How much car insurance costs in New Jersey vs. Pennsylvania

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Car insurance rates can look very different depending on where you live. Premiums in New Jersey and Pennsylvania vary widely due to differences in state insurance laws, traffic patterns, claims trends and even weather risks.

For example, drivers in New Jersey pay an average of $260 per month for car insurance. In Pennsylvania, the same level of coverage costs about $194 monthly.

If you’re planning a move — or just wondering how your ZIP code affects what you pay — understanding these differences can help you budget smarter and choose the right coverage for your situation.

Average car insurance rates in New Jersey vs. Pennsylvania

In New Jersey, drivers pay an average of $260 per month for car insurance, compared with $194 per month in Pennsylvania.

For a standard six-month policy, that works out to $1,561 in New Jersey and $1,164 in Pennsylvania.

Overall, drivers in Pennsylvania typically pay lower premiums than those in New Jersey. While statewide averages show a clear difference, your personal rate may be higher or lower depending on factors such as your driving history, age, vehicle type, coverage limits and ZIP code.

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

Premium type	New Jersey	Pennsylvania
Avg. Monthly Premium	$260	$194
Avg. 6 Month Premium	$1,561	$1,164
Avg. Annual Premium	$3,122	$2,327

How car insurance rates compare by coverage level in New Jersey and Pennsylvania

Car insurance costs in New Jersey and Pennsylvania vary based on the coverage level you select. In New Jersey, full coverage averages $3,122 per year, compared with $2,327 annually in Pennsylvania.

Those differences reflect how insurers price policies in each state based on overall claims data, vehicle values and driver risk profiles.

Coverage level affects cost because:

Full coverage includes liability, collision and comprehensive protection.
Liability-only coverage pays for damage or injuries you cause to other drivers but does not cover your own vehicle.
State minimum liability meets only the legal coverage requirements in each state.

The table below compares average premiums across common coverage types in New Jersey and Pennsylvania.

Coverage types	New Jersey	Pennsylvania
Full Coverage – 100/300/100 BI/PD – 500 Comp/Coll	$3,122	$2,327
State Minimum BI/PD	$1,568	$928
Liability Only – 50/100/50 BI/PD	$1,691	$1,211
Non-Owners	$1,141	$279
Gap Insurance	$3,306	$2,417
SR22 with 1 DUI	$7,059	$4,018

Cheapest car insurance companies in New Jersey vs. Pennsylvania

Even within the same state, car insurance prices can differ widely from one company to another. To help you compare your options, we’ve highlighted the insurers offering the lowest average rates in both New Jersey and Pennsylvania. These numbers give you a starting point — but your personal rate may vary.

Cheapest car insurance companies in New Jersey

In New Jersey, NJM offers the lowest average rate at $2,373 per year. Followed by:

Travelers: $2,522
GEICO: $2,597

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

Company	Annual rate
NJM	$2,373
Travelers	$2,522
GEICO	$2,597
Farmers	$2,726
Progressive	$3,069
Allstate	$3,311
State Farm	$3,997
Plymouth Rock Assurance	$4,534

Cheapest car insurance companies in Pennsylvania

In Pennsylvania, Travelers offers the lowest average annual rate at $1,770 per year. Other affordable options include:

Erie Insurance: $2,044 per year
Westfield Insurance: $2,401 per year

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

Company	Annual rate
Travelers	$1,770
Erie Insurance	$2,044
Westfield Insurance	$2,401
GEICO	$2,403
Allstate	$2,484
State Farm	$2,722
Progressive	$2,884
USAA*	$1,951

*USAA is only available to military community members and their families.

How to find the cheapest car insurance in your state

Compare at least three quotes
Ask about discounts
Adjust deductibles carefully
Review coverage limits

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Average car insurance rates by ZIP code in New Jersey and Pennsylvania

Car insurance rates can vary significantly by ZIP code — even within the same state. Insurers use location-based data when setting premiums, which means two drivers with similar profiles could pay different rates depending on where they live.

Below is a comparison of average car insurance costs by ZIP code in New Jersey and Pennsylvania.

How much does car insurance cost by ZIP code in New Jersey?

In New Jersey, rates can differ noticeably across ZIP codes. Among the most populous ZIP codes analyzed, 8753 has the lowest average annual premium at $2,904.

Here’s a closer look at how average car insurance rates compare across ZIP codes in New Jersey.

ZIP code	City	Annual rate
8753	Toms River	$2,904
8854	Piscataway	$3,143
8701	Lakewood	$3,538
7305	Jersey City	$3,630
7002	Bayonne	$3,752
7087	Union City	$3,779
7093	West New York	$3,779
7047	North Bergen	$3,965
7055	Passaic	$4,028
7111	Irvington	$4,142

How much does car insurance cost by ZIP code in Pennsylvania?

Among the most populous ZIP codes analyzed, drivers in ZIP code 19124 pay an average of $3,207 per year. In comparison, drivers in ZIP code 17603 pay about $2,083 annually.

The table below shows how average car insurance premiums compare across ZIP codes in Pennsylvania, giving you a clearer picture of how location may impact your rate.

ZIP code	City	Annual rate
17603	Lancaster	$2,083
19446	Lansdale	$2,345
19143	Philadelphia	$3,083
19120	Philadelphia	$3,155
19111	Philadelphia	$3,184
19124	Philadelphia	$3,207

What are the top car insurance companies in New Jersey and Pennsylvania?

The top car insurance companies in New Jersey and Pennsylvania are ranked based on overall performance and customer satisfaction scores. Below, we highlight the highest-rated insurers in each state, using standardized comparisons of financial strength, complaints data and service ratings.

What are the top car insurance companies in New Jersey?

In New Jersey, NJM ranks highest overall, with a score of 4.92 and a customer satisfaction rating of 0.16.

Close behind is GEICO, earning an overall ranking of 4.14 and a satisfaction score of 0.60.

The table below shows the highest-rated car insurance companies in New Jersey, based on overall score and customer satisfaction.

Company	Overall ranking	Customer Satisfaction Index Ranking
NJM	4.92	721
GEICO	4.14	643
Travelers	4.10	633
Progressive	3.72	625
Farmers	3.57	636
State Farm	3.42	673
Allstate	3.21	632
Plymouth Rock Assurance	2.97	614

What are the top car insurance companies in Pennsylvania?

In Pennsylvania, Erie Insurance leads with an overall ranking of 4.44 and a customer satisfaction score of 0.77.

It’s followed by Travelers at 4.30, with a satisfaction rating of 0.63.

GEICO rounds out the top three with an overall ranking of 3.84 and a satisfaction score of 0.60.

Below are the top-rated car insurance providers in Pennsylvania, based on overall performance and customer satisfaction.

Company	Overall ranking	Customer Satisfaction Index Ranking
Erie Insurance	4.44	706
Travelers	4.30	633
GEICO	3.84	643
Westfield Insurance	3.72	647
State Farm	3.53	673
Progressive	3.16	625
Allstate	3.09	632
USAA*	4.37	743

*USAA is only available to military community members and their families.

What are the minimum car insurance requirements in New Jersey and Pennsylvania?

Both New Jersey and Pennsylvania require drivers to carry a minimum amount of liability car insurance to legally operate a vehicle. However, the required coverage limits are set by each state and may differ.

Minimum coverage typically includes bodily injury liability and property damage liability. Some states may also require additional protections, such as personal injury protection (PIP) or uninsured/underinsured motorist coverage.

The table below compares the minimum car insurance requirements in New Jersey and Pennsylvania, so you can see how the coverage limits differ at a glance.

Coverage requirement	New Jersey	Pennsylvania
Minimum coverage limits	35/70/25	15/30/5

So, which state is more affordable for car insurance?

If you’re weighing a move — or simply comparing costs — car insurance can make a meaningful difference in your budget. On average, drivers in New Jersey pay about $3,122 per year for full coverage, while drivers in Pennsylvania pay around $2,327. Over time, that gap can add up, especially if you’re insuring multiple vehicles or planning a long-term relocation.

When it comes to finding the cheapest option, NJM has the lowest average rates in New Jersey, while Travelers stands out in Pennsylvania. But averages only tell part of the story. Your actual premium will depend on your driving record, vehicle, coverage choices and even your ZIP code.

Even a few hundred dollars in annual savings can tip the scales when comparing overall living costs. Before making a decision, it’s smart to compare personalized quotes from multiple insurers to see which state — and which company — truly offers the best value for your situation.

Frequently asked questions about home and auto bundle insurance

Is car insurance cheaper in New Jersey than in Pennsylvania?

Car insurance in New Jersey is expensive than Pennsylvania. The average monthly cost in New Jersey is $260, which is $66 more than the average in Pennsylvania of $194.

Can I use my New Jersey insurance in Pennsylvania?

If you’re just visiting Pennsylvania for a short time, your New Jersey car insurance should cover you. Most car insurance policies provide coverage across the U.S., so if your New Jersey policy meets the state’s minimum requirements, it will generally apply in Pennsylvania as well.

However, if you’re planning to move to Pennsylvania and stay for a longer period, you’ll need to switch your car insurance to a Pennsylvania provider. Each state has its own insurance rules, and you are required to have insurance that meets the minimum requirements of the state where your car is registered. Maintaining a New Jersey policy while living in Pennsylvania could be considered insurance fraud, especially if you’re involved in an accident.

Shivani Gite

Contributing Writer

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.