Are you a driver searching for the best car insurance in New Jersey? If affirmative, then you might want to spare a minute to read through this blog post. Some of the best insurance companies in New Jersey offer the best-tailored auto insurance policy to suit your needs.
According to state law, all drivers are required to own at least a minimum amount of liability insurance; this means that you can’t hit the road if your vehicle doesn’t have coverage. Failure to do so leads to penalties such as suspension of the driver’s license and a fine.
Furthermore, getting car insurance is a great idea because it covers the cost of repairs if your car is damaged in an accident and also pays for the book value if your car is totaled. But how can you find the best insurance company that suits your needs since every driver has different needs?
That is the main focus of this blog post. I will provide the full details of some of the best insurance companies in New Jersey, their annual average rate, and how to find the best insurance company. Also, there is a tip on how to pay less for your insurance. Read through this blog post to find out more about it.
Best Car Insurance in New Jersey
Some of the best auto insurance companies in New Jersey are ranked by their financial stability, affordability, and customer satisfaction. There are several insurance companies, and you can find the one that suits your needs based on the type of auto insurance policy they provide and their add-ons. Nonetheless, here are some well-known insurers in New Jersey:
• New Jersey Manufacturers
New Jersey manufacturers offer rideshare insurance, which is an optional addition that rideshare drivers can get to protect themselves while using rideshare apps. Their full-coverage car insurance costs $1,362 per year, and they are ranked first for customer satisfaction.
The rideshare coverage protects the drivers from gaps in the transportation network company’s commercial insurance coverage in certain situations. This insurance company provides gap insurance as optional coverage.
If you have a loan or a lease, you can add this coverage because it covers the difference between the actual value of your vehicle and the balance on the loan in case your car gets totaled. New Jersey manufacturers provide standard add-on coverages, such as a rental car, to cover the travel expenses incurred if your vehicle is inoperable.
• GEICO
GEICO’s full insurance coverage policy costs about $1,935 annually, which makes it rank first for its affordability. It also has ties for its stability, and it is ranked second in New Jersey for user satisfaction for claims. GEICO provides mechanical breakdown insurance.
If your new car is less than 15 months old and has fewer miles, you will be able to qualify for GEICO’s additional mechanical breakdown. The mechanical breakdown insurance coverage is less expensive and better than the average dealer’s extended warranty.
It includes all the system and parts, not just a certain list of items that are covered by several dealer warranties. This insurance company also offers accident forgiveness coverage, which helps prevent an increase in your auto insurance premiums after your first at-fault accident.
GEICO also provides common additional coverage such as tire changes, roadside assistance, jump starts, and other expenses when your car breaks down. GEICO also provides its drivers with rental reimbursement coverage, which allows them to be reimbursed for their travel expenses if their car breaks down.
• Progressive
Progressive’s full insurance coverage costs about $1,505 per year. It is also tied for second place for claims and stability. It also comes in fourth place out of six companies in affordability, and it provides custom parts coverage and rideshare insurance.
This insurance company’s “custom parts additional insurance” pays for the cost of repair or replacement of items that are added to your car with a limit of $5,000. It also includes aftermarket accessories that were not added by the manufacturer, such as the engine, stereo, paint job, turbochargers, unique lights, navigation system, and so on.
Progressive also provides rideshare insurance and additional coverage that helps to fill the gaps in your rideshare company’s policy and covers you when you are logged into the mobile application. If you are involved in an accident while you are waiting for your ride request, the insurance policy coverage can protect you if you are liable for damages or injuries. It also pays to replace your damaged cars.
• Travelers
Travelers rank it first in terms of financial stability and claims, and it is also tied for fourth in terms of satisfaction. Its auto insurance costs $1,824 per year for full coverage, and it provides gap insurance. It also provides gap insurance to policyholders in New Jersey to help them protect the vehicle if it is leased or totaled.
The loan insurance also pays the difference between the actual cash value of the insured vehicle and the unpaid balance of the lease.
• Allstate
Allstate’s annual car insurance rate costs $1,490. It ranks third in affordability, stability, and claims. The insurance company comes in fourth for customer satisfaction, and it provides custom parts coverage along with portable electronics and media coverage.
When the mobile app is turned on, this insurance company provides optional add-on coverage to its policyholders. There is also a sound system for add-on coverage; however, this is not commonly used by auto insurers. It only replaces damaged or stolen system components, video equipment, and others.
How Much Does Car Insurance Cost in New Jersey?
Car insurance for drivers in New Jersey costs about $1,734 per year, which is a little more than the national average.
It is very important to note that car insurance rates differ based on certain factors, such as ZIP code, demographics, driving history, and type of coverage. The table below shows the average cost of car insurance across several insurance companies.
| Company | Average Rate |
| Amica | $2,042 |
| Allstate | $2,061 |
| Geico | $1,130 |
| State Farm | $1,637 |
| Progressive | $1,738 |
| Farmers Insurance | $2,712 |
| Mercury | $1,347 |
| Palisades Group | $1,513 |
| Statewide Average | $1,734 |
| New Jersey Manufactures | $1,347 |
| Travelers | $1,738 |
The table above shows the cost of car insurance coverage by several insurance companies. You can decide which insurance company you want to get coverage from and visit their official website.
Cheapest Car Insurance in New Jersey
An insurance company like Geico offers cheaper car insurance for drivers in New Jersey, with an annual rate of $1,130. This is far less than what most insurance companies will offer, and it is also below the state average, which is $1,734.
How Much is The Minimum Coverage Car Insurance in New Jersey?
Drivers in New Jersey can save money by choosing the minimum car insurance coverage. The average annual rate for minimum coverage in the state is $1,578. People who want to get minimum car insurance coverage can choose Geico to get the policy. They offer one of the cheapest annual average rates, which is lower than the state average.
| Company | Low coverage |
| Amica | $1,902 |
| Allstate | $1,874 |
| Geico | $1,007 |
| New Jersey Manufacturers | $1,227 |
| Palisades Group | $1,366 |
| Travelers | $1,614 |
| Statewide Average | $1,578 |
| Mercury | $1,706 |
| Progressive | $1,160 |
The table above shows the minimum coverage offered by several insurance companies. You can decide which insurance company you want to get coverage from and visit their official website.
How to Find the Best Car Insurance in New Jersey
Drivers who fail to get coverage for their car will face a penalty, as the state requires every driver to have a minimum of liability insurance before they can drive, even if the car isn’t theirs.
In addition to obeying the laws of the state, having insurance could come in handy, as it could help cover the cost of repairs when the car is involved in an accident.
Furthermore, because every driver has different needs when it comes to car insurance, it is difficult to say that there is one best company for everyone.
Due to this, it would be beneficial to shop around and get a quote from several insurance companies. Here are the things that you should consider when shopping for auto insurance quotes in New Jersey that suit your needs:
Consider the Lenders Requirement
Drivers with loans and leases will have an extra auto insurance requirement to consider. Loan companies want financial protection for their assets until the loan amount is fully paid off in your name.
The loan company does this by demanding that you meet some insurance requirements that must be met to comply with your financing or leasing agreement. To meet the lender’s requirements, you must obtain full-coverage auto insurance that includes comprehensive and collision coverage.
Consider the Minimum Insurance Requirements in New Jersey
The car insurance laws in New Jersey are unique, and it is a no-fault state. There are two options for the required minimum coverage, which are the basic policy and the standard policy.
The basic policies include a required level of property damage for each accident and personal injury protection coverage, along with the option to get bodily injury liability coverage.
Consider Your Individual Needs
Car insurance is a personalized product, and each driver has their own needs. However, you might find it difficult to find a company that will offer what you are looking for. If you have a young driver in your home, you might want to search for companies that provide cheap car insurance rates for teenagers.
FAQs
Is Car Insurance Demanded in New Jersey?
Yes. For every driver in New Jersey, the state requires minimum liability insurance. Those without car insurance will face a penalty that includes suspension of their license and a fine.
When Should I Get Car Insurance in New Jersey?
Before you register your vehicle, you should get car insurance, as the state requires you to have a minimum amount of liability insurance before you can drive. Even if the vehicle you are driving doesn’t belong to you, the state still requires you to show proof of car insurance when the car is inspected if it is stopped by a law enforcement officer.
What is The Minimum Car Insurance Requirement in New Jersey?
Personal injury protection and liability insurance are important for every driver in New Jersey. The New Jersey state minimum is based on the type of insurance coverage you purchase.
How Can I Pay Less for Car Insurance?
There are several ways that you might want to save money on your auto insurance. Firstly, you can contact your agent to conduct a policy review to check if you are taking advantage of all the discount opportunities you are qualified for. To get a lower rate for your car insurance, you have to maintain a good driving record and have a strong credit score.