Best & Cheapest Renters Insurance In New Jersey For 2025

At present the average cost of renters insurance in New Jersey is around $17 per month or $204 annually although this could change in the future as several popular insurance providers across the state have submitted requests for significant insurance premium hikes, including Allstate requesting 36.9% and MIC General requesting a 36% hike.

The state average for renters across New Jersey is 36.2% of all households but in some counties like Essex County, over 56% of households rent. No matter where you live, the cost is influenced most heavily across New Jersey by location and risk of severe weather. The coastal areas typically have the highest premiums due to the risk of weather events while urban areas have higher crime rates that cause increased premiums.

Having had over 15 years of experience as a licensed property and casualty agent, I’ve helped many clients find the right renters insurance to suit their needs and budget. This deep industry knowledge allows me to provide insights that save you time and money while making sure you have the right coverage.

Cheapest Renters Insurance Companies In New Jersey

Lemonade and NJM are the cheapest renters insurance companies in New Jersey. Lemonade costs an average of $7 per month, while NJM costs around $10.

Best Renters Insurance Companies In New Jersey 2025

State Farm is the best renters insurance company in New Jersey, with average monthly premiums of $13.

Use the table below to view the best renters insurance companies in New Jersey, and their average rates.

How Much Is Renters Insurance In New Jersey?

The average cost of renters insurance in New Jersey is typically around $17 per month, or about $204 annually. However, the exact cost can vary significantly depending on several factors. These include the location of the rental property, the value of your personal belongings, the coverage limits, and any additional coverage options you may choose.

Average New Jersey Renters Insurance Costs – By City

Where you live in New Jersey can have a significant impact on the cost of renters insurance.

Here’s a table showing the average cost of renters insurance in 10 major cities in New Jersey:

What Factors Affect The Price Of Renters Insurance In New Jersey?

Several factors influence the cost of renters insurance in New Jersey. Understanding these can help you manage your premium:

• Location: Areas along the shoreline have a higher risk of flood and hurricane damage while cities like Newark which are more heavily populated are also prone to higher burglary risks and therefore higher monthly costs.
• Value of Personal Belongings: The more valuable your possessions, the higher your coverage limits and premiums.
• Deductible: A higher deductible can lower your monthly premium but increase out-of-pocket costs.
• Claim History: A history of claims may increase your rates.
• Rental Property Type: Apartments may cost less to insure than houses. This is because of the reduced risk for wind damage compared to single-family homes, although New Jersey has many older homes with unique features like wood construction and older roofs that can pose a bigger risk. According to the news, an average of 34% of houses across New Jersey are at least 50 years old with the majority of houses built before 1950, in places like Atlantic City this is low, around 19%, but in Trenton, it is high, around 74%.
• Safety Features: Smoke detectors, security systems, and deadbolts may lower premiums.

Is Renters Insurance Required In New Jersey?

In New Jersey, renters insurance is not legally required by the state, but many landlords or property management companies may require tenants to have a policy in place. While the law does not mandate renters insurance, landlords often include this requirement in the lease agreement as a way to protect both the tenant and the property owner.

For tenants, having renters insurance is a wise decision, even if it’s not required by law. It helps safeguard personal property, which may be costly to replace out-of-pocket. Furthermore, renters insurance may provide coverage for temporary living expenses if the rental unit becomes uninhabitable due to a covered event.

While not mandatory, renters insurance can provide peace of mind and financial protection. It’s important to review the lease agreement and check with the landlord to see if it’s a requirement, as failure to comply could result in penalties or lease termination.

Common Renters Insurance Discounts In New Jersey

Renters insurance providers in New Jersey offer various discounts that can reduce your premiums:

• Bundling Policies: Combining auto and renters insurance with the same company can lead to savings.
• Security Features: Installing security systems or smoke alarms can result in discounts.
• Claim-Free Discounts: If you haven’t filed claims in several years, you may qualify for lower rates.
• Property Age: Newer, well-maintained homes may qualify for discounts.
• Loyalty Discounts: Long-term customers may receive reduced rates over time.

Common Renters Insurance Claims In New Jersey

The most common renters insurance claims in New Jersey have to do with seasonal storms, particularly tropical cyclones, hurricanes, and Nor’easter events. These result in wind damage claims, snow, hail, and ice claims, and in particular, flooding.

In major urban areas of the state, some of the most common renters insurance claims have to do with theft where high crime rates leave personal belongings at risk.

Does Renters Insurance In New Jersey Cover Hurricanes?

New Jersey saw annual tropical cyclones like Hurricane Debby in August of 2024 which resulted in flash flooding in parts of New Jersey.

Renters insurance in New Jersey typically does not cover damage from hurricanes en masse; Standard policies may provide coverage for wind damage, but hurricane-related destruction such as flooding or storm surges is usually excluded. To protect against hurricane damage, renters can add a windstorm endorsement or purchase separate hurricane insurance.

This additional coverage can help with repairs to personal property and provide protection in case of significant damage due to the storm, offering peace of mind during hurricane season.

Does Renters Insurance In New Jersey Cover Fire?

An average of 5% of all renters insurance claims have to do with damage from fires, a figure that has increased steadily since 2021.

For renters In New Jersey, a renters insurance policy will cover damage or loss of personal belongings including things like electronics, furniture, and clothing caused by fire. if your rental unit is completely destroyed, your renters insurance policy might cover temporary living expenses including things like a hotel and food. If someone is injured in a fire within your rental property and they sue you, your renters insurance policy might include liability coverage.

Renters insurance also provides liability coverage if the fire spreads and causes damage to neighboring units. It’s important to keep an updated inventory of belongings to ensure adequate coverage.

Does Renters Insurance In New Jersey Cover Tropical Storms?

According to the National Centers for Environmental Information, New Jersey has experienced dozens of weather disaster events with losses exceeding 1 billion dollars. This includes drought, floods, over 32 severe storms in the last 25 years, over 18 winter storms in that same time frame, and 13 tropical cyclone events. In the last year alone, there were 10 billion dollar disasters causing around 1 billion dollars in damage.

Renters insurance will typically cover tropical storm damage brought about by wind or lightning strikes but does not extend to flooding. Flooding caused by a tidal surge, heavy rain, or tropical storm might require additional flood insurance.

However, it’s important to review your policy to ensure that the specific coverage for wind and water damage is included. Additional coverage may be needed for high-value items, depending on the policy.

Does Renters Insurance In New Jersey Cover Flooding?

With high levels of natural disasters, flooding is a significant risk for renters in New Jersey. East Coast storms with heavy rainfall and snowmelt commonly affect the East Coast including New Jersey.

Unfortunately, renters insurance in New Jersey does not cover flooding caused by heavy rains, storm surges, or rising water. Flooding is considered a separate peril, and standard renters policies exclude this type of damage. To protect against flooding, renters in New Jersey must purchase separate flood insurance through the National Flood Insurance Program (NFIP) or private insurers.

Flood insurance will cover damage to personal property and the structure of the rental unit caused by rising water, ensuring comprehensive coverage in flood-prone areas.

Does Renters Insurance In New Jersey Cover Wind Damage?

Nor’easter is a common risk in New Jersey with high wind, and severe hail and rain impacting many homes. These storms cause winds that average between 50 and 70 mph.

Yes, renters insurance in New Jersey generally covers wind damage caused by events such as windstorms, tornadoes, and hail. Wind-related damage to personal belongings, such as furniture, electronics, and clothing, is usually covered under a standard renters policy.

However, damage caused by hurricanes may require additional windstorm coverage or a rider, as hurricanes are considered a separate risk. It’s important to review your policy to confirm that wind damage is included and to consider additional coverage if necessary for extreme weather events.

What Does Renters Insurance Cover In New Jersey?

Renters insurance provides essential protection for your belongings and liability, offering financial security in the event of unexpected incidents. Understanding what is covered under a renters insurance policy helps you make informed decisions about your coverage needs. Below, we break down the key components of renters insurance coverage.

Personal Property Coverage

Renters insurance typically covers personal belongings, such as furniture, clothing, electronics, and appliances, in the event of theft, fire, vandalism, or other covered disasters. It helps you replace or repair your possessions up to the policy’s coverage limit.

Loss Of Use Coverage

If you cannot use your rental due to a covered event, loss of use coverage can help with extra costs such as hotel stays and transportation.

Additional Living Expenses

If your rental becomes uninhabitable due to a covered incident, such as a fire or storm, renters insurance can cover additional living expenses. This includes the cost of temporary housing, meals, and other expenses while your home is being repaired or replaced.

Liability Coverage

Liability protection is an essential part of renters insurance. It covers legal expenses and medical costs if someone is injured while on your property. For example, if a guest slips and falls in your home, liability coverage can help pay for their medical bills and any legal fees if you are sued.

Medical Payments To Others

This coverage provides small, no-fault medical payments if someone is injured on your property, regardless of who is at fault. It helps cover minor medical expenses without the need for a lawsuit or liability claim.

Flood Coverage

Floods are excluded from renters insurance policies in New Jersey and that includes floods that result from tropical storms, hurricanes, winter storms, and more. With basic flood insurance, you can protect against damage from unexpected floods.

Hurricane Coverage

Hurricane coverage can be added to your policy depending on your provider or purchased as a separate insurance product to provide specific coverage against all hurricane-related events like hurricane-related flooding.

Winter Storm Coverage

You can invest in additional rider endorsements that you add to your coverage plan to protect against winter storm damage, in particular damage from events that are not otherwise covered under your policy like floods that result from heavy snow and ice melt.

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