Non-owner auto insurance in New Jersey: Which company has the cheapest rates?

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Non-owner car insurance in New Jersey is $993 per year, which is $613 more than the rest of the country on average, according to a 2023 rate analysis by Insure.com.

In New Jersey, non-owner policies are available from companies such as Mercury Insurance, Farmers Insurance and State Farm, in addition to many others.

Non-owner car insurance is a policy for people who don’t own a car but often borrow or rent a vehicle. It provides liability coverage for bodily injury and property damage in case you get in an accident while driving a car owned by someone else.

“Non-owner policies provide the minimum coverage required by the state, as well as some optional add-ons, but there are specific requirements by the insurance carriers to provide this coverage in lieu of a traditional auto insurance policy,” says Patti Clement, senior vice president of private client services at HUB International, a leading personal insurance brokerage.

Learn more about the various requirements, what non-owner insurance is, which companies offer it and how much it costs in New Jersey.

How much does non-owner car insurance cost in New Jersey?

Insurance companies view non-owner policyholders as less of a risk due to their limited access to a vehicle, so it’s usually cheaper to buy a non-owner insurance policy than regular auto insurance.

In the U.S., it costs an average of $1,682 per year for a 100/300/100 full coverage insurance policy. This includes $100,000 for injuries you might cause in an accident, up to $300,000 per accident, and an additional $100,000 for property damage. This rate is based on drivers with a good credit score and a clean driving record. In New Jersey, the average cost of full coverage car insurance is $1,910 a year.

Meanwhile, non-owner car insurance is $993 a year in New Jersey and $380 on average in the U.S. 

Rates are based on various factors, such as which insurer you buy from, your age and driving history and also where in New Jersey you live.

Which insurer offers the cheapest non-owner insurance rates in New Jersey?

With an average annual cost of $303, Geico’s non-owner insurance policy is New Jersey’s most affordable.

At $2,752, Progressive charges the highest rate for non-owner insurance in the state.

To find the best price, compare quotes from different insurance companies. Below is a list of the cheapest non-owner insurance available in the state.

Cheapest non-owner insurance rates in New Jersey

How much is non-owner car insurance in New Jersey by age?

Age is also an important factor when it comes to pricing. Statistically, young drivers are a higher risk because they haven’t been driving for long and are more likely to cause an accident than older, more experienced drivers. In New Jersey, a 45-year-old will pay an average of $1,029 annually for a non-owner insurance policy compared to a 16-year-old driver who will pay an average of $2,347.

Average non-owner car insurance rates in New Jersey by age and gender

Which New Jersey cities have the cheapest non-owner car insurance?

There’s a great deal of variation from city to city when it comes to rates. Insurers consider the number of thefts, collisions and vandalism in different areas when calculating rates.

The tables  below show which cities in New Jersey have the lowest and highest non-owner car insurance rates.

The 20 New Jersey cities with the lowest non-owner car insurance rates

The 20 New Jersey cities with the highest non-owner auto insurance rates

How much is non-owner car insurance in New Jersey’s 10 biggest cities?

The largest cities in New Jersey have varying non-owner insurance rates. The non-owner insurance cost in Paterson is the most expensive at $1,334, while Toms River has the cheapest rates among the largest cities in the state at $969.

Non-owner auto rates in New Jersey’s 10 largest cities

How non-owner insurance rates in New Jersey compare to rates in other states

The rates for non-owner auto insurance vary from state to state. The average non-owner insurance rate in New Jersey is $993, which is more than the national average of $380. South Dakota is the least expensive at $170 annually, followed by Idaho at $190 per year and then Iowa at $193 a year.

Non-owner car insurance rates in the 10 most populous states

How to get non-owner car insurance in New Jersey

Getting a non-owner insurance policy is as simple as providing your driver’s license and a credit or debit card.

To purchase a policy, follow these steps:

1. Contact an auto insurance agent about the coverage
2. Supply your basic driving history
3. Review the information you receive on the insurers and rates
4. Choose the policy that best meets your needs
5. Put down a payment to begin coverage

Often, you’ll receive proof of insurance very quickly.

For a non-owner car insurance policy quote, you must call your insurer instead of visiting their website.

“You must pick up the phone to request a non-owner insurance quote. Although the majority of the major auto insurance providers provide non-owner policies, none of them provide online non-owner insurance estimates,” says Bruce Mohr, senior investment advisor and credit consultant at Fair Credit, a consumer-credit service and consulting company.

Below are a few insurers with phone numbers to call for a non-owner insurance quote.

• State Farm: 800-782-8332
• Geico: 800-207-7847
• Progressive: 888-671-4405
• Allstate: 800-726-6033.
• USAA: 800-531-8722

Methodology

Insure.com in 2023 compiled non-owner insurance rates from Quadrant Information Services for a 40-year-old male with a good driving record looking for a state minimum, liability-only policy.