Average homeowners insurance cost in New Jersey

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The average cost of home insurance in New Jersey is $1,506 per year for a standard policy.

Your premium is shaped by the dwelling coverage limit you select and the level of protection you need. Broader coverage generally means a higher cost. Higher coverage means higher premiums. NJM stands out for its more affordable rates in the state, offering solid value as you weigh different levels of coverage.

Compare quotes from multiple insurers and ask each one what discounts they offer. Premiums can differ significantly from company to company because they weigh things like where your home is located, how old it is, what it’s built from, the shape your roof is in, and your past claims. Pulling several quotes tied to your specific address is the surest way to spot the best value.

Key Takeaways

Based on our data, homeowners insurance in New Jersey costs an average of $1,506 per year.
Among all ZIP codes in New Jersey, 8803 has the most affordable rates, averaging around $1,185 annually.
For the lowest insurer rates in New Jersey, NJM comes in at an average annual premium of $943.

What is the average cost of homeowners insurance in New Jersey?

Homeowners in New Jersey pay an average of $1,506 per year for a policy with $300,000 in dwelling coverage, $100,000 in liability protection, and a $1,000 deductible.

How much is home insurance in New Jersey? Cost by coverage level

On average, homeowners in New Jersey pay $1,506 a year for insurance – a figure based on $300,000 in dwelling coverage, $100,000 in liability, and a $1,000 deductible.

Raising your dwelling coverage from $300,000 to $400,000, with the same liability and deductible, brings the average annual cost to $1,873 in New Jersey.

The table below shows average homeowners insurance costs in New Jersey for dwelling coverage from $200,000 to $1 million.

Coverage	Average annual rate	Average monthly rate
$200,000 with $1,000 Deductible and $100,000 Liability and 2% Deductible	$1,151	$96
$200,000 with $1,000 Deductible and $300,000 Liability and 2% Deductible	$1,171	$98
$300,000 with $1,000 Deductible and $100,000 Liability and 2% Deductible	$1,506	$125
$300,000 with $1,000 Deductible and $300,000 Liability and 2% Deductible	$1,526	$127
$400,000 with $1,000 Deductible and $100,000 Liability and 2% Deductible	$1,873	$156
$400,000 with $1,000 Deductible and $300,000 Liability and 2% Deductible	$1,894	$158
$600,000 with $1,000 Deductible and $100,000 Liability and 2% Deductible	$2,614	$218
$600,000 with $1,000 Deductible and $300,000 Liability and 2% Deductible	$2,634	$220
$1,000,000 with $1,000 Deductible and $100,000 Liability and 2% Deductible	$4,087	$341
$1,000,000 with $1,000 Deductible and $300,000 Liability and 2% Deductible	$4,107	$342

Average home insurance cost in New Jersey by insurer

NJM offers the most affordable homeowners insurance in New Jersey, at an average annual premium of $943, followed by Chubb and National General.

You can save hundreds – if not thousands – of dollars each year by shopping around.

Below are the average annual and monthly insurance rates for New Jersey homeowners for a policy with $300,000 dwelling coverage and $100,000 liability protection with a $1,000 deductible.

Company	Average annual rate	Average monthly rate
NJM	$943	$79
Chubb	$1,131	$94
National General	$1,133	$94
State Farm	$1,187	$99
Franklin Mutual	$1,410	$118
Heritage Insurance Holdings	$1,766	$147
Farmers	$2,059	$172
Plymouth Rock Assurance	$2,196	$183
USAA*	$1,270	$106

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

How to lower your home insurance rate

Shop around. Don’t settle for the first quote. Compare rates from at least three to four insurers to find the best deal in New Jersey.
Bundle your policies. Adding home and auto (or renters and auto) to the same provider often unlocks significant multi-policy discounts.
Ask about smart home discounts. Installing security systems, smoke detectors, or water leak sensors can reduce your premium.
Check for other savings. Ask about loyalty discounts, claims-free rewards, or upgrades like fire-resistant roofing.

How does your ZIP code affect home insurance rates in New Jersey?

Your ZIP code is one of the biggest factors in your home insurance rate, because it tells the insurer how much risk comes with your location. Areas with higher crime rates, frequent natural disasters, or high rebuilding costs are treated as higher-risk-and that pushes premiums up.

Below are the most affordable and most expensive ZIP codes for home insurance in New Jersey

Most affordable ZIP codes for home insurance in New Jersey

8803 has the lowest average home insurance rates in New Jersey, with homeowners paying around $1,185 per year.

Home insurance rates aren’t uniform across New Jersey. Your ZIP code, in particular, is one of the biggest reasons prices differ from one area to the next.

Below are average rates for some of the most affordable ZIP codes in New Jersey.

ZIP code	Average annual rate	Average monthly rate
8803	$1,185	$99
8834	$1,194	$99
8504	$1,195	$100
7831	$1,209	$101
7961	$1,212	$101
7842	$1,213	$101
7870	$1,215	$101
8868	$1,216	$101
7926	$1,218	$101
7979	$1,219	$102

Most expensive ZIP codes for home insurance in New Jersey

At the other end of the spectrum, 8203 has the highest average rates in New Jersey at $2,434 per year.

Higher premiums in certain ZIP codes typically reflect greater exposure to crime, natural disasters, and elevated living and rebuilding costs.

Below are some of the most expensive ZIP codes for home insurance in New Jersey.

ZIP code	Average annual rate	Average monthly rate
8203	$2,434	$203
8406	$2,411	$201
8401	$2,381	$198
8402	$2,359	$197
8006	$2,348	$196
8403	$2,309	$192
8008	$2,289	$191
8752	$2,276	$190
8735	$2,255	$188
8751	$2,253	$188

Home insurance rates vary from one city to another. But with Insure.com, finding the right home insurance policy is easy. Learn more about homeowners insurance costs for different cities below.

Home insurance rates in New Jersey by city

See rates in your city

Jersey City

Lakewood

What are the best homeowners insurance companies in New Jersey?

Based on our data, Chubb stands out as a top choice in New Jersey. It earns an AM Best rating of A++ and one of the lowest NAIC complaint scores in the state-a combination that points to both financial stability and customer satisfaction.

To identify the most reliable insurers, we weighed two key metrics:

AM Best Rating, which evaluates a company’s financial strength and its ability to pay out claims.
NAIC Complaint Score, which reflects how many complaints a company receives relative to its size, so a lower score signals fewer problems.

Together, these metrics help you determine an insurer’s financial stability and customer satisfaction. The table below breaks down the best companies in New Jersey by average annual premium, financial rating, and complaint history.

Company	Average annual premium	AM Best rating	NAIC Complaint Index	Overall score
Chubb	$1,131	A++	0.18	5
NJM	$943	A+	0.14	4.97
National General	$1,133	A+	0.92	4
State Farm	$1,187	A++	0.95	4
Franklin Mutual	$1,410	A	0.71	3.86
Farmers	$2,059	A	0.54	3.39
Plymouth Rock Assurance	$2,196	A-	1.38	2.35

How to understand insurer ratings and complaint data

When choosing an insurer, you want to know if the company can pay your claim, and if customers are satisfied with it. Rating agencies track this data so you can make an informed decision at renewal.

Here are the two ratings that we have referred to:

AM Best: A global agency that rates insurers based on their financial strength and ability to pay claims. A higher score means the company is more financially stable.
NAIC Complaint Index: The National Association of Insurance Commissioners tracks consumer complaints. A score below 1.00 means fewer complaints than expected for a company of that size, while a score above 1.00 means more complaints than expected.

What factors affect your home insurance rate?

Home insurance rates come down to how much risk you represent to the insurer. The main factors they weigh:

Where you live. Local crime, weather risk, and how often neighbors file claims.
Your claims history. Past claims usually raise your rate.
Your credit-based insurance score. Weaker credit can mean a higher premium (restricted in some states, like California and Massachusetts).
Your coverage limits and deductible. More coverage or a lower deductible costs more.

Rates have also been climbing across the board. Home insurance premiums for owner-occupied homes rose more than 11% nationwide in 2023, according to S&P Global Market Intelligence’s RateWatch application.

Resources & methodology

Source

S&P Global. US homeowners insurance rates jump by double digits in 2023. Accessed June 2026.

Methodology

Insure.com worked with Quadrant Information Services to get homeowners insurance data. We analyzed 20,739,560 insurance quotes from 82 national and regional insurance companies across 34,588 ZIP codes to determine the average premiums.

The insurance rates are based on a sample profile of a homeowner with good credit and the following coverage level:

$300,000 dwelling coverage
$100,000 liability protection
$1000 deductible

We have taken into account 3 important factors, such as average annual cost, NAIC score, and AM Best rating, to determine the list of best homeowners insurance companies. The quoted insurance rates are for comparison purposes, and your individual rates may vary.

Alisha Ambre

Alisha Ambre holds a Bachelor of Arts with honours in English Literature and Media Studies. She focuses on crafting clear, engaging content that makes complex information feel practical and approachable for everyday readers. When she’s not writing, she’s likely on the volleyball court or immersed in a good video game.