Cheapest Car Insurance in New Jersey

GEICO offers the most affordable car insurance for New Jersey drivers, with an average monthly rate of $40 and an annual cost of $478 for minimum coverage. This rate is significantly lower than the state's average. These figures are based on data from Quadrant Information Services and represent the cheapest options available in New Jersey as of December 2024. Read our research methodology to learn about how we found the cheapest New Jersey car insurance.

GEICO is the cheapest car insurance company for most drivers in the Garden State, with an average monthly rate of $64 for both minimum and full coverage. This is well below the state's average of $125. Other affordable options include Plymouth Rock Assurance, NJM, Travelers and Allstate.

*We used combined minimum and full coverage rates for a 40-year-old driver with good credit and no driving violations to calculate these averages.

GEICO offers the most affordable car insurance for both minimum and full coverage for many drivers. However, the cheapest rate for you depends on your personal background. Below, we highlight the most affordable car insurance rates for various driving profiles in the Garden State.

Read More: Cheapest Car Insurance

While GEICO has the cheapest average rate, Plymouth Rock Assurance, NJM and Travelers also provide cheap minimum liability coverage for drivers in the Garden State. Use the table below to explore rates for similar companies with the best minimum coverage rates, and see how they compare to the monthly state average.

GEICO is the cheapest provider for full coverage auto insurance in the Garden State, with rates averaging $87 per month or $1,049 per year. This is $72 less than the state’s average cost. Check the table below for other provider options.

In New Jersey, young adult drivers can find the most affordable car insurance from GEICO. A 25-year-old can get minimum coverage with GEICO for just $45 per month.

*We used minimum coverage for a 25-year old driver with good credit and no driving violations to determine the cheapest provider.

If you're looking for affordable auto insurance in the Garden State, GEICO and Plymouth Rock Assurance offer competitive rates for young drivers. GEICO provides the cheapest minimum coverage at $45 per month. Plymouth Rock Assurance offers full coverage for $101 monthly and is also affordable for those with bad credit, DUI or an accident. Rates may vary, but these are good starting points.

Read More: Cheapest Car Insurance for Young Drivers

Senior drivers in the Garden State can find affordable minimum coverage with GEICO, averaging $39 monthly for 65-year-olds.

*We used minimum coverage for a 65-year old driver with good credit and no driving violations to determine the cheapest provider.

In the Garden State, GEICO and NJM offer affordable rates for senior drivers. Rates may differ, but the table below can help guide your car insurance shopping. GEICO is the cheapest for minimum coverage at $39 monthly, while NJM offers full coverage at $81.

Read More: Cheapest Car Insurance for Seniors

Drivers in the Garden State with a DUI, at-fault accident or speeding ticket are considered high-risk to insurers and pay more for car insurance than those with clean records. Average premiums vary for high-risk drivers based on the offense. Below are the best rates for drivers with a DUI, at-fault accident or speeding ticket.

Plymouth Rock Assurance offers the best rates for New Jersey drivers with DUIs, averaging $50 per month ($601 per year) for minimum coverage. Check the table below for a list of insurance providers and their average monthly premiums for drivers with DUIs in the Garden State.

*We used a 40-year-old driver with good credit and a DUI on record to calculate these averages.

With rates averaging $55 per month ($661 per year), GEICO is the cheapest company for drivers after an at-fault accident. The table below lists other insurers offering affordable coverage for drivers with accidents. Rates are for a minimum coverage policy.

*We used a 40-year-old driver with good credit and an at-fault accident on record to calculate these averages.

GEICO offers the cheapest auto insurance for drivers in the Garden State with a speeding ticket, averaging $40 per month. Check the table below to compare other providers offering minimum coverage for drivers with a speeding ticket.

*We used a 40-year-old driver with good credit and a speeding ticket on record to calculate these averages.

GEICO offers the cheapest car insurance for drivers with poor credit, with rates of $40 per month and $478 annually for minimum coverage. Check the table below for more options from other providers.

*These rates are based on a 40-year-old driver with bad credit and a clean driving record.

Your location greatly impacts your car insurance costs. Even in the same state, rates change from city to city because of factors like population, flood risks and crime.

For example, GEICO charges $54 per month in Elizabeth but only $41 in Jersey City for the same state minimum coverage. Look at the table below to see the most affordable car insurance in your city and the lowest average monthly rates.

*The lowest rate reference is for a minimum coverage policy for 40-year-olds with good credit and no driving violations.

For New Jersey residents, Allstate offers an affordable way to bundle home and auto insurance at just $2,412. Check the table below for more cheap bundling options.

*Rates are for a 40 year old driver with good credit and no driving violations

In New Jersey, the monthly average cost for full coverage car insurance is $159, while minimum coverage averages at $91. By understanding the average cost of car insurance in New Jersey, you can gauge if your current policy offers a competitive rate.

In the Garden State, car insurance rates change by city. See this table for average costs in your area:

Car insurance ranks as the 5th most expensive in New Jersey. High costs are often due to the state's dense population, risk of natural disasters, and above-average car theft rates. Learn why car insurance is expensive in New Jersey.

Under New Jersey law, all drivers must carry car insurance policies with minimum coverage limits. These limits include $25,000 per person and $50,000 per accident bodily injury (BI) liability, $25,000 per accident of property damage (PD) liability and $15,000 per person for personal injury protection (PIP).

If you finance or lease your car, you'll typically need comprehensive and collision insurance in addition to the state minimum liability coverages. While a state minimum liability auto insurance policy is the most affordable option, it also provides the least financial protection. For greater financial security on the road, experts suggest opting for full coverage insurance with the highest deductible and liability limits within your budget.

Drivers with serious traffic violations, like speeding or drunk driving, may need to file for SR-22 insurance, which can increase your premium. Usually, your insurer submits the SR-22 form to the state. It remains valid from the date of your most recent offense.

Self-insurance is a popular alternative to traditional car insurance in New Jersey. It involves setting aside a reserve of money to cover any potential damages, helping you meet the state's minimum coverage requirements.

Commercial auto insurance is a great option for business owners. This type of insurance covers company vehicles and can be tailored to fit specific business needs, ensuring compliance with state regulations.

MoneyGeek recommends that drivers secure full coverage car insurance. This includes not just liability, but also collision and comprehensive coverage. We suggest the following liability limits for your protection:

• $100,000 in bodily injury liability per person
• $300,000 in bodily injury liability per accident
• $100,000 in property damage per accident

Comprehensive coverage pays for non-collision damage to your car. This means if your car is stolen, vandalized or harmed by severe weather or a fire, you're covered. Collision coverage, on the other hand, takes care of damages from on-road accidents.

For those owning a valuable car, MoneyGeek advises getting both comprehensive and collision insurance. It's not required by law, but it's a smart choice. When setting your deductible for these coverages, consider what you can afford to pay before insurance covers the remaining costs.

GEICO provides New Jersey's most affordable car insurance, with full coverage rates averaging $87 monthly and minimum coverage averaging just $40 monthly. Cheap rates are tempting, but remember, the least expensive option might not be the best. Experts suggest investing in as much coverage as you can afford for solid financial protection while driving.

MoneyGeek answers common questions about affordable car insurance in New Jersey to help you find the right coverage for your needs.

MoneyGeek obtained New Jersey auto insurance rates from the New Jersey Department of Insurance and Quadrant Information Services. We examined 25,584 auto insurance quotes from 12 providers across 53 ZIP codes to determine the most affordable car insurance companies in New Jersey.

New Jersey Driver Profile

We used a driver profile with the following background information to identify the cheapest auto insurance companies in New Jersey:

• 40-year-old male
• 2012 Toyota Camry LE
• Clean driving record
• 12,000 miles driven annually

To find the cheapest option for various driver backgrounds, we adjusted this sample profile by age, driving record, credit score, car make and model, and military service where specified.

Standard Coverage Levels in New Jersey

We compared car insurance companies in New Jersey that offer both minimum and full coverage policies. The minimum coverage liability limits in New Jersey are:

• $25,000 for bodily injury liability per person.
• $50,000 for bodily injury liability per accident.
• $25,000 for property damage liability per accident.
• N/A uninsured motorist bodily injury per person
• N/A uninsured motorist bodily injury per accident
• N/A uninsured/Underinsured property damage coverage
• $15,000 personal injury protection (PIP) per person
• N/A personal injury protection (PIP) per accident
• N/A medical payments coverage
• N/A death liability per person
• N/A death liability per accident

For full coverage policy rates, we used the following liability limits:

• $100,000 for bodily injury liability per person
• $300,000 for bodily injury liability per accident
• $100,000 for property damage liability
• Comprehensive and collision coverage with a $1,000 deductible

Home and Auto Coverage Levels in New Jersey

MoneyGeek analyzed the rates of insurance companies for a full-coverage auto insurance policy that includes the following coverage and limits:

• $100,000 in property damage liability
• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• Comprehensive and collision coverage with a $1,000 deductible

We also analyzed rates for a homeowners insurance policy that includes the following limits and coverage:

• $250,000 dwelling coverage
• $25,000 other structures coverage
• $100,000 personal property coverage
• $25,000 loss of use coverage
• $100,000 personal liability coverage
• $1,000 medical payments coverage
• All-perils coverage with a $1,000 deductible