How to Get the Cheapest Car Insurance in New Jersey

Finding the most affordable car insurance in New Jersey can be tricky, but it isn’t impossible. We’ve collected all the information you need to secure your truck, van, SUV, or car at the cheapest rates possible. Keep reading to learn more about auto insurance requirements in New Jersey, along with how to find the most affordable rates no matter your background or stage of life.

In This Article:

• Cheapest Rates for Different Types of NJ Drivers
• Cheapest New Jersey State Minimum Rates
• Cheapest Full Coverage Rates
• Cheapest NJ Cities for Car Insurance
• New Jersey Car Insurance Discounts
• Best Car Insurance Companies in New Jersey
• New Jersey Car Insurance Laws and Penalties
• Frequently Asked Questions

The Cheapest Car Insurance Companies in NJ in 2022

The average New Jersey driver pays almost $1,400 a year on their car insurance — that makes NJ the sixth most expensive state to insure your car in the entire U.S. But that doesn’t mean you necessarily have to just accept paying more than most people for car insurance. There are lots of companies across New Jersey offering great rates for drivers of all types. We’ve broken down thousands of real-life quotes to show you who has the most affordable prices. Keep reading to find out which company is best for you.

The Cheapest Rates for Teen Drivers in New Jersey

Driving as a tee can be fun and exciting, but finding affordable insurance can take a little time and effort. Because teenagers lack significant time behind the wheel, auto insurers are a little hesitant to offer insurance at an affordable rate.  Luckily, we’ve found four insurance companies that offer the cheapest rates for teen drivers in New Jersey.

With rates starting at $236 per month, Metromile offers the best monthly premium when it comes to protecting your teenager on the road. Other affordable options include Plymouth Rock Assurance at $294/mo, Good2Go at $331/mo, and Liberty Mutual at $502/mo.

While these are the most affordable rates on average, it’s best to hop online and compare rates to see which companies can give you the best premium based on where you live, your driving habits, and other factors.

Also, don’t forget to ask about available discounts. Auto insurers reward drivers who are affiliated with certain companies and organizations. Some teen drivers may also get discounts from insurers for maintaining good grades.

Cheapest Car Insurance for Young Drivers Under 25

Until you reach 25 years of age, don’t expect to see any significant decreases in auto insurance rates. This is because insurers feel that drivers between the ages of 18-24 are more likely to get into accidents and file insurance claims. But some companies will help you save money. For young drivers in New Jersey, we found five companies that provide the cheapest car insurance for drivers in this age range.

As you can see, Metromile is number one again when it comes to the most affordable auto insurer, this time for young drivers in New Jersey with premiums for liability insurance $178/mo. Mercury ($207/mo), Plymouth Rock Assurance ($220/mo), Good2Go ($274/mo), and Liberty Mutual ($294/mo) also provide affordable liability coverage if you fall in this age range.

When comparing rates of young drivers to teen drivers, you’ll find that young drivers tend to pay less for auto insurance than teen drivers. A young driver insured by Plymouth Rock Assurance will pay a monthly rate of $220/mo, while a teen driver has to pay a premium of $294. While none of the quotes for young drivers cross the $300 threshold, half of the options for teen drivers surpass it entirely.

The Best Rates for Retired NJ Drivers

Car insurance for retirees can become a bit more expensive once you hit 65 years old. Don’t let this stress make you feel stressed out during what should be an enjoyable time of your life. All you have to do is a bit of research to find the cheapest car insurance rates available. We started the process for you with these 3 affordable auto insurance companies for retired drivers.

The last thing you want to think about is having to fork over more of your hard-earned pensions, Social Security income, or savings. We’ve identified three companies that can save you money on car insurance for retired New Jersey drivers.

Metromile offers the most affordable rates at $77/mo with Liberty Mutual ($112/mo) and Plymouth Rock Assurance ($118/mo) offering slightly more affordable rates.

Keep in mind that many auto insurance companies provide discounts to retirees. Because you are probably spending less time on the road, you might qualify for a low-mileage discount, along with others.

Ask your insurance company about all available discounts and do a bit of comparison shopping to find the cheapest car insurance rates available for you.

Cheapest Car Insurance for Married Drivers

Tying the knot has many benefits. Obviously, you get to spend your life with the one you love, but did you know you also pay less for auto insurance? Married New Jersey drivers are seen as more stable, responsible, and less likely to participate in risky behavior, especially behind the wheel and statistically, married couples tend to be less likely to get into car accidents.

As a result, auto insurers, like the four we’ve listed below, tend to reward married drivers with access to cheaper car insurance rates.

If you’ve said “I do,” notify your insurance company and ask for an updated quote based on your new marital status. Then, go rate shopping with as many companies as you can.

In the meantime, take a look at four of the most affordable rates for married couples in New Jersey that we found, starting with Metromile who has once again comes in as the cheapest auto insurance with premiums averaging $89 per month. Other companies offering affordable insurance are Plymouth Rock ($122/mo), Liberty Mutual ($154/mo), and Good2Go ($176/mo).

If either your spouse or yourself have a poor driving record, it may be cheaper to keep separate policies. But compare rates together and separately to see what’s most affordable for you. If you plan to bundle your home, along with the multi-vehicle discounts, your rates may still be lower. But it’s always a good idea to do your research before making a final decision.

Affordable Auto Insurance for Single NJ Drivers

Doing just about anything solo usually costs you more, including driving as an unmarried person in New Jersey. Unmarried drivers in the Garden State pay more than their married counterparts. That’s because insurance companies believe single people are less stable and less likely to participate in risky behavior.

But rest assured, our research found seven companies that offer affordable auto insurance to single drivers in New Jersey. Once again, Metromile came in as the cheapest car insurance company, with minimum liability rates costing you around $109 per month. Other affordable auto insurers were Plymouth Rock Assurance ($134/mo), Travelers ($147/mo), Liberty Mutual ($166/mo), Mercury ($180/mo), and Good2Go ($205/mo).

As you take a closer look at the car insurance rates for married and single drivers in New Jersey, you’ll find that married couples pay a lot less. Let’s look at drivers who choose Metromile as their insurance company.  While a married driver will only pay an insurance premium of $89/mo, a single driver will pay over $20 more at $109/mo. Initially, $20 may not seem like much, but this will quickly add up. Over the year, a single driver insured by Metromile will pay $240 more in auto insurance! That’s money that could go towards groceries, paying off debt, or clothing for the kids.

If you’re a single driver, this doesn’t mean that you’re doomed to overpaying on car insurance. Instead, regularly compare rates to see what affordable options are out there for you.

The Most Affordable Rates for Men vs. Women in New Jersey

Cheapest Car Insurance Companies for Men in New Jersey

Surprisingly, some men in New Jersey pay slightly less for insurance than women, excluding younger drivers, whose rates tend to be more costly. Although statistically, males are more likely to drive without their seatbelt and get into more accidents, their insurance rates are still cheaper than for women.

We found four insurers that offer affordable premiums to male drivers in New Jersey. From cheapest to most expensive are Metromile ($100/mo), Plymouth Rock Assurance ($138/mo), Liberty Mutual ($165/mo), and Mercury ($175/mo).

Cheapest Companies for Women

Despite displaying safer driving practices, many women pay more for car insurance than men in New Jersey.

These 6 insurance companies were offering affordable rates to women. Again, taking the top spot for the cheapest insurance is Metromile ($113/mo). They’re followed by Plymouth Rock Assurance ($128/mo), Travelers ($144/mo), Liberty Mutual ($162/mo), Mercury ($191/mo), and Good2Go ($200/mo).

The Cheapest Car Insurance Companies if You Have a Spotty Driving Record

The Best Rates for Drivers with a Ticket on Their Record

Receiving a traffic ticket can feel like the worst thing in the world. But take a deep breath and know that you are not alone. Most of us have experienced at least one ticket in our lifetime. You may wonder how this will impact your insurance rates? If you’re searching for insurance in New Jersey, it shouldn’t prevent you from getting an affordable policy.

Start with these three companies offering budget-friendly insurance to drivers with a ticket on their record.

For a minimum liability insurance policy, Liberty Mutual offers the cheapest rate at $147/mo. At almost $50 bucks more is Mercury ($198/mo), and offering the most expensive rate is Good2Go ($201/mo).

Most Affordable Rates for Drivers with Multiple Tickets

When you have multiple driving infractions on your record, getting cheap insurance in New Jersey may not be as hard as you may think.

Above are five companies we’ve found for more affordable car insurance in New Jersey if you have multiple tickets on your record. Plymouth Rock Assurance comes in at the most affordable at $135/mo. Metromile is a close second at $137/mo. You see rates jump more than $60 to $189/mo with Liberty Mutual followed by additional rate jumps with Good2Go at $231/mo and Mercury at $300/mo.

Cheapest Quotes for Drivers with an Accident on their Record

When you have an accident on your record, you’re likely to see an increase in auto insurance rates. Fortunately, you can still find affordable coverage if you know where to look.

WIth one accident on your record, you can pay less at one of the insurance companies listed above. Metromile offers the most affordable rates at $123/mo. The most expensive option on our list, Mercury, is almost $100 less than Metromile at $220/mo.

Cheapest Premiums for Drivers with Multiple Accidents

Plymouth Rock offers the most affordable auto insurance for drivers with multiple accidents at $146/mo. Rates then jump $50 to $198/mo for Liberty Mutual. You see an even larger rate increase with Good2Go at $266/mo.

Generally, drivers with multiple accidents on their record will pay more expensive insurance premiums than drivers who’ve only been in a single accident. With Liberty Mutual, a driver who’s been in a single accident will pay an average premium of $164/mo. A driver with multiple accidents on their record who is also insured by Liberty Mutual will pay $34 more at $198/mo for liability insurance. In a year’s time, that’s an extra $400 in insurance costs!

As you see, rates can vary, even amongst the cheapest options, so be sure to shop around to find the best option for you.

The Cheapest State Minimum Coverage in New Jersey

Are you looking for a minimum liability policy for your vehicle? You can expect to save big time compared to a full coverage policy. While you will enjoy serious savings, you should remember you won’t have the same levels of protection as a driver with a full coverage policy. Check out five auto insurance companies offering affordable car insurance to New Jersey drivers.

Not surprisingly, Metromile again comes in with the most affordable auto insurance rates at $83/mo if you want state minimum coverage.

After Metromile ($83/mo), Plymouth Rock ($102/mo), Liberty Mutual ($126/mo), Mercury ($134/mo) and Good2Go ($171/mo) come up next. As you can see, the rate from the least expensive on our list to the most expensive more than doubles, so always compare rates to find the most affordable insurance coverage based on your profile.

Insurance companies use factors like age, gender, and driving history to determine your monthly rate, and this could lead to you enjoying cheaper rates from an insurer.

The Most Affordable Full Coverage Insurance in NJ

If you need to protect you and your vehicle while on the road full coverage auto insurance may be just what the doctor ordered. Especially if the patient in question is a leased or financed vehicle. Full coverage insurance will safeguard you from expensive costs in most scenarios, including fire damage, theft, cracked windshields, and colliding with animals. It also provides peace of mind if you’re in an accident that may or may not be your fault.

Metromile offers the most affordable full coverage car insurance policies in New Jersey at $146/mo. They’re followed by Plymouth Rock at $177/mo and Mercury at $194/mo. Liberty Mutual and Good2Go cross the $200/mo mark at $227/mo and $281/mo respectively.

When comparing the prices of full coverage and state minimum insurance, there is quite a disparity in price. Although Metromile offers the cheapest option for both categories, drivers who choose to purchase full coverage will pay $63 more than those who choose state coverage.  This $63 increase in cost could hold drivers back from springing for full coverage, but you might be able to save in other areas. Ask your insurer about any discounts you qualify for to get additional savings on your insurance premium.

The Best Car Insurance Companies in New Jersey for 2022

New Jersey drivers have the most expensive auto insurance premiums in the nation. So, identifying the best-rated car insurance company to choose for your vehicle is no laughing matter. The best companies have affordable coverage, high customer satisfaction ratings, a wide variety of coverage options from which to choose, and straightforward claims processing.

According to J.D. Power’s survey based on overall customer satisfaction here are 3 of the top-rated companies for car insurance in New Jersey. 

New Jersey Manufacturers Insurance – 867

• • Low annual premiums
  • Highly rated customer service
  • Wide variety of coverage options

Progressive – 834

• • Great digital tools
  • Large network of local agents
  • Many coverage options

Allstate – 830

• • Large agent network
  • Excellent online resources
  • Wide variety of coverage options

The scores are based on a 1,000-point system and were also rated on ease of online account management, the number of coverage options offered, and available discounts.

But don’t just take our word for it. Take some time out of your day to shop for the best auto insurance for your needs.

The Best New Jersey Auto Insurance Discounts

Most car insurance companies offer special discounts that allow drivers to save on their insurance premiums. These deals often fall under three general categories: policy discounts, driver discounts, and vehicle discounts.

Policy Discounts

• Customer Loyalty Discount. Long-term customers are rewarded with savings of up to 30% as a reward for staying with their current insurance company.
• Bundled Policy Discount. Insurance companies offer this discount when you buy multiple insurance companies from them. The most common bundles are home and auto. Still, they can include health insurance, life insurance, boat insurance, mobile home insurance, and renters insurance.
• Paperless Discount. Sign up to receive your insurance policy documents via email, and you can save.
• Automatic Payment Discount. Save when you agree to have your monthly premiums automatically deducted from your checking or savings account.
• Pay in Full Discount. Receive this discount when you pay your annual or bi-annual policy in full.

Driver Discounts

• Safe Driver Discount. Also known as the Good Driver Discount, this means you or others on your policy haven’t filed comprehensive claims or been involved in driver-related accidents or traffic violations.
• Good Student Discount. This discount is available to high school or college-aged drivers who earn good grades in school. The minimum requirement is usually a B+ or higher.
• Homeowner Discount. If you own a home and bundle it with your auto insurance policy, you can save up to 30% on your premium.
• Driver Education Discount. Enroll in a driver’s education or defensive driving course and get cheaper rates.
• Professional Affiliation Discount. Receive an additional discount if you’re a member of a fraternity, sorority, charity group, or professional organization.
• Military Discount. Serving your country can help you lower your insurance rates. Active duty and retired members of the armed forces receive a discount for their service and sacrifice.
• Government Employee Discount. Are you a current or former employee of the federal, state, or local government? If so, you could receive cheaper rates on your auto insurance.

Vehicle Discounts

• Usage-Based Discount. Safe drivers who allow their insurance company to collect data via a tracking device can see a reduction in the rates. The data tracks your driving patterns such as miles driven, speed, hard braking, acceleration, the time of day or night you drive, and the number of hours driven.
• New Car Discount. If your car is new and you’re the first owner, you may qualify for cheaper insurance premiums. Your insurance company will likely reward you based on your vehicle being equipped with more modern safety features like anti-theft and passive restraint.

The Cheapest Cities in New Jersey for Car Insurance

Click on the name of any of the New Jersey cities in the table above to find detailed breakdowns on all the factors that go into calculating your monthly premium. Here, you’ll find the information you need on how things like driving record, age, gender, vehicle make and model, and more will affect how much you pay for car insurance in each locality.

And if you want to jump right in and see how much you’ll pay, simply enter your ZIP code below and find your best rate in minutes!

New Jersey’s Auto Insurance Minimum Requirements

In New Jersey, if you drive a motor vehicle, you are required to carry the following amounts of coverage:

• $15,000 of bodily injury liability per person
• $30,000 of bodily injury liability per accident
• $5,000 of property damage liability per accident
• $15,000 of personal injury protection (PIP) per person or accident

Though it may appear cheaper to opt for the bare minimum of required coverage, it might be a better idea to get a little more than that. That’s because even one accident can easily cause more damage than the basic coverage you carry.

If your insurance doesn’t cover the entire claim, you’ll be responsible for paying the remainder out of your pocket. It’s your responsibility to compare multiple car insurance quotes to find the right coverage with the best rates.

Penalties for Driving Without Insurance in New Jersey

In New Jersey, the law requires you have at least the minimum insurance coverage as shown above. Of all the states, NJ has some of the most severe penalties for driving without insurance. If you’re stopped by law enforcement for any infraction including a speeding ticket or making an illegal U-turn, you must provide proof of active insurance.

Failure to do so can result in penalties including steep fines, jail time, losing your driver’s license, and mandatory community service. As you can see below, the penalties vary based on if this is your first offense or if you’re a habitual offender.

Driving Without Insurance First Offense

The first time you’re caught driving without insurance, you can be fined between $300 and $1000, be required to perform community service, have to pay a $250 surcharge each year for three consecutive years or lose your driver’s license for an entire year.

You’ll also be required to provide proof of insurance within 24 hours or your car could be impounded. If they seize your car, you’ll have to fork over an additional $100 in administrative fees and provide proof of insurance to get your car back.

Driving Without Insurance Second or Multiple Offense

The second or subsequent times you are caught driving with insurance in New Jersey, expect to dig deep in your pockets and fork over up to $5000 in fines. But that’s not all, be prepared to lose your driver’s license for a minimum of two years, go to jail for up to 14 days, be forced to perform up to 180 hours of community service, and pay a total surcharge of $750, to be divided into $250 payments over a  three year period.

The judge may also assess up to nine insurance eligibility points for driving without insurance, making it quite difficult and in some cases, impossible for you to get car insurance.

New Jersey Vehicle Registration Fees and Other Costs

If you’re in the market for a new or used car, you’ll need to budget for more than just the vehicle’s sticker price. You’ll also be on the hook for basic DMV fees like title, license plate, registration fees, as well as buying a new car insurance policy for your vehicle. Some buyers will also find themselves with additional fees such as sales tax, documentation fees, personal property tax, emissions and inspection fees, hybrid and electric vehicle fees, lien recording fees, and a slew of other costs.

Check out Compare.com’s comprehensive vehicle costs breakdown to make sure you account for all the added fees you might be on the hook for when buying a car in New Jersey.

Frequently Asked Questions

What car insurance is required in New Jersey?

Drivers in New Jersey are required by law to maintain insurance on their vehicles. All motor vehicles must have the following minimum liability insurance coverage:

• $15,000 if you’re found legally responsible for the injury or death of one person per covered accident.
• $30,000 for the injury or death of more than one person if you’re found legally responsible for a covered accident.
• $5,000 for property damage if you’re found legally accountable for a covered accident.

How much is car insurance in New Jersey?

The average cost of auto insurance in New Jersey is $139/mo.

What happens if you drive without insurance in New Jersey? 

It’s never wise to drive with car insurance, especially in New Jersey. If you do, expect to lose money and possibly, your freedom. Below is a list of penalties drivers in New Jersey face if they are caught behind the wheel without insurance on their vehicles:

• $500 – $5,000 fine
• Up to 14 days in jail
• $750 surcharge ($250/per year for three years)
• Suspension of your driver’s license for two years
• Up to 180 hours of community service
• Your vehicle may be impounded
• $100 administrative fee to reclaim your vehicle
• Additional court fees may be assessed

Does New Jersey require full coverage car insurance?

New Jersey residents are not required to have full coverage insurance on their vehicles. However, choosing this option can provide peace of mind and an extra layer of protection for your car.

Can you get car insurance without a license in New Jersey?

Yes, you can purchase a vehicle and buy car insurance even if you do not have a New Jersey driver’s license.