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According to Insure.com’s analysis, NJM has the cheapest car insurance rates for most drivers in New Jersey at $1,318 annually. However, your rates may be higher or lower based on personal factors such as your driving record, ZIP code and vehicle type.

To comply with New Jersey’s car insurance laws, drivers must carry at least the minimum liability coverage required. It consists of $25,000 for bodily injury per person, $50,000 for bodily injury per accident, and $25,000 for property damage per accident.

However, many vehicle owners prefer to invest in full-coverage car insurance for better coverage and added protection.

Here’s a breakdown of the cheapest car insurance company in each category.

Cheapest overall: NJM
$1,318/year
National avg. rate
Cheapest for at-fault accident: NJM
$1,430/year
Avg. rate after an at-fault accident
Cheapest for speeding ticket: NJM
$1,732/year
Avg. rate after speeding ticket

Key Takeaways

  • NJM offers New Jersey drivers the cheapest car insurance rate at $1,318 annually, which is around 31% lower than the state’s average cost.
  • In New Jersey, you can find the cheapest car insurance from NJM at an annual cost of $1,430, even if you have a history of at-fault accidents.
  • Based on Insure.com’s analysis, the 8730 ZIP code has the cheapest car insurance rates for New Jersey drivers, with an average cost of $1,602 a year.

Cheap car insurance companies in New Jersey

NJM offers the cheapest car insurance in New Jersey, with an average price of $1,318 per year. It’s 31% less expensive than the average car insurance cost in New Jersey. The rates will vary based on factors such as your driving history, age, ZIP code, and the make and model of your car.

When shopping for auto insurance, compare rates from multiple companies to make sure you’re getting the best deal.

Below are the annual rates for car insurance from the cheapest car insurance companies.

CompanyAverage annual rates
NJM$1,318
GEICO$1,563
Travelers$1,706
Plymouth Rock Assurance$1,737
Selective Insurance$1,908
State Farm$2,153
Progressive$2,187
Farmers$2,254
Allstate$2,294

How we choose the cheapest car insurance companies in New Jersey

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170+

Carriers reviewed
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53M+

Quotes analysed
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34K+

ZIP codes examined

Cheapest ZIP codes for car insurance in New Jersey

In New Jersey, the 8730 ZIP code has the most affordable car insurance rates at $1,602. The table below shows the cheapest ZIP codes for car insurance rates.

ZIP codeCityAverage annual rates
8730Brielle$1,602
8736Manasquan$1,602
8738Mantoloking$1,602
8739Normandy Beach$1,602
8742Point Pleasant$1,602
8750Sea Girt$1,602
7719Belmar$1,609
7762Spring Lake Heights$1,618
8720Allenwood$1,621
7717Avon-by-the-Sea$1,633

Auto insurance premiums vary significantly from city to city, so drivers need to be sure they’re getting the best deal. Insure.com has done the research for you. Get more information on auto insurance rates by city below.

Car insurance rates in New Jersey by city

Cheapest car insurance in New Jersey by age

Teen drivers in New Jersey pay higher insurance rates than adult drivers because they are more likely to get into accidents and file claims. A 16-year-old driver pays $6,895 more than a 40-year-old driver in New Jersey, based on Insure.com’s analysis.

The table below shows the cheapest car insurance rates for drivers of different ages:

Age groupFull coverage annual premiums
Teens (16-19)$6,557
Young Adults (20-24)$3,064
Adults (25-60)$1,897
Seniors (65-75)$1,970

Cheapest car insurance in New Jersey by driver history

Your driving history is one of the main factors insurers look at when determining insurance rates. If you are responsible for a car accident or are convicted of a driving infraction, your auto insurance premiums will likely go up. However, if you have a clean driving record, insurance companies see you as a low-risk driver, and you are likely to get cheap car insurance.

Cheapest car insurance after a speeding ticket in New Jersey

Here are the top three companies that offer cheap car insurance after a speeding ticket:

  • NJM: $1,732 per year
  • Plymouth Rock Assurance: $2,201 per year
  • Travelers: $2,486 per year

According to Insure.com data, a single speeding ticket can increase your rates by 56% or $1,056 in New Jersey.

Getting a speeding ticket can be costly. You will have to pay a fine, and your insurance rates may go up. If you’re looking for the cheapest car insurance costs in New Jersey, below are some insurers that offer cheap car insurance after a speeding ticket.

CompanyAverage annual premiumNew rate after accident% Increase$ Increase
NJM$1,318$1,73231%$414
Plymouth Rock Assurance$1,737$2,20127%$464
Travelers$1,706$2,48646%$780
Progressive$2,187$2,96035%$773
Allstate$2,294$3,26442%$970
Farmers$2,254$3,86371%$1,609
State Farm$2,153$4,395104%$2,242

Cheapest car insurance after an accident in New Jersey

Here are the top three insurers that provide cheap car insurance rates following an accident.

  • NJM: $1,430 per year
  • GEICO: $2,197 per year
  • Plymouth Rock Assurance: $2,573 per year

NJM offers the cheapest car insurance rates for drivers following an at-fault accident, with an average car insurance cost of $1,430 annually.

If you’re found at fault, your insurance premiums may go up. However, you can still compare car insurance rates from different insurers to get the best deal.

Below are the companies offering the most affordable car insurance for drivers with an accident on your driving record.

CompanyAverage annual premiumNew rate after accident% Increase$ Increase
NJM$1,318$1,4308%$112
GEICO$1,563$2,19741%$634
Plymouth Rock Assurance$1,737$2,57348%$836
Travelers$1,706$2,89270%$1,186
State Farm$2,153$3,58667%$1,433
Progressive$2,187$3,73071%$1,543
Farmers$2,254$4,984121%$2,730
Allstate$2,294$5,169125%$2,875

Cheapest car insurance after a DUI conviction in New Jersey

Here are the top three insurers that provide affordable car insurance rates after a DUI conviction.

  • NJM: $1,732 per year
  • Plymouth Rock Assurance: $2,141 per year
  • Progressive: $2,654 per year

A DUI conviction can have a significant impact on your car insurance rates, as most insurers will classify you as a high-risk driver and raise your rates accordingly.

The following table highlights insurance companies offering cheap car insurance rates for drivers with a DUI conviction.

CompanyAverage annual premiumNew rate after accident$ Increase% Increase
NJM$1,318$1,732$41431%
Plymouth Rock Assurance$1,737$2,141$40423%
Progressive$2,187$2,654$46721%
Travelers$1,706$2,738$1,03260%
GEICO$1,563$3,171$1,608103%
Allstate$2,294$3,439$1,14550%
Farmers$2,254$4,399$2,14595%
State Farm$2,153$8,623$6,470301%

Average car insurance cost in New Jersey

Full coverage insurance typically costs more than minimum liability insurance, but for most drivers, the additional expense is worthwhile. On average, full coverage car insurance in New Jersey is $7 more than the national average.

Full coverage limits vary, but getting a policy with limits of 100/300/100 is recommended for added protection.

What is full coverage car insurance in New Jersey?

Full coverage car insurance covers bodily injury liability, property damage liability, collision and comprehensive coverage. Collision insurance helps pay for repairs if your car is damaged in an accident, while comprehensive insurance protects against damage from non-collision events like theft or natural disasters.

In New Jersey, if you’re leasing or financing your car, your lender might require you to purchase collision and comprehensive insurance on top of the state-required liability coverage.

Final thoughts

When it comes to car insurance, everyone is looking for ways to save. However, skimping on coverage to save a few dollars now could end up costing you more down the road.

Make sure you’re adequately protected and take into account your specific needs before buying an auto insurance policy. Car insurance rates vary, so compare quotes from at least three different companies to get the cheapest coverage in New Jersey.

Methodology

Insure.com gathered data from Quadrant Information Services to get car insurance rates in New Jersey. The rates are based on a sample profile of a 40-year-old male and female driving a Honda Accord LX with a good insurance score and no violation on record for a full coverage insurance policy with limits 100/300/100 and $500 comprehensive and collision deductibles.

We analyzed 53,409,632 insurance quotes from 170 insurance companies across 34,588 ZIP codes nationwide.

To determine car insurance rates for high-risk drivers with a history of traffic violations, we used a sample profile of a 40-year-old male and female driver who own a Honda Accord LX.

We also used sample profiles of drivers from different age groups: Teen drivers (Age 16-19), young drivers (Age 20-24), adult drivers (Age 25-60) and senior drivers (Age 65-75)

We determined the premiums for a high-risk driver with the following incidents applied

  1. 1 At-fault property damage accident over $2K
  2. 1 At-fault property damage accident under $2K
  3. At-fault bodily injury accident
  4. Poor credit
  5. DUI/DWI first offense
  6. Speeding 30+ over limit
  7. Speeding ticket 1-10 MPH over limit
  8. Speeding ticket 11-29 MPH over the limit

These are sample rates, and your exact rates may vary.

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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.

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