Get the cheapest car insurance rates in New Jersey and save up to 50% off your premiums. By shopping the right way, you can view the best prices online, and easily compare multiple companies that will offer the best deals. It's not magic and there's no secret to how we find the cheapest offers. Quite simply, we work harder and smarter, and have been helping customers for more than 35 years! Garden State property and casualty rates are quite affordable.
Consumers can shop and change their policies at any time. You are not required to wait until your policy renews, or when your next bill is due. If you cancel your existing coverage, you can request a refund of the unused portion of your premium. A refund will be granted if your new rate is lower. Financial responsibility is required for all NJ drivers, so it is important not to let an existing policy lapse.
Available NJ Companies
There are many companies in NJ that offer affordable prices. But do they offer low options in your area? For example, if "Company A" has great rates in Trenton, it doesn't mean that they will be competitive in Elizabeth, Toms River, or where you live. What matters is the premium you pay in your area, and not another part of the state. Of course, if you move, a different set of carriers may now be the best option. High-risk rates can also greatly vary from one county to another. Any driver with three or more moving violations is likely to pay a non-standard rate.
Although Geico, Plymouth Rock, Liberty Mutual, Esurance and Progressive often have the cheapest auto insurance rates in New Jersey, it's important that we consider as many as 20-30 different companies, including Farmers, NJ Skylands, Encompass and Fitchburg Mutual. Otherwise, you could be overpaying for your coverage. You can also get the lowest NY car insurance rates from our website since many Jersey residents may work or move to New York. NOTE: If you actually reside in New York, you must obtain a NY-approved policy.
Our research and hard work allows consumers to instantly access the best offers by simply providing your zip code. Listed below are many of the major companies that offer auto insurance in the state of New Jersey. Although this list covers most of the largest, it is not designed to be an all-inclusive list. There are several "specialty" carriers that offer specific niche products, such as classic and antique vehicle coverage (see further below).
New Jersey Skylands
Teachers Of NJ
The Following Companies Offer Motorcycle Coverage
Allstate Property And Casualty
American Family Home
Drive New Jersey (Progressive)
Liberty Mutual Mid-Atlantic
State Farm Guaranty
The Following Companies Offer Specialty Coverage (Motor Home, Travel Trailer, Antique And Classic Automobiles)
American Modern Home
Liberty Mutual Mid-Atlantic
Metropolitan Property And Casualty
New Hampshire Insurance
Progressive Garden State
State Farm Guaranty
State Farm Indemnity
United Farm Family
Standard Vs. Basic Policy
New Jersey auto insurance policies are divided into two level of benefits -- Standard and Basic. Regardless if you are renewing or buying a policy for the first time, you must make a selection. Coverage is different, and there can be significant variations in cost. Basic benefits are often selected by households that do not have a large amount of assets. Younger drivers, because of the cost of coverage, often choose this option.
The Standard option requires bodily injury of $15,000 per person and $30,000 per occurrence. You can raise those limits (and probably should) to $250,000/$500,000. Property damage is acceptable at $5,000 with a maximum of $100,000. Certainly, $5,000 is insufficient and should be increased to avoid substantial risk to your assets. An accident with another vehicle will likely far exceed $5,000. An accident with multiple vehicles can easily result in $25,000-$50,000 of damage.
Personal Injury Protection (PIP)
NJ PIP is coverage for injuries to you or other persons covered under the policy. $15,000 is the lowest amount you are able to purchase. Uninsured and underinsured motorists protection is available equal or less than your basic liability limits. Collision and comprehensive benefits cover physical damage to your vehicle. It is an optional benefit, although if you are financing or leasing, it will be required. $500 deductibles are the most popular and most cost-effective. However, $250, $100, and $1,000 options are routinely offered.
Perhaps the most important feature about the "Standard" policy is choosing an "unlimited" or "limited" right to sue. The unlimited selection allows you to sue for damages regardless of the type of injury. The limited choice only allows you to sue if the injury is considered "permanent." Some examples include: displaced fracture, loss of fetus, major scarring or disfigurement, body part loss, and death. However, your premiums will likely be 20%-35% lower and you can still sue for economic loss (medical expenses and lost wages). NOTE: Your insurer and broker can not be held accountable or liable for the options you select. If "no choice" was elected on the selection paperwork, once again, the carrier and broker are not held responsible.
Bodily injury liability is not included. You can purchase up to $10,000, which would still leave you woefully underinsured. Property damage of $5,000 is included but will not replace any new vehicles. It may be enough to pay for damages caused to vehicles, unless they are a newer vehicle with heavy damage. We recommend levels of at least $25,000 for bodily injury, which provides more protection in the event of a lawsuit. It also gives you a better bargaining position if an out-of-court settlement is offered.
Personal Injury Protection is $15,000 with with an option to increase to $250,000. Uninsured and underinsured protection is not offered. Collision and comprehensive is available from selected (but not all) companies.
Of course, the "basic" option will save you money...as long as you don't need to use the coverage you're missing. Your choice of lawsuit options is your own. Once again, there is a disclaimer that states that the company, representatives and brokers are not responsible for your decisions. We can provide unbiased and practical advice, but ultimately, the decision is yours.
Quick PIP Tip
"Designate" your health insurance carrier as the primary provider in advance and you may save money. By paying medical expenses before PIP, your car insurance rate could reduce. However, it's important to consider how high your deductible and coinsurance is, especially if you have a Marketplace plan. If you are eligible for Medicare or Medicaid, your out-of-pocket expenses must be considered.
What If I Have Too Many Tickets And Nobody Will Cover Me?
Help is available. The NJPAIP (NJ Car Insurance Plan For Drivers With Points And Or Accidents) is a special assigned risk program for drivers that are unable to get coverage in the standard or preferred marketplace. Yes...similar the "Affordable Care Act" for your healthcare. If you have been denied or declined coverage, the reason may not necessarily be because of a DUI or suspended license. Your credit score, zip code or a variety of other factors could be the reason. Note: NJPAIP is not an insurance carrier. However, they determine the associated risk, and assign coverage to an actual insurer, who underwrites the business.
Here's how it works: You become part of the "risk pool" and an insurer is assigned to write your policy. They must continue to cover you for 36 months, unless, at some point during that time, you are no longer eligible for the program. When your 36 months has expired, your present company can choose to renew or terminate your policy. However, it is likely you will be able to compare additional offers that might be quite attractive. Our website will provide you with specific rate quotes. Prices are uniform, so rates will not vary between carriers.
Requirements include being denied twice in the last 60 days. You must possess a NJ driver's license, reside in the state, and your vehicle must be registered in New Jersey. The "Basic" policy option is less expensive than the "Standard" policy, although coverage is less, and bodily injury benefits are not included. Uninsured motorist protection is also not available with Basic benefits. An advanced and installment billing payment option is offered, although, at any time, you can cancel the policy. Naturally, if a more competitive premium is found, terminating the NJPAIP policy should be considered.
Request A Copy Of Your Driving Record
To help you determine how many points are on your license, you can request an abstract (below) that will show you all activity within the last five years. An accident that is your fault counts as five points against your license. A DUI or driving without a license counts as nine points. Speeding, depending upon how fast you were going, counts as two through five points, while most minor infractions also count as two points. Once you reach a total of 12 points (usually within three years), your license is suspended. Reinstatement is possible, and should be considered as quickly as you become eligible.
The abstract is available online or you can send a written request to the NJ Motor Vehicle Commission at 225 East State Street PO Box 1942 Trenton, NJ. 08666. You can also visit the physical location. A two-page form must be completed with your request. The cost is $15 and it takes about seven days to process. Other online fees are waived. If the form is sent through the mail, form DO-21 must be signed and completed, and a copy of your driver's license must accompany the request.
NJ Complaint Index
So what is the "Complaint Index?" It's actually a calculation that provides consumers unbiased information regarding the number of complaints per covered vehicle for each insurer. Of course, the lower the ratio, the smaller the chance that you will file a complaint against your carrier.
Based on the most recent NJ Consumer Information Report, we have published below the 20 companies with the best (smallest) ratios. Naturally, many other factors (including prices!) should always be considered when comparing your best options.
0.000 -- Amica Group
0.000 -- Founders
0.000 -- Plymouth Rock/Palisades
0.000 -- American Commerce
0.000 -- AmTrust Group
0.000 -- California Casualty & Fire
0.045 -- NJM Group
0.285 -- California State Auto Group
0.320 -- Plymouth Rock/High Point
0.699 -- Esurance Co. of NJ.
0.709 -- Travelers
0.925 -- Geico
1.097 -- Liberty Mutual
1.101 -- Selective Auto Ins. Co. of NJ.
1.173 -- Metropolitan
1.317 -- Farmers
1.344 -- State Farm
1.359 -- 21st Century
1.362 -- Progressive
1.415 -- Allstate
1.472 -- Chubb
1.862 -- USAA
2.078 -- Mercury Indemnity
2.385 -- Encompass Group
2.507 -- Citizens United
Talking Or Texting While Driving Fines
Talking or texting on a hand-held communications device (including cell phone or IPhone) is illegal. And, in 2014, the fines increased. The first-time offense will cost $200. The second citation will cost $400 and if you are caught three times, the charge is $600-$800, three points added to your MVR report, and a possible three-month suspension of your driver's license. New Jersey is not the only state where these types of offenses are considered illegal. Also, penalties and fines are slowly increasing for multiple infractions.
Hands-free electronic devices are allowed, although not necessarily encouraged. However, if it is an emergency situation, a hand-held phone is allowed to be used as long as the other hand is on the steering wheel. Of course, if the vehicle is stationary and legally parked, any device can be used. Any set-up or preparation of phones or GPS devices should always be performed before you start driving.
NOTE: Somewhat related is the NJ seat belt law (NJS 39:3-76.2f). All passenger vehicles must comply with the legislation. Passengers that are eight years-old or at least 57 inches tall, must use a properly-fastened seat belt. All front-seat occupants must also use a seat belt. Although more than 9 out of 10 drivers regularly wear seat belts, enforcement is still utilized, and both front and back seat passengers must wear them. Front-seat offenses are considered primary while back seat offenses are considered secondary. Children under the age of 2 years and 30 pounds must be fitted with a rear-facing seat and 5-point harness.
Children under the age of 4 years and 40 pounds must also be fitted with a similar seat until they have reached the top-limits of the seat. If the vehicle has no rear seats, children should be properly secured in the front seat. The driver is also held responsible (fastened seat-belts) for all vehicle occupants under age 18. The "Click It Or Ticket" campaign may have helped increase the number of persons who use their seat belts. However, only about 27% of adults in the back seat are using their seat belts. The American Academy of Pediatrics and the National Highway Traffic Safety Administration provide additional helpful tips to consumers and discusses the risks when seat belts are not deployed.
NJ Driving Programs, Courses, And Providers
Instead of a 30-day license suspension for drivers that have accumulated 12-14 points over a 24-month period, completion of a "Driver Improvement Program" is offered as an alternative. The "notice of scheduled suspension (sent via mail) provides specific course details, including information about the removal of three points upon successful completion of the course. The cost of the program is $75, plus an additional fee that must be paid for the in-classroom instruction. Newly-licensed probationary drivers that have accumulated four (or more points) can also have three points removed from their record by completing a four-hour classroom program. The National Safety Council and Superior Driving School are approved providers.
"Defensive Driving" courses and programs are also offered. Completion of these types of course can often lower your car insurance rate. Special Senior course are also offered. A maximum of two points can be removed from your driving record and many approved classroom course providers are available. Several registered schools include: Garden State Safety Council, AAA South Jersey, Gold Cross Safety Corp., My Seatbelt, National Safety Council, Drive Safer LLC, and New Jersey State Safety Council.
They're back! Nationwide Mutual, the large Ohio-based company, will begin offering auto policies in August. Quotes will be available through our website and other brokers located throughout the state. Nationwide last offered coverage in NJ in 1981. Since that time, only one company out of the 10 largest carriers in the US do not offer policies in the state.
Nationwide currently already sells various financial products, including auto policies through Harleysville, a smaller insurer. It is expected that additional distribution outlets will be created over the next few years. There are now 77 companies in the state that write business.
Of course you know not to text while you drive. As of July 1, it's now more expensive since fines have now increased. The first time you're caught, the fine will be $200. The second violation will result in a $400 fine while the third will cost $600 and a possible three-month license suspension.
Hands-free devices are allowed if it does not impact driving. If it is an emergency situation, electronic devices can be used if one hand remains on the steering wheel.
Regulation of ride sharing services is getting closer as the Assembly Transportation Committee submitted a bill that may limit companies such as Uber and Lyft. If passed, the legislation would force ride sharing companies to immediately apply for permits and show proof that every driver has at least $250,000 of liability protection (increasing to $1.5 million when fare is accepted).
There is also growing concern regarding the background checks that the companies perform. In California, for instance, Uber is being sued for allegedly misleading customers about their background checking system. However, one controversial issue is that ride sharing companies would be forced to provide substantially higher insurance limits than cab companies.
Jersey City and Newark are two of the worst cities for driving...If you believe the recent W-Hub report. Many different factors were considered, including traffic jams, cost of gas and operating your vehicle, conditions of roads (potholes, detours, etc...), likelihood of being involved in an accident or fatality, and road closures. Lack of ample parking spaces also was considered.
Some of the most common complaints from visitors allege that Jersey City and Newark drivers are obnoxious, overly-aggressive, don't use turn signals or pay attention to traffic lights, don't yield to pedestrians, always talking on a cellphone, and eating! Don't worry. Based on our experience, we believe those complaints are quite exaggerated.