Car insurance is a major purchase, but finding cheap car insurance in New Jersey isn't always easy. If you lease or finance your car, you may be required to have types of coverage that are not required under New Jersey law. If DUIs, bad credit, or other factors prevent you from getting car insurance in the voluntary market, you can apply for coverage through the New Jersey Auto Insurance Plan. The cheapest car insurance companies in New Jersey are Geico, Amica, and NJM, and getting quotes from several companies can help you find the best deal.
By the time they reach their 30s, most drivers will enjoy cheaper car insurance rates than they did in their teens and 20s. However, car insurance rates are calculated based on a number of different personal factors, meaning that they vary for each driver. The table below illustrates how the average cost of auto insurance with full coverage and liability only may vary in some of New Jersey's most populated cities. The answer to the question “how much does car insurance cost in New Jersey” depends on the type of insurance you select, among other factors, such as your credit score and driving history.
Younger drivers have less experience behind the wheel, so their car insurance rates tend to exceed the rates of older drivers. Every car insurance company in New Jersey has its own rating system, meaning that the premiums offered for the same coverage are often different. New Jersey is also a “no pay, no play” state, meaning that uninsured motorists must pay a certain amount out of pocket before they can sue the at-fault driver for damages. Geico, State Farm, Nationwide and The General are good places to shop if you need car insurance for people without drivers.
For example, full-coverage car insurance in Paterson, which has a population of nearly 158,000, costs 39% more than in Trenton, where about 90,400 New Jersey residents live. This covers any damage caused by uninsured or underinsured drivers to pay for repairs or medical expenses in full. Having an accident or traffic violation on your record increases your level of risk in the eyes of New Jersey insurance providers, which can increase your premiums. The best auto insurance company may not have the cheapest rates, but it may excel in another area important to you.
