
| Selective | $168 | $259 | $91 | |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | ||||
Cheapest car insurance in New Jersey for drivers after an accident: NJM
NJM offers the cheapest car insurance in New Jersey for drivers with an at-fault accident on their records. This company offered our sample driver an average monthly premium of $175 for full-coverage car insurance after an accident. That’s the same rate it charges drivers with no incidents.
| Company | Monthly premium before accident | Monthly premium after accident | Difference | |
|---|---|---|---|---|
| NJM | $175 | $175 | $0 | |
| Selective | $168 | $194 | $27 | |
| GEICO | $145 | $208 | $63 | |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | ||||
Cheapest car insurance in New Jersey for drivers with a speeding ticket: State Farm
State Farm is the best auto insurance company for New Jersey drivers with a speeding ticket. It offers drivers with tickets on their records full-coverage policies for $139 per month, on average. This is the same rate the company charges New Jerseyites who have clean driving records.
| Company | Monthly premium before ticket | Monthly premium after ticket | Difference | |
|---|---|---|---|---|
| State Farm | $139 | $139 | $0 | |
| GEICO | $145 | $145 | $0 | |
| Selective | $168 | $247 | $79 | |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | ||||
What are the best car insurance companies in New Jersey?
NJM and State Farm are the best auto insurance companies in New Jersey if you value customer service and satisfaction as highly as you do cheap rates.
State Farm got a high score of 851 in J.D. Power’s 2020 U.S. Auto Insurance Satisfaction Study, where the regional average is 842 and higher scores are better than lower ones. NJM earned a low score of 0.14 as part of NAIC’s 2020 Complaint Index. That means customers filed far fewer complaints against NJM with state regulators than would be expected in the market.
| Company | J.D. Power 2021 U.S. Auto Insurance Satisfaction Study | NAIC Complaint Index 2020 | ||
|---|---|---|---|---|
| GEICO | 835 | 0.69 | ||
| NJM | 867 | 0.14 | ||
| State Farm | 851 | 0.36 | ||
| Travelers | 836 | 0.19 | ||
| Note: J.D. Power assesses overall customer satisfaction on a 1,000-point scale. The NAIC Complaint Index is the rate at which customers file complaints to their state regulators. The median Complaint Index is 1.0. | ||||
New Jersey car insurance laws
Car insurance is mandatory in New Jersey, but the state’s drivers can choose between two types of policies — basic or standard — to meet this requirement.
Although the basic policy is cheaper than the standard policy, it also provides less protection.
| Type of coverage | Basic policy coverage requirements | Standard policy coverage requirements | ||
|---|---|---|---|---|
| Bodily injury liability | Not required or included, but $10,000 per accident can be bought | $15,000 per person, $30,000 per accident | ||
| Property damage liability | $5,000 per accident | $5,000 per accident | ||
| Personal injury protection | $15,000 per person or accident | $15,000 per person or accident | ||
| Uninsured/underinsured motorist | Not required or available | Not required, but coverage up to amounts selected for liability coverage can be purchased | ||
| Collision | Not required and only available from some insurers | Not required | ||
| Comprehensive | Not required and only available from some insurers | Not required | ||
| Source: State of New Jersey Department of Banking & Insurance | ||||
Driving without car insurance in New Jersey
New Jersey drivers who are caught driving without car insurance face the following penalties:
- Fines
- Driver's license or registration suspension
- Jail time
Methodology
QuoteWizard conducted a comprehensive study of New Jersey's car insurance rates using Quadrant Information Services. Unless otherwise stated, the quotes analyzed in this article are for a single, 30-year-old male with a clean driving record. He operates a 2012 Honda Accord LX with an average annual mileage of 13,500 miles.
When discussing a full-coverage car insurance policy, the driver had the following limits:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $100,000 property damage liability
- $500 collision and comprehensive deductible
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