Compare Auto Insurance Quotes in New Jersey to Get the Best Rates

Compare Auto Insurance Quotes in New Jersey to Get the Best Rates

Wednesday, August 16 2017 By Steve Bowen

The Garden State has the most expensive car insurance rates of any state, coupled with a complex system that offers drivers many choices about their policies. If drivers in any state could use help lowering their rates and finding the right policies for them, it’s New Jersey.

This page will show you which types of coverage are legally required in New Jersey, provide information about the cost of driving including average rates, and share some insights about insurance risk to help you protect yourself and your family.

Average New Jersey Car Insurance Rates

How much is car insurance in New Jersey? You already know car insurance can be pricey in New Jersey. But did you know that New Jersey is the most expensive state in America for car insurance?

The average cost of car insurance in New Jersey is $1,263.67 per year. The national average annual cost is $866.31.

New Jersey Average Annual Car Insurance Rates

Coverage	Rates
Liability	$881.58
Collision	$371.36
Comprehensive	$126.26
Total Cost Per Year	$1,263.67
Price Per Month	$105.30

If you want car insurance in New Jersey that offers reliable coverage at an affordable price, you have to shop around. To do this, you have to compare quotes from multiple insurance companies. But that can be a hassle if you do it on your own.

QuoteWizard will help you by introducing you to a number of top insurance companies. Then you can compare rates and decide which coverage options are the best for your situation. That means less legwork and, better yet, lower costs.

Last year, 61,377 people used QuoteWizard to get an auto insurance quotes comparison in New Jersey from top companies and find the cheapest rates.

Top 10 Vehicles in New jersey

This is our list of the most common vehicles owned by New Jersey drivers requesting car insurance quotes through QuoteWizard in the past year.

Best Car Insurance Companies New Jersey

This is our list of the car insurance companies reported by QuoteWizard users living in the state of New Jersey last lear. Out of the 61,377 New Jersey drivers that used QuoteWizard to request insurance quotes last year, 5,303 had no car insurance.

New Jersey State Auto Insurance Laws

Car Insurance Minimum Coverage

New Jersey is one of the 12 US states that have a no-fault insurance system. In no-fault states, accident victims can collect benefits from their own insurance companies, regardless of whether the other party is insured. Liability coverage is meant to help pay for other peoples’ medical and repair bills if you're found at fault in a car accident. Personal Injury Protection (PIP) coverage is intended to pay for your medical expenses after an accident, regardless of who was at fault.

However, unlike most other no-fault states, New Jersey offers drivers a choice of two different types of policies: basic and standard.

A basic policy is less expensive than a standard policy, but also offers much less protection. A basic policy includes:

• $5,000 of coverage for property damage liability per incident
• $15,000 of coverage for Personal Injury Protection

A standard policy costs more than a basic policy, but offers a great deal more protection. A standard policy includes a minimum of:

• $15,000 of coverage for bodily injury liability per person
• $30,000 of coverage for bodily injury liability per incident
• $5,000 of coverage for property damage liability per incident
• $15,000 of uninsured motorist bodily injury coverage per person
• $30,000 of uninsured motorist bodily injury coverage per incident
• $15,000 of coverage for Personal Injury Protection

In addition, drivers may choose between several types of Personal Injury Protection coverage:

• Full PIP Primary Coverage: This type of PIP serves as your primary coverage for accident-related injuries to you and your passengers. Full PIP primary coverage includes income replacement (if you’re unable to work following an accident), funeral expenses, and other significant expenses that aren’t strictly medical in nature.
• Full PIP Health Primary: With this type of PIP coverage, your health insurance serves as the primary coverage for any injuries sustained in an accident. It includes coverage for other non-medical expenses just like full PIP primary coverage.
• Medical Only PIP Primary Coverage: Medical coverage for accident related injuries is provided by this type of PIP coverage. Coverage for income replacement, funeral expenses, and other non-medical expenses is not included.
• Medical Only Health Primary: Your health insurance plan serves as your primary coverage for accident-related expenses. No coverage is provided for income replacement, funeral expenses, or other non-medical expenses.

But wait, New Jersey drivers have another coverage decision to make...

If a driver selects a standard policy, they must choose a limited right to sue or unlimited right to sue. If a driver chooses a limited right to sue, they can only sue for pain and suffering related to an accident if they or a passenger has suffered a grievous injury like the loss of a body part, disfigurement, or death. In return for this limited right to sue, a policy with a limited right to sue will have lower premiums than a policy with an unlimited right to sue, all other things being equal.

If a driver chooses an unlimited right to sue, they can sue the driver deemed to be at fault, even if the injuries caused by an accident are not severe. Drivers that select this option will have higher premiums than a policy with a limited right to sue, all other things being equal.

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Required Proof of Car Insurance

Any time you drive in New Jersey, you must be prepared to show your car insurance identification card to law enforcement upon request. You will get this identification card from your car insurance company when you buy a policy. The card must include all of the following:

• Name of the insurance company
• Policy number
• Effective date of the policy
• Expiration date of the policy
• Description of the year, make, or model of the insured vehicles, or the name of the insured driver. The word “fleet” may be used for more than 5 vehicles owned by the same person or business.

Penalties

Being convicted of driving without proof of insurance in New Jersey carries a fine of $150.

SR-22 Requirements

New Jersey residents that have had their driver’s licenses suspended due to drunk driving convictions or other violations must provide proof of financial responsibility by filing an SR-22 form. “SR” stands for safety responsibility and it certifies that a driver has the minimum amount of insurance required by state law.

New Jersey law requires that an SR-22 be carried for 36 consecutive months. If a driver fails to renew their policy 15 days before expiration, a letter is sent to the state resulting in suspension of their license. Once renewed, the license will be reinstated, but this can be a time-consuming process.

State of New Jersey Traffic Safety Laws

Distracted Driving Laws

New Jersey prohibits drivers from using hand-held cell phones while driving. It also prohibits school bus drivers, and novice drivers in New Jersey from using cell phones in any way while driving. All drivers are also banned from sending or receiving text messages while driving.

Implied Consent Law

New Jersey’s Implied Consent law requires that any driver submit to testing to determine the alcohol or drug content of their blood, breath, or urine when arrested by law enforcement for suspicion of driving under the influence (DUI) of drugs or alcohol. Refuse the test and you’ll face the following penalties in addition to those for a DUI:

• First Offense: 7-month driver's license revocation
• Second Offense: 2-year driver's license revocation
• Third Offense: 10-year driver's license revocations

Click here to see the Penalties for DUI in New Jersey

Booster Seat Law

The state of New Jersey requires children who are under 8 years of age, and weigh less than 80 pounds to ride properly secured in a child safety seat or booster seat in the rear seat of a vehicle. If there is no rear seat, the child may sit in the front seat, but they must be secured by a child safety seat or booster seat. Children under 8 years of age who weigh more than 80 pounds must be properly secured in a seat belt. A rear-facing infant seat should never be placed in a front seat with a passenger-side airbag unless it is disabled.

Graduated Driver’s License Program

New Jersey has implemented a 3-tier graduated driver’s license program beginning with a learner's permit and ending with a license with full driver privileges.

Teens are allowed to apply for a learner's permit once they’re 16 years old and have completed an approved driver's education course. They must pass a written and vision test in order to obtain a permit. All driving with a learner's permit must be supervised by a licensed adult who is at least 21 years old and has been driving for at least three years. Drivers with learner’s permits are forbidden to drive between 11:00 pm and 5:00 am. No passengers are allowed in the vehicles of drivers with a learner’s permit except for parents, guardians, or dependents.

Once the driver has reached the age of 17, they can take the driver’s test. If they pass the test, a probationary driver’s license is issued. Drivers may now drive unsupervised, but the other driving restrictions are all still in place. A driver with a probationary license must have a parent or guardian’s supervision if they have more than one passenger in their vehicle. Drivers obtain their full driving privileges, and free from driving restrictions once they complete the above requirements and turn 18.

Senior Drivers in New Jersey

All New Jersey drivers are required to renew their driver’s licenses every 4 years. There are no special provisions for senior drivers.

Seat Belt Laws

New Jersey requires that all passengers in a moving vehicle aged 7 or younger and over 80 pounds wear seat belts. It also requires that anyone in a moving vehicle age 8 or older wear a seat belt. Children are required to use approved child seats as described above. The maximum fine for a first offense is $46, including court costs.

Vehicles Registered in Another State

When you drive a vehicle in New Jersey that is required to be registered in another state, you must have the type of insurance required by that state. You must be able to provide proof of this insurance to law enforcement if requested.

The Cost of Driving in New Jersey

Average New Jersey Car Insurance Rates

The average cost of car insurance in New Jersey in 2014, the most recent year for which data was available, was $1,263.67 compared to a national average of $866.31. New Jersey is the most expensive state in America for car insurance.

Fuel Taxes

The state of New Jersey taxes gasoline at 14.5 cents per gallon and diesel fuel at 17.5 cents per gallon. This is in addition to the Federal fuel tax of 18.4 cents per gallon on gasoline, and 24.4 cents per gallon on diesel. The total tax on regular gasoline is 32.9 cents per gallon. For diesel fuel, the total tax in New Jersey is 41.9 cents per gallon.

Car Insurance Risk in New Jersey

Traffic Fatalities

In 2014, there were 556 traffic fatalities in New Jersey, a 2.5% decrease from the state’s 542 traffic fatalities in 2013.

Vehicle Thefts in New Jersey

New Jersey had 11,705 vehicle thefts reported in 2014, a 14.8% decrease compared to 2013. In 2014, the vehicle theft rate was 131 per 100,000, a decrease of 15.1% from the 2013 rate of 154.3 per 100,000.

The vehicle theft rate in New Jersey is significantly below the overall US vehicle theft rate, which was 216.2 per 100,000 in 2014.

Top 10 Most Stolen Vehicles in New Jersey

Source: National Insurance Crime Bureau - Hot Wheels Report 2014

1. 1997 Honda Accord
2. 1997 Honda Civic
3. 2002 Dodge Caravan
4. 2000 Jeep Cherokee/Grand Cherokee
5. 2006 Ford Pickup (Full Size)
6. 1997 Nissan Sentra
7. 1997 Nissan Altima
8. 2011 Toyota Camry
9. 1997 Nissan Maxima
10. 2003 Ford Econoline E250

Top 10 New Jersey Auto Insurance Companies - Market Share

Source: Insurance Information Institute

Rank	Market Share	Company
1	17.4%	Geico (Berkshire Hathaway)
2	13.4%	NJ Manufacturers Insurance
3	13%	Allstate
4	9.8%	Progressive
5	7.8%	Plymouth Rock
6	7.6%	Liberty Mutual
7	3.6%	USAA
8	3.2%	Travelers
9	2.9%	Farmers

Uninsured Drivers

The percentage of New Jersey residents estimated to be driving without insurance is 10.3%. That ranks New Jersey as #30 among US states and the District of Columbia, slightly better than average.

Crash Statistics

The New Jersey Department of Transportation maintains a large amount of car crash-related data on this website: http://www.state.nj.us/transportation/refdata/accident/

New Jersey Department of Banking and Insurance - Division of Insurance

http://www.state.nj.us/dobi/division_insurance/

Commissioner:

Richard Badolato

Insurance Hotline:

(800) 446-7467

Street Address:

20 West State Street
P.O. Box 325
Trenton, NJ 08625

File a Consumer Insurance Complaint

Insurance Complaints/Inquiries

Sources:

• FBI Uniform Crime Report
• NHTSA Fatality Analysis Reporting System
• Insurance Information Institute – Minimum Coverage Levels by State
• American Petroleum Institute
• National Insurance Crime Bureau
• Governors Highway Safety Association
• Insurance Information Institute – Insurance Expenditures by State
• New Jersey Motor Vehicle Commission
• New Jersey Auto Insurance Market Share

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