Cheapest Car Insurance In New Jersey

I believe GEICO offers the best cheap car insurance in New Jersey.

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Updated: 11 September 2023
Written by
Bob Phillips

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With more than 30 hours of research spent reviewing 54 quotes from the top insurance providers in New Jersey, we’ve found that GEICO offers the cheapest car insurance rates for many categories.

The insurance provider was the cheapest overall and the best for New Jersey drivers with driving violations or motorists seeking minimum and full coverage policies. GEICO also has the best rates for senior drivers, while NJM is the best option for younger drivers.

New Jersey has always been a hub for companies in the research and development sector. With abundant opportunities, many people move to the area to pursue a career in pharmaceuticals, science, and technology. While there are several things to consider when living in New Jersey, the average auto insurance should be on the top of any new citizen’s list.

Most New Jersey drivers can expect to pay around $254 for a liability-only plan and $314 for full coverage. However, there are several locations in the state where motorists can find rates as low as $208 a month.

Within the following sections, we’ll explore the landscape of car insurance throughout New Jersey — comparing companies and identifying the rates different categories of drivers can expect to pay in The Garden State.

Cheapest And Best Car Insurance Companies In New Jersey, 2023

Best Car Insurance, New Jersey 2023

Compare The Cheapest Car Insurance Companies In New Jersey

Overall Rating Best For JD Power Rating Average Annual Cost AM Best Rating Get A Quote
GEICO
4.7

Best Overall

824

$1,262

A++

Instant Quote
GEICO
4.7

Minimum Coverage

824

$1,344

A++

Instant Quote
GEICO
4.7

Full Coverage

824

$1,404

A++

Instant Quote
New Jersey Manufacturers(NJM)
4.3

Young Drivers

867

$2,926

A+

Instant Quote
GEICO
4.7

Senior Drivers

824

$1,302

A++

Instant Quote
GEICO
4.7

Driving Violations

824

$2,236

A++

Instant Quote
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Our Methodology

To find the cheapest car insurance rates in New Jersey, we analyzed findings from numerous car insurance review sites, some of which analyzed rates from public filings obtained by Quadrant Information Services. We also utilize the combined twenty-five years of experience from our team of insurance experts to evaluate each carrier.

  • 54 Quotes Analyzed
  • 16 Brands Reviews
  • 25 Years of Industry Experience
  • 30+ Hours of Research
  • It’s important to note that even though the rates listed in this guide are accurate, premiums shift daily and can fluctuate based on each driver.

    47

    Quotes Analyzed

    15+

    Years Of Industry Experience

    14

    Brands Reviewed

    30+

    Research Hours

    Best Cheap Car Insurance Companies In New Jersey


    Cheapest Overall

    Overall Rating
    4.7

    Key Statistics

    10/10 Affordability
    9/10 Customer Reviews
    9/10 Payouts
    9/10 Coverage Level

    Why We Like Them

    For many people, purchasing car insurance is a time-consuming and stressful process. However, with a company like GEICO, the ability to find, select, and buy an auto insurance policy has never been easier.

    The company offers an easy-to-use website that allows potential policyholders to quickly navigate the application process and find the perfect coverage for their needs. It also helps that GEICO continues to be one of the cheapest insurance carriers in New Jersey.

    Overall, very few companies in the region can match the affordability and customer experience that GEICO offers.

    Benefits & Drawbacks

    Benefits
    • Affordable coverage options for nearly all driver categories
    • Offers a large variety of discount options for policyholders
    • Easy-to-use website and mobile app
    • Ranked highly for customer service and customer satisfaction
    Drawbacks
    • Very few local agents are available to assist current or prospective customers
    • Drivers will need to look elsewhere for coverages such as gap and rideshare insurance

    Cheapest Overall Rates In New Jersey

    Company Average Rate Per Year
    GEICO $1,262
    Plymouth Rock $2,328
    State Farm $2,592
    Travelers $2,616
    Nationwide $3,012

    Cheapest For Motorists With Driving Violations

    Overall Rating
    4.7

    Key Statistics

    10/10 Affordability
    9/10 Customer Reviews
    9/10 Payouts
    9/10 Coverage Level

    Why We Like Them

    Even though GEICO has slightly higher rates for drivers with DUIs, they are more forgiving when it comes to other driving violations such as speeding tickets or minor incidents. This forgiveness is seen in the pricing difference between the insurance provider and other companies like Travelers or Progressive.

    GEICO also offers one of the best customer shopping experiences for potential policyholders thanks to its interactive website and mobile app. Drivers with a history of driving violations would be hard-pressed to find a better insurance company in New Jersey to purchase their car insurance coverage through.

    Benefits & Drawbacks

    Benefits
    • Continuously scores as one of the best insurance companies for customer loyalty and service
    • Impressive rankings for how they handle claims
    • Numerous discount options are available to lower monthly premiums further
    • Affordable rates available for most drivers
    Drawbacks
    • There aren’t many local agents to speak to if you have issues with your policy
    • Slightly higher than average rates for drivers with DUIs
    • Additional coverage options like vanishing deductibles and car replacement coverage are not available

    When car insurance companies receive an application from a potential policyholder, they create a risk profile based on several factors. One of the most significant components of these profiles is the motorists driving history.

    If your record shows a history of multiple speeding violations or other incidents, you’ll be classified as a medium to high-risk driver, resulting in higher premiums. Likewise, drivers with a clean record will receive lower rates since they don’t have a history of driving violations.

    Cheapest Rates For Motorists With Driving Violations In New Jersey

    Company Average Rate Per Year
    GEICO $2,236
    NJM Insurance $2,358
    Plymouth Rock $2,561
    Progressive $2,849
    Travelers $3,908

    Cheapest For Full Coverage

    Overall Rating
    4.7

    Key Statistics

    10/10 Affordability
    9/10 Customer Reviews
    9/10 Payouts
    9/10 Coverage Level

    Why We Like Them

    With nearly 79% of drivers opting for full comprehensive coverage compared to minimum coverage, it’s easy to see why many motorists choose GEICO as their preferred auto insurance provider.

    GEICO continues to be one of the most affordable car insurance companies in New Jersey while offering an excellent shopping experience for potential customers. Along with cheap rates, the insurance provider has several discounts many policyholders qualify for, making their monthly premiums even cheaper.

    Benefits & Drawbacks

    Benefits
    • Offers one of the lowest average premium rates in the industry
    • Consistently scores highly for customer service, customer loyalty, and overall experience
    • Various discounts are available to help drivers lower their monthly premiums
    Drawbacks
    • Limited number of local agents to meet with in-person
    • Doesn’t offer additional add-on coverage like rideshare insurance or car replacement insurance

    When most drivers start looking for car insurance, the most important decision is whether to purchase a full coverage policy or a minimum coverage plan. Both options fulfill the New Jersey requirements for auto insurance, but they don’t offer the same protection to drivers and others involved in an accident.

    Drivers without a full coverage plan are often responsible for the costs associated with their vehicle during an at-fault accident. However, with a comprehensive full coverage policy, you’ll receive the following added protections:

    • Bodily injury liability
    • Property damage liability
    • Comprehensive and collision protection

    Cheapest Full Coverage Rates In New Jersey

    Company Average Rate Per Year
    GEICO $1,404
    State Farm $1,512
    Progressive $1,692
    NJM Insurance $1,705
    Plymouth Rock $1,718

    Cheapest For Minimum Coverage

    Overall Rating
    4.7

    Key Statistics

    10/10 Affordability
    9/10 Customer Reviews
    9/10 Payouts
    9/10 Coverage Level

    Why We Love Them

    When it comes to purchasing a minimum coverage car insurance policy, you want a provider who is not only affordable but also has excellent customer service. With GEICO, you get both and more.

    GEICO is known for its cheap monthly rates and industry-leading service team. However, it also features an easy-to-use mobile app that allows you to manage your policy without calling a representative.

    The affordable pricing and low maintenance management make GEICO the perfect option for anyone looking for a minimum coverage auto insurance policy in New Jersey..

    Benefits & Drawbacks

    Benefits
    • Extensive list of discounts available
    • Robust and interactive mobile app/website
    • Several affordable options for most driver categories
    • Ranked as one of the best for customer service and experience
    Drawbacks
    • Very few local agents available for in-person meetings
    • Limited options for rideshare drivers

    Even though full coverage offers the most protection for New Jersey drivers, having a minimum coverage policy will still allow you to legally operate a vehicle in the state. Since these plans tend only to have a limited number of coverages, they are often the least expensive option.

    In some cases, purchasing a minimum coverage plan over comprehensive car insurance makes sense. For example, motorists who only drive their vehicle a few times a year are less likely to be involved in an accident and don’t need to pay for additional coverage. These limited plans can be a great option for college students who leave their vehicles at home.

    Cheapest Minimum Coverage Rates In New Jersey

    Company Average Rate Per Year
    GEICO $1,334
    Progressive $1,389
    NJM Insurance $1,427
    State Farm $1,518
    Travelers $1,623

    Cheapest For Young Drivers

    Overall Rating
    4.3

    Key Statistics

    8/10 Affordability
    9/10 Customer Reviews
    9/10 Payouts
    6/10 Coverage Level

    Why We Like Them

    Even though NJM Insurance is only available in five states, they offer some of the most affordable rates for young drivers. Along with manageable monthly premiums, NJM also has a reputation for providing excellent customer service in a personal one-on-one environment.

    Since many younger drivers aren’t fully aware of what to expect or what they need regarding auto insurance, having an experienced agent who can answer questions is a huge bonus.

    Benefits & Drawbacks

    Benefits
    • Exceptional one-on-one service with a customer care team
    • Customizable auto insurance plans
    • Low number of customer complaints
    Drawbacks
    • Insurance is only provided in five states — Maryland, Ohio, Connecticut, New Jersey, and Pennsylvania
    • Lack of mobile app
    • Can’t purchase a policy online

    It’s common for young drivers to think only about the open road and the freedom that comes with getting their license. However, motorists under 25 often pay the most for car insurance due to their lack of experience behind the wheel. The additional costs of carrying auto coverage are something every young driver needs to think about.

    The good news is that young drivers in New Jersey have affordable options like NJM Insurance and GEICO. Both companies offer student discounts and tend to have some of the most affordable rates in the state.

    Cheapest Rates For Young Drivers In New Jersey

    Company Average Rate Per Year
    NJM Insurance $2,926
    GEICO $2,952
    State Farm $4,008
    Allstate $5,845
    Travelers $6,674

    Cheapest For Senior Drivers

    Overall Rating
    4.7

    Key Statistics

    10/10 Affordability
    9/10 Customer Reviews
    9/10 Payouts
    9/10 Coverage Level

    Why We Like Them

    GEICO continues to impress with its consistently affordable rates and dedication to providing policyholders excellent customer service. For many senior drivers, having the ability to get questions answered quickly is a top priority, and GEICO delivers on that.

    Not only does the car insurance company have a well-trained care team ready to answer questions, but it also has created a robust website and app full of important information that policy members might have questions about.

    Benefits & Drawbacks

    Benefits
    • One of the top-ranked insurance providers for customer experience
    • Affordable monthly rates and a long list of discounts to help lower costs further
    • Easy-to-use web and mobile options for managing policies and updating account information
    Drawbacks
    • Limited options are available for policyholders looking to speak with an agent in-person
    • There aren’t many choices for drivers looking to add additional coverages like rideshare insurance

    As drivers start to move into their senior years, many insurance companies view the transition as a positive sign. After many years behind the wheel, car insurance providers have a healthy amount of data to determine your driver profile. They also assume that you will be driving less since many seniors decide to retire from full-time work.

    These criteria often mean that monthly premiums become less expensive as we age. For senior drivers in New Jersey, there are several affordable companies to consider, including GEICO and Progressive.

    Cheapest Rates For Senior Drivers In New Jersey

    Company Average Rate Per Year
    GEICO $1,302
    Progressive $1,364
    State Farm $1,478
    Travelers $1,582
    Mercury $1,621

    Average Cost Of Car Insurance In New Jersey

    Insurance Company Average Monthly Quote
    GEICO $117
    Plymouth Rock $194
    State Farm $216
    Travelers $218
    Nationwide $251

    Average Cost In New Jersey – By Age

    Age Group Average Monthly Rate
    Teenagers $587
    Under 25 $371
    25-29 $284
    30s $272
    40s $262
    50s $233
    60s $199
    70s $185
    80s $180

    Average Cost In New Jersey – By Gender

    Gender Average Monthly Cost
    Female $312
    Male $319

    Average Cost In New Jersey – Marital Status

    Marital Status Average Monthly Cost
    Single $320
    Married $276

    Average Cost In New Jersey – By Accident And Violation History

    Violation/Incident Type Average Monthly Rate
    Clean Record $316
    Speeding Ticket $427
    DUI/DWI $629
    At-Fault Accident $448

    Average Cost In New Jersey – By Credit Tier

    Credit Tier Average Monthly Rate
    Excellent $241
    Good $286
    Fair $311
    Poor $489

    Average Cost In New Jersey – By Zip Code

    Zip Code Average Monthly Cost
    08732 $208
    08754 $208
    08735 $209
    08755 $210
    08751 $210
    08756 $210
    08753 $212
    07047 $324
    07087 $324
    07094 $327

    Minimum Car Insurance Requirements In New Jersey

    Nearly every state requires auto insurance to operate a motor vehicle — New Jersey is no different. However, the state recently introduced a new law that went into effect on January 1st, 2023, that increased the amount of coverage needed to drive in the state legally.

    Below are the new state car insurance requirements for New Jersey drivers:

    • $25,000 in bodily injury liability per person and $50,000 per accident
    • $25,000 in property damage liability per accident
    • $15,000 in personal injury protection per person
    • Uninsured and underinsured coverage equal to the minimum bodily injury liability coverage

    How To Buy Car Insurance In New Jersey

    It’s easy to let the car insurance buying process overwhelm you, especially if it’s your first time purchasing coverage. However, a platform like Insuranceopedia can simplify the shopping experience.

    Here are a few steps to take while looking for your New Jersey car insurance policy.

    Step 1: Gather Information

    One of the reasons many shoppers feel stressed when buying car insurance is the fear of not knowing what information is required to get a quote. Gathering the appropriate information before comparing options can help eliminate the stress and prepare you for the following steps.

    Below is a list of the most common types of information you’ll need to purchase your auto insurance:

    • Driving history for all drivers on the plan
    • Information about your vehicle — annual mileage, safety features, current odometer reading, VIN, make, model, and year of the vehicle
    • Driver’s license numbers for all policy members
    • Name and birthdate of all policy members
    • Information on the current insurer, if you’re switching carriers

    Step 2: Understand Your Coverage Needs

    As you compare different car insurance plans, you’ll notice that each has its coverage limits. While you’ll want to pick the plan that makes the most sense for you and your family, you’ll also want to ensure it meets the following New Jersey state minimum limits:

    • $25,000 in bodily injury liability per person and $50,000 per accident
    • $25,000 in property damage liability per accident
    • $15,000 in personal injury protection per person
    • Uninsured and underinsured coverage equal to the minimum bodily injury liability coverage

    Step 3: Select A Purchasing Method

    New Jersey has several ways to shop for a car insurance policy. The most popular way to purchase coverage is online through an insurance platform. However, several car insurance companies allow you to meet with an agent and discuss your quotes.

    Both options offer their benefits. For example, working with a licensed agent allows you to ask questions and get immediate answers. While shopping online tends to be quicker, with many potential policy members finding coverage within minutes.

    Step 4: Compare Auto Insurance Policies

    Many consumers often select the first quote presented to them instead of comparing multiple offers. While the first option might be the best, collecting at least three quotes from different insurance providers is recommended to ensure you’re getting the best rates and discounts.

    Step 5: Purchase Your New Auto Insurance Policy

    When purchasing your car insurance plan, closing the loop on any outstanding insurance policies is essential. If you’re switching companies, you’ll want to call the previous insurance provider and let them know of your move so that you don’t get billed by both organizations.

    Factors That Impact Cost Of Your Car Insurance Policy In New Jersey

    Even though many drivers pay around $314 for a full coverage auto insurance policy in New Jersey, multiple factors ultimately play a role in determining monthly premiums. For example, your location in the state can significantly impact overall rates.

    Many insurance companies utilize past data about different cities and zip codes to gain insight into how likely your vehicle is to be vandalized or involved in an accident. Living in a high-risk zone could mean paying more for coverage.

    In addition to location, several other elements impact a driver’s rates, such as:

    • Marital status
    • Gender
    • Age
    • Driving record
    • Credit history
    • Average annual mileage
    • Vehicle type
    • State mandated requirements

    New Jersey Car Insurance Laws To Know

    According to the New Jersey Motor Vehicle Commission, all drivers must provide proof of the following three types of insurance to operate a vehicle legally:

    • Liability insurance to pay for damages you cause from an at-fault accident
    • Personal injury protection (PIP) to pay for medical expenses resulting from an automobile accident regardless of who was at-fault
    • Uninsured motorists coverage to protect yourself against other drivers who don’t have the appropriate insurance to cover your expenses if they are considered at-fault

    In The News

    Car Insurance Discounts In New Jersey

    Since New Jersey ranks as one of the most expensive states for auto insurance coverage, it’s important to understand how you can save on monthly payments. The following discounts offer opportunities to lower your premium and find an affordable car insurance plan:

    • Student away
    • Good student
    • Senior
    • Multi-policy
    • Multi-vehicle
    • Military
    • Paid in full
    • Low mileage
    • Safe driver
    • Accident-free
    • Defensive driving

    FAQs

    How much is car insurance in NJ per month?

    Generally, many factors go into determining a driver’s car insurance rates. For instance, a driver’s history, credit, vehicle type, mileage, age, and location can all cause an increase in the monthly premium. However, most New Jersey drivers can expect to pay around $254 for a liability-only plan and $314 for full coverage.

    What is the minimum car insurance required in NJ?

    Like other states throughout the country, New Jersey requires multiple coverages to legally operate a vehicle. Here is a closer look at these requirements:

    • $25,000 in bodily injury liability per person and $50,000 per accident
    • $25,000 in property damage liability per accident
    • $15,000 in personal injury protection per person
    • Uninsured and underinsured coverage equal to the minimum bodily injury liability coverage

    What type of insurance does every driver need in New Jersey?

    To legally drive in New Jersey, motorists will need the following four coverages:

    • Bodily injury liability insurance
    • Property damage liability insurance
    • Personal injury protection (PIP)
    • Uninsured/Underinsured coverage

    How much liability insurance do I need on my car NJ?

    If you plan on driving in New Jersey, you’ll need to acquire an auto insurance policy with a minimum of $25,000 in bodily injury liability per person and $50,000 in bodily injury liability per accident. Your policy should also feature a minimum of $25,000 in property damage liability coverage per accident.

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