The Cheapest Auto Insurance Companies in Newark, New Jersey, in 2025

CSAA has the cheapest auto insurance rates in Newark. But premiums can vary by personal factors like your age, driving record, credit history, and insurance needs.

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Mandy Sleight
Written byMandy Sleight
Mandy Sleight
Mandy SleightInsurance Writer

Mandy Sleight has over 15 years of insurance knowledge and expertise in auto, home, life, health, pet, supplemental benefits, and other insurance products. She’s a sought-after insurance expert, appearing in Bankrate.com, Moneygeek.com, U.S. News & World Report, Reviews.com, CNET, and other publications, and she's been writing for Compare.com since 2023.

Mandy uses her background and experience working for well-known insurance companies like State Farm and Nationwide Insurance to create engaging and easy-to-understand content that helps readers make smarter insurance choices that have a positive effect on their budgets and finances.

Lequita Westbrooks
Lequita WestbrooksSenior Editor

Lequita Westbrooks is an insurance editor at Compare.com. Her writing and editing experiences span several industries, including insurance, personal finance, higher education, and more. She excels at explaining complex topics like auto insurance in simple, easy-to-understand language and is passionate about helping readers save money. Lequita graduated from the University of South Florida, where she earned her Bachelor’s degree in English.

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Newark drivers pay an average of $266 per month for car insurance. The city’s rates are higher than the New Jersey statewide average of $166 per month, according to Compare.com data. Newark’s higher rates are likely due to its vehicle theft rates and dense population.[1][2]

But many companies offer premiums well below the statewide average. For example, CSAA, Foremost, and NJM offer the cheapest average car insurance rates, starting at just $142 per month.

Keep reading to learn about the cheapest insurers for various driver types in Newark, how to pick the right company, and tips to save on auto insurance.

Key Takeaways
  • The cheapest car insurance company in Newark is CSAA, with an average monthly premium of $142.

  • Newark drivers pay an average of $216 per month for liability coverage and $315 for full coverage.

  • New Jersey requires all drivers to have, at a minimum, a basic policy with $5,000 per accident in property damage liability and $15,000 in personal injury protection (PIP).[3]

The Cheapest Car Insurance Companies in Newark, New Jersey

Regardless of Newark’s average rates, you can still find ways to save on auto insurance if you know where to look. To get you started, we’ve compiled a list of companies offering rates below the city average in the table below.

The below rates are estimated rates current as of: Thursday, July 3 at 12:00 PM PDT
Company
sort ascsort desc
Average Monthly Premium
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CSAA$142
Foremost$206
NJM$210
Mercury$243
GEICO$330
Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.

CSAA is the cheapest car insurance company in Newark. Its rates average $142 per month.

In the sections below, we break down which companies are the cheapest for the top rating factors.

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Cheapest Car Insurance in Newark by Driver and Coverage Type

While the companies above are a great starting point, your actual rate can vary a lot depending on factors like your age, driving record, and where you live in Newark. That’s why shopping around and comparing rates is so important — it’s the best way to find cheaper rates.

The table below shows the cheapest car insurance companies for different driver profiles and coverage levels, according to Compare.com data.

Driver/Coverage Type
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Cheapest Insurer
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Insurer’s Average Monthly Premium
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State-minimum coverageCSAA$142
Full coverageCSAA$210
TeensCSAA$219
SeniorsCSAA$107
Drivers with a speeding ticketCSAA$184
Drivers with an at-fault accidentCSAA$187
Drivers with a DUICSAA$218
Drivers with excellent creditCSAA$114
Drivers with poor creditCSAA$168
Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

We’ve broken things down even further for each driver and coverage type in the following sections.

  • The average auto insurance premium for state-minimum coverage in Newark $216 per month, according to Compare.com data.

    Most insurance experts recommend buying higher coverage limits than your state requires if you have more assets you want to protect.[4] Higher liability limits can protect your finances if you cause an accident with serious injuries or property damage.

    But if you’re in the market for basic coverage only, the chart below shows the five cheapest insurers in Newark for minimum coverage, according to our research.

    Average Liability Rates by Company

    Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
  • Most Newark drivers should consider full-coverage auto insurance. Plus, lenders typically require full coverage if you lease or finance your car.[5]

    An addition to liability insurance, it includes comprehensive coverage and collision coverage, which covers damage to your vehicle, regardless of fault. You can also include PIP to pay for your injuries in an accident.

    The average monthly rate for full coverage in Newark is $315, according to Compare.com data. Full coverage costs more, but some offer it for close to the average liability price in the city.

    Check out the chart below to see Newark’s five cheapest insurers for full coverage, according to Compare.com data.

    Average Full-Coverage Rates by Company

    Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
  • Teens are the most expensive age group to insure because they have the highest risk of auto accidents, one of the leading causes of death for U.S. teens.[6] That may be why New Jersey has some of the strictest graduated licensing laws, with teens only able to get a learner’s permit at 16.5 and a license at 18.[7]

    In Newark, teen drivers pay an average of $391 per month for car insurance. But some insurers offer even cheaper rates.

    The insurers in the table below have the cheapest car insurance rates for teens in Newark, according to Compare.com data.

    Average Rates for Teens

    Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
  • While teens pay the most, seniors usually pay the least of any age group for car insurance. They typically spend less time on the road and avoid driving during peak times, contributing to fewer accidents and tickets.[8]

    The average cost of auto insurance for seniors in Newark is $211 per month, according to our data. But even with already low average premiums, you may still find a better deal from other insurers.

    The chart below shows the five cheapest insurers for Newark seniors, according to Compare.com data.

    Average Rates for Seniors

    Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
  • Getting a ticket can lead to higher premiums the next time your auto policy renews. Insurers see driving habits that lead to traffic violations as a sign of risky driving behavior.[9] Our research shows that a single speeding ticket raises premiums by an average of 37% nationally.

    Newark drivers with a recent ticket pay an average of $356 per month, according to our data. But several insurers offer lower rates. Check out the chart below, which highlights the cheapest insurers in Newark for drivers after a speeding ticket, according to Compare.com data.

    Average Rates With a Ticket

    Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
  • An at-fault accident is a more serious infraction that can cause a substantial rate increase. Our research shows that rates increase by around 41% nationally after an at-fault accident.

    The average cost of car insurance after an accident is $322 per month in Newark, according to our data. But even with an accident on your record, it’s possible to get coverage at an affordable price.

    The five insurers in the chart below offer the cheapest rates for drivers in Newark with a recent at-fault accident on their record, according to Compare.com data.

    Average Rates With an Accident

    Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
  • A DUI is one of the most severe driving violations you can receive. A conviction typically comes with a staggering increase in car insurance rates. Our research shows a national average rate increase of 61% after a DUI conviction.

    In Newark, drivers with a DUI conviction pay an average of $428 per month for auto insurance. But you don’t have to be stuck paying outrageous premiums.

    Here are Newark’s five cheapest car insurance companies for drivers with a DUI conviction, according to Compare.com data.

    Average Rates With a DUI

    Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
  • It may not be common knowledge, but some car insurance companies consider your credit history when calculating premiums. Studies have shown a link between low credit and a higher chance of filing claims, making those drivers riskier to insure. We found that drivers with poor credit pay about 20% more for auto insurance than drivers with excellent credit.

    Drivers with poor credit pay an average of $320 for car insurance per month, according to our data. That said, not all insurers use credit as a rating factor, and some still offer affordable rates no matter your credit history.

    Check out the chart below to see the five cheapest car insurance companies for Newark drivers with poor credit, according to Compare.com data.

    Average Rates With Bad Credit

    Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

New Jersey Auto Insurance Requirements

Aerial view of a city skyline at dusk, with a river running through, surrounded by buildings, roads, and bridges under a pinkish-blue sky.

Like almost all states, New Jersey requires drivers to have car insurance. You can choose from two policy options: basic and standard.

A basic policy meets the state minimums:

Since New Jersey is a no-fault state, your PIP pays for your injuries, no matter who caused the crash.

But most drivers will likely want a standard policy, which offers higher limits, bodily injury liability, and the right to sue if you’re injured. You should also consider uninsured motorist coverage, which protects you if someone without insurance damages your vehicle. You can also customize it with optional coverages like roadside assistance, rental reimbursement, and gap insurance.

For full details, visit the New Jersey Department of Banking and Insurance website.

Is minimum coverage enough in Newark?

The New Jersey Department of Banking and Insurance only recommends basic policies for drivers with minimal assets or family responsibilities. Everyone else should consider a standard policy with liability limits high enough to cover their assets. You can also sue for your injuries and add more PIP coverage for severe injuries.

If you finance or lease your vehicle, your lender will require comprehensive and collision coverage. These are typically only available with a standard policy. Consider your policy options and net worth to ensure your coverage meets your insurance goals and protects your finances.

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Newark Auto Insurance FAQs

If you still have questions, we’ve answered common questions drivers ask about Newark car insurance.

  • How much is car insurance in Newark?

    Car insurance in Newark averages $266 per month, according to Compare.com data. Liability-only coverage costs an average of $216 per month, while full coverage averages $315.

  • What’s the cheapest auto insurance company in Newark?

    CSAA offers the cheapest auto insurance in Newark, at an average cost of $142 per month, according to Compare.com data. Remember to compare quotes to get the cheapest rate.

  • Is car insurance in Newark expensive?

    Yes. Newark drivers pay an average of $266 per month for auto insurance compared to the national average rate of $149, according to our research. Car insurance costs depend on multiple personal factors, so comparing quotes, bundling policies, and adding discounts can help you get cheaper coverage in Newark.

  • Which insurer has the cheapest car insurance in New Jersey?

    CSAA has the cheapest car insurance in New Jersey, with an average rate of $99 per month, according to Compare.com data. CSAA and Foremost are the next cheapest options for New Jersey drivers.

  • How much is Progressive car insurance in New Jersey?

    Progressive car insurance averages $220 per month in New Jersey, according to Compare.com data. Keep in mind that your rates may be higher or lower depending on your unique driver profile.

Methodology

Data scientists at Compare.com analyzed more than 50 million real-time auto insurance quotes from more than 75 partner insurers in order to compile the rates and statistics seen in this article. Compare.com’s auto insurance data includes coverage analysis and details on drivers’ vehicles, driving records, insurance histories, and demographic information.

All the rates listed in this article have been collected from a combination of real Compare.com quotes and external insurance rate data gathered in collaboration with Quadrant Information Services. Compare.com uses these observations to provide readers with insights into how auto insurance companies determine their premiums.

Related Articles

Sources

  1. Newark Department of Public Safety. "Crime Statistics & Data."
  2. World Population Review. "New Jersey Cities by Population 2025."
  3. Nj.gov. "Standard Auto Insurance Policy."
  4. III. "How much auto coverage do I need?."
  5. Naic.org. "What You Should Know About Auto Insurance Coverage."
  6. Insurance Institute for Highway Safety. "Teenagers."
  7. Graduated licensing laws. "Insurance Institute for Highway Safety."
  8. Iihs.org. "Older drivers."
  9. New Jersey Department of Banking and Insurance. "Auto Insurance."
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Mandy Sleight
Mandy SleightInsurance Writer

Mandy Sleight has over 15 years of insurance knowledge and expertise in auto, home, life, health, pet, supplemental benefits, and other insurance products. She’s a sought-after insurance expert, appearing in Bankrate.com, Moneygeek.com, U.S. News & World Report, Reviews.com, CNET, and other publications, and she's been writing for Compare.com since 2023.

Mandy uses her background and experience working for well-known insurance companies like State Farm and Nationwide Insurance to create engaging and easy-to-understand content that helps readers make smarter insurance choices that have a positive effect on their budgets and finances.

Lequita Westbrooks
Edited byLequita WestbrooksSenior Editor
Lequita Westbrooks
Lequita WestbrooksSenior Editor

Lequita Westbrooks is an insurance editor at Compare.com. Her writing and editing experiences span several industries, including insurance, personal finance, higher education, and more. She excels at explaining complex topics like auto insurance in simple, easy-to-understand language and is passionate about helping readers save money. Lequita graduated from the University of South Florida, where she earned her Bachelor’s degree in English.

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