Dollar-a-Day Car Insurance in 2025 [Attn: Medicaid Recipients in NJ!]
Nationwide, State Farm and Allstate offer the best dollar-a-day car insurance. Nationwide, with rates as low as $33 a month, provides low-cost solutions to families working to make ends meet with a wide range of coverage options. Discover how to save by paying a dollar a day for your auto insurance.

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Jeff Root
Licensed Insurance Agent
Jeff is a well-known speaker and expert in insurance and financial planning. He has spoken at top insurance conferences around the U.S., including the InsuranceNewsNet Super Conference, the 8% Nation Insurance Wealth Conference, and the Digital Life Insurance Agent Mastermind. He has been featured and quoted in Nerdwallet, Bloomberg, Forbes, U.S. News & Money, USA Today, and other leading fina...
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UPDATED: Apr 10, 2025
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance company and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about car insurance. Our goal is to be an objective, third-party resource for everything car insurance related. We update our site regularly, and all content is reviewed by car insurance experts.
UPDATED: Apr 10, 2025
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance company and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
Company Facts
Full Coverage in Dollar-a-Day
A.M. Best Rating
Complaint Level
Pros & Cons
Company Facts
Full Coverage in Dollar-a-Day
A.M. Best Rating
Complaint Level
Pros & Cons
Nationwide, State Farm and Allstate offer the best dollar-a-day car insurance. Nationwide, with rates as low as $33 a month, provides low-cost solutions to families working to make ends meet with a wide range of coverage options.
Cheapest New Jersey Car Insurance Companies by Monthly Cost
Insurance Company | Rank | Monthly Rates |
---|---|---|
#1 | $97 | |
#2 | $140 | |
#3 | $152 | |
#4 | $157 | |
#5 | $168 | |
#6 | $171 | |
#7 | $182 | |
#8 | $193 | |
#9 | $196 | |
#10 | $200 |
Rising costs often leave many searching for better alternatives that provide necessary coverage without breaking the bank. We’ll guide you through the top car insurance providers and compare them to tailor your coverage to your needs.
Read More:
However, it’s important to note that these affordable policies may have limitations, such as minimal coverage and increased out-of-pocket costs in the event of an accident.
- #Step 1: Check Your Eligibility — Check if you are eligible
- #Step 2: Find an Authorized Insurance Provider — Look for a provider
- #Step 3: Finish Your Application — Pay to starting using the service
Explore affordable dollar-a-day insurance options available in your area by entering your zip code into our free comparison tool.
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Dollar-a-Day Car Insurance
Dollar-a-day car insurance is a very low-cost way to get basic auto coverage. It is also known as a dollar-a-day car insurance or dollar-a-day auto insurance. This plan is meant for drivers on a tight budget. It mainly helps pay for emergency care after an accident. It does not cover car repairs or damage to other vehicles.
If you want something more temporary, car insurance for a day is your best bet. One-day car insurance is for drivers who need to obtain coverage for several days at most. It is used for testing a vehicle or borrowing or renting a car for limited periods. You can try to shop around for cheap dollar-a-day car insurance or cheap 1-day car insurance to see if it is for you.
What Dollar-a-Day Car Insurance Covers
The healthcare coverage included in dollar-a-day insurance protects policyholders during medical catastrophes caused by car accidents with a minimal fee.
Batman takes on The Joker and The Riddler. Jake takes on home and auto. @JakeStateFarm
Art by @f_francavilla pic.twitter.com/ae1MSjydun
— State Farm (@StateFarm) March 17, 2025
Medical benefits spanning $250,000 help cover catastrophic injuries that affect the brain or spinal cord so victims can get the critical care they need. This policy, often called 1$ a day insurance or 1$ a day car insurance, also includes a $10,000 death payment benefit for beneficiaries after a fatal accident.
How to Apply for Dollar-a-Day Car Insurance
New Jersey residents interested in obtaining Dollar-a-Day Car Insurance need to complete the following process.
#Step 1: Check Your Eligibility
To be eligible for enrollment, you must receive hospitalization benefits under the Medicaid program. New Jersey applicants must have a valid driver’s license that matches their identity. You also need to own a registered vehicle in New Jersey.
Remember, you will have to pay a fine if you are driving without a license.
If you are wondering how much is a ticket if you are driving without a license? The answer is it depends with the state, but expect to pay up to $2500.
#Step 2: Find an Authorized Insurance Provider
Head to either of the New Jersey insurers approved for SAIP insurance. To locate a provider for a Personal Auto Insurance Plan, call the toll-free number at 1-800-652-2471. Online research will show you agencies that allow Dollar-a-Day insurance applications through their websites.
Learn More: Best Car Insurance in New Jersey
#Step 3: Finish Your Application
When submitting your application, you must present a Medicaid ID and a valid driver’s license. But what if you don’t have a license? You might wonder, can I get car insurance with no license? Some insurance companies may offer options, but it depends on their rules.
Customers must select between a single payment of the $365 annual premium or dividing the sum into two separate payments. Recipients will get their policy after successful approval, which provides basic medical benefits during an accident.
Dollar-a-Day Insurance New Jersey
Simply put, dollar-a-day insurance coverage is a government insurance plan that allows you to drive legally for only $365 a year.
While New Jersey offers the most affordable dollar-a-day car insurance with great benefits, which is officially called the Special Automobile Insurance Policy, or SAIP, similar plans are also available in other states.
SAIP insurance does not meet New Jersey's minimum auto insurance requirements as it offers no liability coverage.Michelle Robbins Licensed Insurance Agent
Still, it may vary depending on the state and local regulations and the insurance providers operating these. By entering your zip code, you can check if the best dollar-a-day providers are available directly in your area.
SAIP coverage is extremely limited, but it does provide proof of insurance so that you can drive legally. However, SAIP insurance does not meet New Jersey’s minimum auto insurance requirements as it offers no liability coverage to pay for injuries or damages to others.
SAIP coverage only covers emergency treatment for the policyholder immediately after an accident and additional medical treatment for critical brain and spinal cord injuries up to $250,000.
There is also a $10,000 death benefit paid out to the policyholder’s family should they die in a collision.
Special Automobile Insurance Insurance Policy
SAIP is meant for New Jersey drivers who are at risk of driving without coverage because of financial struggles. This low-cost option is sometimes called the NJ $1 a day car insurance or New Jersey dollar-a-day insurance.
To qualify for this policy, you must be currently enrolled in Federal Medicaid with hospitalization. Not all Medicaid plans are eligible. The best way to know if you qualify is to ask an insurance producer. They can check your eligibility using the number on your Medicaid ID card.
You can apply for the SAIP at most insurance agencies. If you’re unsure where to start, contact the Personal Automobile Insurance Plan (PAIP) at 1-800-652-2471. Since January 1, 2011, the National Continental Insurance Company has provided these policies.
The full cost of the policy is $365 per year. If you pay it all at once, it costs $360. If you prefer to split the payment into two, the total is $365.
This type of temporary car insurance in NJ offers limited but important coverage. It pays for emergency medical treatment right after a car accident. It also covers severe brain and spinal cord injuries, up to $250,000. If the accident results in death, the family receives a $10,000 death benefit.
SAIP won't pay for doctor visits already covered by Medicaid. It also does not include liability coverage or damage to your car.Brad Larson Licensed Insurance Agent
However, the SAIP does not cover everything. It won’t pay for doctor visits already covered by Medicaid. It also does not include liability coverage or damage to your own car. This policy won’t pay for those costs if you hit someone or damage your vehicle. If this is not for you check out our article for the cheapest car insurance companies and compare quotes.
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Exploring Affordable Insurance Options
If you’re looking for dollar-a-day insurance near NJ, the Special Automobile Insurance Policy offers an affordable solution for low-income individuals. Also known as dollar insurance, this government program is specifically designed to help those enrolled in Medicaid with hospitalization, providing essential coverage at a minimal cost.
For those outside New Jersey, government auto insurance for low-income individuals may be available through different state programs. These programs help people get affordable insurance so they can have the coverage they need. How much insurance you need for your car depends on state rules and your personal situation.
In New York, temporary car insurance in NY is available for short-term needs. Whether you need to insure a car for a day or for a brief period, one-day car insurance can provide the necessary coverage. This option is ideal for scenarios such as borrowing a vehicle, taking a test drive, or relocating a car.
You can find the best rates and policies to suit your temporary insurance needs by contacting local insurance agents or using online comparison tools.
Frequently Asked Questions
Who usually has the cheapest car insurance in the USA?
The cheapest car insurance providers in the US are often companies like Geico, State Farm, and Progressive (progressive car insurance review), which offer low-cost policies depending on factors like location and driving record.
What is the cheapest level of car insurance?
The cheapest level of car insurance is minimum liability coverage, which, as required by most states, only covers damages and medical costs for the other party in an accident.
What is the most popular car insurance in the US?
State Farm is the most popular car insurance provider in the US, offering a range of coverage options and discounts.
How much does 1-day car insurance cost?
So, how much is 1-day car insurance? One-day car insurance typically costs between $10 to $30, depending on factors such as your age, location, and the type of vehicle you need to insure.
How to apply for dollar-a-day car insurance?
To apply for dollar-a-day car insurance (SAIP) in New Jersey, you must be an uninsured driver enrolled in a Medicaid program that includes hospitalization. Contact your local insurance agent or visit the New Jersey Department of Banking and Insurance website for more details.
What does dollar-a-day insurance cover?
Dollar-a-day insurance (SAIP) covers emergency medical treatment immediately following an accident, as well as additional medical expenses related to critical brain and spinal cord injuries up to $250,000. It also provides a $10,000 death benefit in case of fatal collision.
What is dollar-a-day insurance?
Dollar-a-day insurance, officially known as the Special Automobile Insurance Policy (SAIP), is a government-sponsored car insurance program in New Jersey. It provides minimal coverage at a low cost, primarily for uninsured drivers who are enrolled in Medicaid with hospitalization.
Who has the cheapest car insurance in Texas?
The cost of car insurance can vary widely based on individual circumstances and the provider. To find the cheapest car insurance in Texas, consider using online comparison tools to compare quotes from different companies.
How much does one-day insurance cost?
So, how much is one-day car insurance? One-day insurance costs between $10 to $30, depending on various factors such as your location, age, and the type of vehicle you need to insure. Contact insurance providers directly for accurate pricing.
How do you apply for low-income auto insurance?
To apply for low-income auto insurance, check with your state’s insurance department or local insurers who offer such programs. Requirements and availability can vary, so it’s best to inquire directly with insurance providers.
How to get cheap temporary car insurance?
To get cheap temporary car insurance, compare quotes from multiple insurance providers. Consider factors like coverage options, deductibles, and discounts that may apply. Online comparison tools can simplify this process.
How do I lower car insurance in NJ?
To lower car insurance costs in New Jersey, increase your deductibles, maintain a good driving record, bundle policies, and explore discounts offered by insurers. It’s also important to understand the factors that affect the price of car insurance, such as your age, driving history, and the type of car you drive. Shopping around for quotes from different providers can also help find competitive rates.
How much is $1 dollar-a-day insurance in New Jersey?
$1 dollar-a-day insurance in New Jersey costs $365 a year. You can also choose to pay $360 upfront. This day-by-day car insurance is meant to help low-income drivers get basic medical coverage after an accident.
What does dollar-a-day car insurance cover?
Dollar-a-day car insurance covers emergency medical care right after an accident. It also pays for severe brain and spinal injuries, up to $250,000, and includes a $10,000 death benefit. You might also be wondering, what doesn’t dollar-a-day insurance cover? It doesn’t pay for car repairs, damage to other people’s property, or regular doctor visits.
What states have dollar-a-day insurance?
New Jersey is the only state that offers a “dollar-a-day” car insurance program, officially known as the Special Automobile Insurance Policy (SAIP). While no other states have an identical program, some, like California, offer similar initiatives to assist low-income drivers in obtaining affordable auto insurance.
Read More: Best Car Insurance in California
Can I get auto insurance in one day?
Yes, you can get auto insurance in one day. Many insurance companies offer same-day coverage, especially if you apply online or by phone. It’s a good option for quick coverage for a new or borrowed car.
How much is low-income car insurance in New Jersey?
Low-income car insurance in New Jersey, like the dollar-a-day policy, costs $365 a year or $360 if you pay all at once. It’s made for people on Medicaid who need basic coverage. This plan helps with emergency medical care after an accident.
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Jeff Root
Licensed Insurance Agent
Jeff is a well-known speaker and expert in insurance and financial planning. He has spoken at top insurance conferences around the U.S., including the InsuranceNewsNet Super Conference, the 8% Nation Insurance Wealth Conference, and the Digital Life Insurance Agent Mastermind. He has been featured and quoted in Nerdwallet, Bloomberg, Forbes, U.S. News & Money, USA Today, and other leading fina...
Licensed Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about car insurance. Our goal is to be an objective, third-party resource for everything car insurance related. We update our site regularly, and all content is reviewed by car insurance experts.