How much car insurance costs in New Jersey vs. Pennsylvania

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Car insurance rates vary significantly depending on where you live. Insurance premiums in New Jersey and Pennsylvania differ widely due to state laws, traffic conditions and weather events, among other factors.

For instance, policyholders in New Jersey pay $159 a month for car insurance, while premiums for the same coverage in Pennsylvania are $156 per month, according to a data study by Insure.com.

Whether you’re moving from one state to another or simply curious about how your location impacts your premiums, understanding the difference in auto insurance rates can help you make informed decisions.

This guide provides a detailed comparison of car insurance rates between New Jersey and Pennsylvania and outlines the key factors influencing insurance premiums.

Average car insurance rates in New Jersey vs. Pennsylvania

In New Jersey, the average monthly car insurance premium is $159, while in Pennsylvania, it’s $156. For a 6-month policy, drivers in New Jersey typically pay $951, while Pennsylvania drivers pay an average of $936.

Policyholders in Pennsylvania typically face lower car insurance premiums than those in New Jersey. These differences are primarily driven by factors such as population density, weather patterns and state laws. However, individual rates vary depending on factors such as driving history, age, coverage limits, and ZIP code.

Below is an overview of average car insurance rates in New Jersey and Pennsylvania.

Learn more about average monthly car insurance rates.

New Jersey vs. Pennsylvania: Rates by different coverage levels

If you compare car insurance rates between New Jersey and Pennsylvania, the cost will vary significantly depending on the type of coverage you choose. The annual rate in New Jersey is $1,902 for full coverage, whereas in Pennsylvania, it is slightly lower at $1,872. This difference reflects the varying risk factors and market conditions in both states.

Car insurance rates vary by coverage level because the more protection a policy provides, the higher the cost. Full coverage, which includes liability, comprehensive and collision coverage, is more expensive than basic liability-only insurance, which covers only damages to other driver’s vehicles and their injuries in an at-fault accident.

Below are the car insurance rates in New Jersey and Pennsylvania for various coverage levels and types.

Cheapest car insurance providers: New Jersey vs. Pennsylvania

Car insurance rates differ in New Jersey and Pennsylvania due to differences in state laws, risk factors, population density, traffic patterns, weather risks and repair costs, all of which contribute to the cost of coverage.

States with higher accident rates or natural disasters may have higher premiums, while those with more competition among insurers may see lower rates. The frequency and severity of claims, along with state-specific laws and discount programs, also influence the rates insurance companies offer.

Cheapest car insurance providers in New Jersey

NJM offers the cheapest car insurance in New Jersey at $1,318 a year on average followed by GEICO at $1,563 and Travelers at $1,706 a year.

The table below shows car insurance providers in New Jersey with affordable car insurance rates.

Cheapest car insurance providers in Pennsylvania

Travelers has the cheapest car insurance rates in Pennsylvania with an average annual cost of $952. Nationwide and Erie Insurance also have affordable rates, at $1,196 and $1,550 respectively.

Below, you see car insurance providers with affordable rates for drivers in Pennsylvania.

Car insurance cost in New Jersey and Pennsylvania by ZIP code

Car insurance rates aren’t the same everywhere—your ZIP code comes into play. Even within the same state, your rates can vary significantly depending on your location.

Here’s a quick comparison of car insurance costs in New Jersey and Pennsylvania.

Car insurance cost in New Jersey by ZIP code

If you’re in New Jersey, you might be paying more or less for your car insurance based on your ZIP code. For instance, the 8753 ZIP code has the cheapest car insurance rates in New Jersey, among the top 10 most populous ZIP codes analyzed, with an average annual cost of $1,772.

Insurance companies also factor in the crime rates of a specific area, especially the frequency of car theft and vandalism. If a ZIP code has a higher rate of stolen vehicles or accidents, you might end up paying a bit more for coverage.

Car insurance cost in Pennsylvania by ZIP code

Car insurance rates in Pennsylvania vary by ZIP code due to population density, traffic and crime rates. For example, among the top 10 most populous ZIP codes, the average annual rate in ZIP code 19124 is $2,850, while in ZIP 17603, it’s lower at $1,789.

Areas with more traffic and higher crime rates tend to have higher premiums. To save on insurance, consider shopping around, raising your deductible and looking for discounts like safe driving or bundling policies.

Top car insurance providers: New Jersey vs Pennsylvania

Shopping for car insurance can be overwhelming, especially when you have so many options. Insurance rates vary from state to state based on a number of factors, such as driving habits, accident rates and insurance laws. Below, we’ll compare car insurance rates from top car insurance companies in Pennsylvania and New Jersey.

Top car insurance companies in New Jersey

NJM tops the list with an overall ranking of 4.92 and a customer satisfaction score of 0.05. It’s a great option if you’re looking for an insurer with good customer service.

GEICO follows closely with a ranking of 3.96 and a customer satisfaction score of 0.69.

The table below highlights the top car insurance providers in the state, ranking them based on overall performance and customer satisfaction.

Top car insurance companies in Pennsylvania

Travelers leads with an overall ranking of 4.28 and a customer satisfaction rating of 0.52, closely followed by Erie Insurance at 4.21 with a satisfaction rating of 0.89. Nationwide comes next with a ranking of 3.98 and a satisfaction score of 0.63.

When choosing an insurance provider, it’s important to consider the customer satisfaction rating. This rating reflects how well the company treats its policyholders, handles claims, and responds to customer concerns.

Comparing car insurance requirements in New Jersey and Pennsylvania

New Jersey and Pennsylvania laws require drivers to carry minimum liability car insurance coverage to drive on the road legally. However, the specific coverage requirements vary between the two states. Below is a detailed comparison of the minimum car insurance requirements in New Jersey and Pennsylvania:

Read more about minimum car insurance requirements by state.

Shivani Gite

Contributing Writer

 

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Shivani Gite is a personal finance and insurance writer with a degree in journalism and mass communication. She is passionate about making insurance topics easy to understand for people and helping them make better financial decisions.