MoneySaverCodes

Car Insurance in New Jersey: 2026 Rates & Guide

New Jersey is a mid-range state for car insurance. The average driver pays $172/month ($2064/year). Here's how to find the best rate for your situation.

$172

Avg Monthly

$2064

Avg Annual

#7

Cost Rank (1=priciest)

$132

Cheapest Option/mo

Advertisement

Cheapest Car Insurance Companies in New Jersey (2026)

Rates below are estimates for a 35-year-old driver with a clean record, good credit, and a 2020 Honda Civic.

Top insurers in New Jersey — sorted by average monthly rate

#CompanyEst. MonthlyRating
1
★ BestGEICO
$132/mo4.3Get Quote
2
State Farm
$142/mo4.5Get Quote
3
NJM Insurance
$124/mo4.8
4
Progressive
$156/mo4.1Get Quote
5
Travelers
$148/mo4.2Get Quote

Rates are estimates for a 35-year-old with good credit and a clean record. Your rate will vary.

Contains affiliate links — we may earn a commission at no cost to you.

Ready to get a quote?

Rates above are estimates — your actual quote may be lower. Takes 2 minutes.

GEICOState FarmSee discount codes →

New Jersey Car Insurance Requirements

Minimum Coverage: 15/30/5

New Jersey is a no-fault state. You must carry Personal Injury Protection (PIP) in addition to liability coverage.

New Jersey Insurance Facts

New Jersey is a no-fault state requiring PIP coverage. Drivers choose between "limited right to sue" (cheaper) and "unlimited right to sue" policies.
NJM Insurance is a top-rated NJ-specific insurer often unavailable elsewhere — consistently wins customer satisfaction awards.
The state's high population density, congestion on the Turnpike and Garden State Parkway, and high repair costs make it one of the priciest states nationwide.

Advertisement

How to Get Cheaper Car Insurance in New Jersey

1

Compare at least 3–5 quotes

Rates vary by 40–60% between companies for the same driver profile.

2

Raise your deductible

Going from $500 to $1,000 deductible typically saves 10–15% on comprehensive/collision.

3

Bundle home + auto

Multi-policy discounts average 15–25% across major insurers.

4

Try usage-based insurance

Telematics programs like Progressive Snapshot can save up to 30% for safe drivers.

5

Ask about all discounts

Good student, military, professional association, and low-mileage discounts are often unclaimed.

6

Improve your credit score

In most states, a good credit score can lower premiums by 20–50%.

Car Insurance in New Jersey — FAQs

What is the average cost of car insurance in New Jersey?
The average car insurance cost in New Jersey is $172 per month ($2064 per year) for a driver with a clean record and good credit. Your actual rate will vary based on your age, vehicle, and driving history.
What is the minimum car insurance required in New Jersey?
New Jersey requires minimum liability coverage of 15/30/5 (bodily injury per person / bodily injury per accident / property damage). New Jersey is a no-fault state, which means additional PIP coverage is also required.
Which company has the cheapest car insurance in New Jersey?
Based on our research, GEICO offers the lowest average rate in New Jersey at around $132/month. However, the cheapest insurer for you will depend on your specific profile — we always recommend getting at least 3 quotes.
Is New Jersey a no-fault car insurance state?
Yes, New Jersey is a no-fault state. This means your own insurance covers your medical bills after an accident regardless of who was at fault. Personal Injury Protection (PIP) coverage is required.
How can I lower my car insurance in New Jersey?
The most effective ways to lower your car insurance in New Jersey include: (1) comparing quotes from at least 3 insurers, (2) raising your deductible, (3) bundling with home or renters insurance, (4) asking about usage-based/telematics discounts, and (5) improving your credit score where allowed.

Advertisement

Explore Other States

Alabama$130Alaska$88Arizona$138Arkansas$126California$156Colorado$144Connecticut$162Delaware$178