New Jersey Car Insurance Guide
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New Jersey
New Jersey Statistic Summary
Road Miles 39,065
Registered Vehicles 5,786,113
State Population 8,960,001
Percentage of
Uninsured Motorists
14.9
Driving Deaths Speeding: 120 Drunk Driving: 125
Average Premiums Annually
Liability: $869.57 Collision: $381.86 Comprehensive: $131.35
Cheapest Provider: Geico

When you think of New Jersey, an urban landscape dotted with highways and shopping malls may come to mind rather than flowers, fruits, or vegetables. So, its nickname, “The Garden State,” seems to defy its popular image.

Abraham Browning of Camden has been credited for coining the slogan, which reportedly came from a speech he gave to the Philadelphia Centennial exhibition on New Jersey Day (August 24, 1876). He described New Jersey as “an immense barrel, filled with good things to eat and open at both ends, with Pennsylvanians grabbing from one end and New Yorkers from the other.”

When the legislature approved the nickname in 1954, Governor Robert Meyner said he didn’t believe the average New Jerseyan regards the state “as more peculiarly identifiable with gardening for farming than any of its other industries or occupations.”

Be that as it may, this land of plenty continues to defy culture norms, with its “jughandle” intersections and its full-service gas stations, among other quirks.

We hope this guide to New Jersey car insurance will exceed your expectations. We’ll go through coverage options, rates, laws, company data, reviews, and even more information to help you make an informed decision.

So, let’s start this journey. Keep reading to learn all about car insurance coverage and rates.

And, if you’re ready to compare rates, enter your zip code to get started.

Table of Contents

New Jersey Insurance Coverage & Rates

With the many car insurance companies out there and the variety of information available, it can be hard to decide which coverage is best for you. On top of that, you may wonder — who has the best rates? And just how much coverage should you buy?

If you have those — and other questions — we have plenty of answers. Below, we’ll cover New Jersey’s minimum car insurance requirements, the average cost of premiums, and more interesting data to help you make the right choice.

Read on to find out more.

New Jersey’s Car Culture

New Jerseyans spend a lot of time on the road, and as with the state’s motto, “Liberty and Prosperity,” they have the freedom to drive wherever they want. Many of them drive more than an hour to New York or Pennsylvania for work (but we’ll cover that more in-depth later).

According to The Hartford, another aspect of Garden State driving is the full-service gas stations. Yes, that’s right, drivers there can’t pump their gas. But, after all their driving, it’s nice to handle one less chore.

New Jersey is known for its shopping malls and urban sprawl, which are also associated with driving and economic growth.

New Jersey Minimum Coverage

According to New Jersey law, drivers there must carry the minimum insurance coverage that is required by the state. Basic coverage costs are less than those for a standard plan, but the coverage is more limited.

Below are the coverage amounts required under the basic policy:

New Jersey Minimum Insurance Required (Basic Policy)Minimum Limits
Bodily Injury CoverageNone required, but optional starting at a minimum of $10,000 per person and $10,000 per accident
Property Damage Coverage$5,000
Personal Injury Protection (PIP)$15,000 per person, per accident
Up to $250,000 for brain and spinal cord injuries

Remember that the basic policy doesn’t require or include bodily injury liability coverage, but you can add $10,000 in bodily injury liability.

Without liability coverage, if you cause a car accident and injure other drivers or passengers, you’ll need to pay for losses the injured parties’ Personal Injury Protection (PIP) insurance doesn’t cover.

Otherwise, as part of a standard plan, New Jersey motorists must have minimum liability coverage of $15,000/person per accident and $30,000 for multiple injured people. For property damage, the minimum coverage requirement is $5,000 per accident.

You also must buy PIP coverage of $15,000 with limits of up to $250,000 for severe or permanent injuries.

New Jersey is a “no-fault” car insurance state. If you buy a standard policy, you must choose if you want a “limited right to sue” or an “unlimited right to sue.”

Under the limited right to sue, your Personal Injury Protection (PIP) coverage will pay for medical treatment and other out-of-pocket losses of anyone covered under the policy, up to the limits.

However, with a no-fault/PIP claim, you can’t claim non-monetary damages, such as pain and suffering, unless the injured party’s injuries led to the following:

  • loss of a body part
  • significant scarring or disfigurement
  • a displaced fracture
  • loss of a fetus
  • permanent injury or death

A limited right to sue is the only option with the basic policy.

With an unlimited right to sue, drivers have all options on the table; regardless of the extent of the injuries, they may sue the at-fault driver for full compensation.

Forms of Financial Responsibility

At an inspection, a checkpoint, traffic stop, or an accident in New Jersey, you must provide proof of insurance in paper or electronic form. You can show the digital version on any mobile device.

According to the New Jersey Motor Vehicle Commission, insurance cards must meet the following specifications:

  • The paper card must be three inches by five inches and five-and-a-half inches by eight-and-a-half inches.
  • The white cardstock must be at least 20-weight.

The front of the card should show the insurance company’s name, address, and code (or name and address of the issuer). It must also bear the insured’s name and address, the policy number, effective and expiration dates, vehicle description (make, model, and VIN), and the heading “State of New Jersey Insurance Identification Card.”

On the back should be the insurer’s address, established for the filing notification of the start of medical treatment.

Premiums as a Percentage of Income

In 2014, the average New Jerseyan’s annual disposable — after-tax — income was $49,983, while the cost of a yearly full-coverage premium was $1,379.20. That means that the average New Jersey driver spent almost 3 percent of their income on car insurance.

Of the bordering states, from 2012 to 2014, New York and Delaware residents’ average annual disposable incomes and cost of car insurance premiums were about the same. Pennsylvanians, however, paid less for their annual car insurance premiums, about $950.00, with a lower disposable income (around $42,000).

The average New Jersey driver also paid roughly $400.00 more for their annual car insurance premiums than the average American during those three years.

How much do you spend on car insurance? Try our free calculator below:

CalculatorPro

New Jersey Core Coverage

Below are the costs of annual insurance premiums in New Jersey, with data from the National Association of Insurance Commissioners.

Coverage TypeAnnual Costs in 2015Compared to National Average in 20152015 Rank in US
Liability$869.57$538.731st
Collision$381.86$322.618th
Comprehensive$131.35$148.0437th
Combined$1,382.79$1,009.382nd

As shown, the average national cost of a full-coverage premium is $1,009.38. New Jerseyans pay over $370 more than the national average. This isn’t too surprising, as The Garden State ranks second place nationwide for the highest full-coverage premiums.

Not to be outdone, New Jersey ranked first place for the highest average yearly cost of liability coverage, which was more than $300.00 that of the national average.

You must buy liability coverage because if you’re responsible for an accident and need to pay damages, there’s a greater risk it will cost the insurer a lot of money. Therefore, this insurance has a high price.

Collision and comprehensive coverage aren’t mandatory, and, as you can see, they cost about the same as the national average. Collision insurance will pay for damage if you crash into something, and comprehensive will cover “acts of God or nature,” such as fire, vandalism, or theft.

Though not necessary, it’s advisable to buy more liability and personal injury protection coverage than required to protect you from potentially costly severe injuries and damage. Though you don’t need to buy them, they provide more peace of mind in case something goes wrong.

Additional Liability

Let’s look at more coverage options beyond core car insurance premiums.

Loss Ratio201520142013
Personal Injury Protection75.78%70.93%72.98%
Medical Payments80.04%58.30%66.79%
Uninsured/Underinsured Motorist56.23%57.29%68.54%

A loss ratio compares how much a company spends on claims to how much money they earn on premiums. A loss ratio of 60 percent shows the company spent $60 on claims out of every $100 it made on premiums.

If the ratio is closer to 100, it paid more money in claims and took a loss; if it’s less than 100, the company spent money, but it also made money on the premiums.

As the table above shows, insurance companies in New Jersey manage their loss ratios for PIP, MedPay, and uninsured/underinsured motorist coverage well.

The State of New Jersey requires drivers to buy PIP to cover medical expenses, lost wages, and rehabilitation.

Another optional coverage is MedPay or medical payments coverage. It pays medical and burial expenses for yourself and any passengers in an accident, whether you are a pedestrian or in another motor vehicle.

If you buy PIP coverage, it makes sense to buy more than the amount required, because if you exceed your coverage limits, you may end up paying the costs yourself.

Another option is uninsured/underinsured motorist coverage, which will cover personal injuries and property damage if you’re in an accident with an uninsured driver.

New Jersey ranks 14th nationwide for the number of uninsured motorists. According to the Insurance Information Institute, 14.9 percent of Garden State drivers don’t have insurance.

Add-Ons, Endorsements, Riders

These are some more coverage options you can add to a basic car insurance policy:

In the section below, we partnered with Quadrant Data to cover the biggest factors that go into setting car insurance rates in New Jersey.

Male Vs. Female Rates in New Jersey

Let’s see how age and gender affect New Jersey car insurance rates.

CompanyMarried 35-year old femaleMarried 35-year old maleMarried 60-year old femaleMarried 60-year old maleSingle 25-year old femaleSingle 25-year old maleSingle 17-year old femaleSingle 17-year old male
Allstate NJ P&C$3,436.75$3,420.45$3,335.46$3,335.46$4,043.02$4,156.11$10,796.36$13,185.02
Foremost Ins Grand Rapids$4,830.46$4,873.04$4,699.01$4,594.07$5,737.03$5,845.35$14,124.39$16,232.62
Geico Govt Employees$2,243.42$2,201.66$2,188.45$2,188.45$2,576.09$2,513.20$4,064.28$4,063.96
Liberty Mutual Fire$4,480.25$4,480.25$4,919.44$4,919.44$4,919.44$5,646.81$11,601.57$13,165.70
Prog Garden State Ins Co$2,040.52$1,885.91$1,841.28$1,894.85$2,412.68$2,305.40$9,241.04$10,160.06
State Farm Ind$4,392.28$4,392.28$3,976.24$3,976.24$5,007.86$5,593.47$14,395.61$18,483.25
St Paul Protective Ins Co$3,221.64$3,123.67$2,982.74$3,008.62$3,130.99$3,100.17$7,272.20$8,195.88

Unless you’re young, your gender doesn’t have as much of an impact on car insurance prices as does your age. Younger, more inexperienced drivers — including males — tend to be charged higher premiums than older drivers.

Rates in New Jersey’s Ten Largest Cities

Where you live also affects your car insurance rates, as you’ll see below.

Ten Most Expensive Cities Ten Least Expensive Cities 
CityZip CodeAverage RateCityZip CodeAverage Rates
Newark07002$8,512.59Pottersville07979$4,660.24
East Orange07012$8,384.68Netcong07857$4,649.92
Passaic07055$8,293.85Glasser07837$4,641.98
Elizabeth07201$8,277.10Riverdale07457$4,630.07
Paterson07022$8,254.80Budd Lake07828$4,624.77
Camden08102$8,099.72Whippany07999$4,616.88
Perth Amboy08861$7,587.46Mount Tabor07878$4,613.63
Jersey City07052$7,404.26Morristown07961$4,613.10
Clifton07011$7,329.51Mountain Lake07046$4,600.77
Trenton07102$6,821.72Brookside07926$4,592.17

Premiums for drivers in big cities can cost thousands of dollars more than in the suburbs. For instance, the price difference between the top city, Newark, and the least expensive city, Brookside, is $4,000.00.

Cheapest Rates by Zip Code

Now, let’s look at the rates in cities by zip code.

ZipcodeHighest RateZipcodeLowest Rate
07102$8,512.5907926$4,592.17
07103$8,512.5907046$4,600.77
07104$8,512.5907961$4,613.10
07105$8,512.5907834$4,613.63
07106$8,512.5907878$4,613.63
07107$8,512.5907960$4,614.46
07108$8,512.5907927$4,616.88
07111$8,512.5907950$4,616.88
07112$8,512.5907981$4,616.88
07114$8,512.5907999$4,616.88
07017$8,384.6807869$4,618.98
07018$8,384.6807828$4,624.77
07050$8,384.6807457$4,630.07
07055$8,293.8507837$4,641.98
07201$8,277.1007850$4,649.92
07202$8,277.1007857$4,649.92
07206$8,277.1007979$4,660.24
07208$8,277.1007005$4,660.30
07501$8,254.8007405$4,664.98
07502$8,254.8007843$4,667.85
07503$8,254.8007874$4,667.85
07504$8,254.8007831$4,678.80
07505$8,254.8008801$4,678.80
07513$8,254.8008802$4,678.80
07514$8,254.8008803$4,678.80
07522$8,254.8008809$4,678.80
07524$8,254.8008826$4,678.80
07022$8,198.8508827$4,678.80
07047$8,198.8508829$4,678.80
08102$8,099.7208848$4,678.80
08103$8,099.7207940$4,679.85
08104$8,099.7207853$4,680.63
08105$8,099.7207870$4,680.63
07510$7,990.8707930$4,680.63
07087$7,929.7108551$4,680.84
07093$7,929.7108556$4,680.84
08861$7,587.4608557$4,680.84
08401$7,564.7008559$4,680.84
07036$7,501.1608825$4,680.84
07203$7,501.1608867$4,680.84
07029$7,467.8907920$4,693.52
07032$7,467.8907970$4,694.78
07304$7,404.2607034$4,697.07
07306$7,404.2607054$4,697.07
07307$7,404.2608730$4,698.32
07010$7,392.4608736$4,698.32
07650$7,392.4608750$4,698.32
07657$7,392.4607830$4,699.19
07083$7,391.9407976$4,701.32
07088$7,391.9407823$4,705.11
07205$7,391.9407882$4,705.11
07305$7,371.1508804$4,705.11
07020$7,334.1808865$4,705.11
07011$7,329.5108886$4,705.11
07012$7,329.5107845$4,705.78
07013$7,329.5107825$4,705.83
07407$7,329.5107832$4,705.83
07026$7,328.7207719$4,709.06
07024$7,322.1607836$4,712.64
07109$7,314.1907876$4,712.64
07030$7,281.2907924$4,722.41
07086$7,281.2907842$4,723.59
07302$7,281.2907880$4,724.16
07310$7,281.2908502$4,725.05
07311$7,281.2907829$4,725.50
07065$7,179.0407863$4,725.50
07014$7,131.7407865$4,725.50
07644$7,122.1407851$4,726.23
07008$7,110.5908868$4,727.91
07057$7,098.1707933$4,727.99
07204$7,044.7507935$4,727.99
07601$6,933.1107946$4,727.99
07040$6,903.2007980$4,727.99
07079$6,883.7907821$4,731.93
07002$6,864.8607822$4,731.93
08608$6,821.7207838$4,731.93
08609$6,821.7207839$4,731.93
08611$6,821.7207840$4,731.93
08618$6,821.7207848$4,731.93
08629$6,821.7207860$4,731.93
07508$6,776.1507852$4,737.78
07003$6,771.4907849$4,738.06
07631$6,770.1807856$4,738.06
07060$6,765.1207885$4,738.06
07062$6,765.1208888$4,741.28
07063$6,765.1208889$4,741.28
07052$6,662.6407762$4,742.56
07506$6,642.1307945$4,743.41
07643$6,600.9408530$4,743.62
07660$6,600.9408822$4,743.62
07606$6,585.2808833$4,743.62
07074$6,557.5008887$4,743.62
08638$6,549.4208808$4,745.36
07094$6,493.6508735$4,745.92
07072$6,437.1008738$4,745.92
07605$6,433.4208742$4,745.92
07424$6,433.3607881$4,754.62
07512$6,433.3607803$4,754.65
07031$6,402.4007435$4,756.01
07632$6,388.0607928$4,756.22
07604$6,365.3107931$4,760.93
07073$6,289.3707934$4,760.93
07075$6,289.3708005$4,762.38
07410$6,288.5608006$4,762.38
07663$6,284.7708008$4,762.38
07070$6,264.6608050$4,762.38
07603$6,256.2808087$4,762.38
07110$6,231.6208092$4,762.38
07607$6,175.3308241$4,762.38
07662$6,175.3307871$4,767.18
07001$6,159.6008515$4,767.26
07064$6,159.6008720$4,768.08
07077$6,159.6007717$4,768.82
07095$6,159.6007403$4,769.07
08830$6,159.6008844$4,772.12
07071$6,139.1208853$4,772.12
07608$6,103.6008858$4,774.83
08832$6,097.6308885$4,774.83
08109$6,097.1807701$4,777.97
08110$6,097.1807718$4,777.97
08081$6,087.5407724$4,777.97
07067$6,084.0007737$4,777.97
07621$6,079.0207738$4,777.97
07666$6,052.4407748$4,777.97
08021$6,050.3807758$4,777.97
08863$6,031.2407764$4,777.97
07042$6,028.5807799$4,777.97
07043$6,028.5807702$4,778.96
07028$6,027.0707703$4,778.96
08004$6,017.7707704$4,778.96
08009$6,017.7707716$4,778.96
08899$5,896.5407739$4,778.96
08089$5,894.9607757$4,778.96
08018$5,894.7507879$4,783.69
08037$5,890.0107932$4,787.03
08091$5,887.3607438$4,788.15
08901$5,886.2908834$4,790.68
08610$5,875.3007877$4,791.46
08902$5,864.7907866$4,803.76
07646$5,857.5607826$4,804.03
08346$5,839.5608501$4,808.45
08201$5,833.8608562$4,808.45
08231$5,833.8608691$4,808.45
08232$5,833.8607806$4,811.73
07069$5,810.8108202$4,812.50
07033$5,809.0308204$4,812.50
08094$5,784.5108212$4,812.50
08312$5,784.5108230$4,812.50
08322$5,784.0308242$4,812.50
08328$5,784.0308243$4,812.50
08310$5,781.0508247$4,812.50
08225$5,780.7508260$4,812.50
08402$5,780.7508550$4,820.17
08406$5,780.7507480$4,820.22
08403$5,778.4307921$4,820.34
07041$5,760.7007460$4,823.62
07078$5,760.7008505$4,824.13
08701$5,759.5507847$4,825.92
08619$5,744.2007420$4,828.60
08203$5,713.8308876$4,829.20
08205$5,713.8308504$4,831.34
07470$5,713.1808869$4,831.53
08012$5,711.1308731$4,834.22
08215$5,708.3908734$4,834.22
08330$5,708.3908758$4,834.22
08823$5,707.8308558$4,835.03
08873$5,707.8307750$4,838.12
08904$5,707.8307938$4,838.59
07080$5,705.4507939$4,838.59
07021$5,701.8207732$4,839.11
08344$5,696.4307760$4,839.11
07044$5,688.6807846$4,839.52
07009$5,684.7907440$4,842.08
08046$5,679.0207444$4,842.08
07670$5,659.4507855$4,845.21
08859$5,653.4608210$4,847.76
08350$5,638.5108250$4,847.76
07627$5,636.6308251$4,847.76
07068$5,636.3707730$4,852.68
08872$5,622.8007755$4,859.81
07620$5,607.8808560$4,863.17
08854$5,603.5907456$4,863.51
08026$5,599.9107465$4,863.51
08043$5,599.9108821$4,864.95
08879$5,596.3607801$4,865.28
07624$5,589.4808807$4,867.41
07626$5,589.4808835$4,867.41
07648$5,589.4808836$4,867.41
07652$5,583.0308561$4,875.52
08220$5,582.7807977$4,878.84
08234$5,582.7807059$4,895.47
08244$5,582.7808540$4,895.67
07661$5,580.6008542$4,895.67
08221$5,580.4708544$4,895.67
08326$5,579.9908246$4,900.88
08341$5,579.9907922$4,901.86
07023$5,578.4407495$4,902.14
07076$5,578.4408739$4,902.99
08095$5,578.3207733$4,904.31
08078$5,575.2507901$4,907.81
08817$5,565.3907974$4,907.81
08837$5,565.3907722$4,911.44
07039$5,555.8708553$4,914.59
08317$5,550.8307446$4,919.82
08319$5,550.8307458$4,919.82
08340$5,550.8307645$4,919.82
08850$5,543.9007656$4,919.82
08857$5,524.4208022$4,919.90
07649$5,512.1208525$4,926.08
08360$5,510.8907442$4,933.50
08029$5,507.8608751$4,935.54
08045$5,507.4908752$4,935.54
08049$5,507.4908048$4,936.57
08213$5,494.4108060$4,936.57
08820$5,487.1407430$4,937.05
08840$5,487.1407978$4,938.25
08342$5,484.3208641$4,942.43
08812$5,471.7107740$4,942.61
08882$5,463.8807045$4,946.80
08031$5,462.2807058$4,946.80
08890$5,460.2107417$4,948.91
08313$5,456.0107463$4,948.91
08348$5,456.0107677$4,948.91
08361$5,456.0107416$4,950.26
08816$5,453.1607419$4,950.26
08320$5,434.3707439$4,950.26
07628$5,431.1608223$4,952.87
08083$5,424.6808248$4,952.87
08084$5,424.6808057$4,960.56
08828$5,421.2207720$4,964.30
08527$5,413.6907756$4,964.30
07081$5,412.5407401$4,966.13
08302$5,400.0708534$4,973.15
08311$5,400.0708041$4,976.08
08314$5,400.0708732$4,981.26
08315$5,400.0708218$4,983.80
08316$5,400.0708219$4,983.80
08324$5,400.0707461$4,983.86
08327$5,400.0707827$4,983.86
08329$5,400.0708533$4,986.39
08332$5,400.0708214$4,988.12
08345$5,400.0708514$4,992.46
08349$5,400.0708511$4,994.07
08353$5,400.0708520$4,994.66
07640$5,390.0907753$4,996.94
07647$5,390.0908518$5,002.52
08093$5,384.9108554$5,002.52
07641$5,384.0108073$5,003.45
07066$5,383.9707734$5,003.81
08321$5,378.4308620$5,004.94
08028$5,370.5408014$5,007.54
08032$5,364.8808027$5,007.54
07731$5,360.9208085$5,007.54
08003$5,359.3208064$5,008.02
08034$5,359.3207035$5,011.00
08884$5,358.3007082$5,011.00
08030$5,356.8608010$5,026.51
08059$5,356.8608016$5,026.51
08343$5,348.9008075$5,026.51
08347$5,348.9008077$5,026.51
08240$5,342.0708555$5,027.48
07630$5,340.0308020$5,029.18
07721$5,335.4008056$5,029.18
08007$5,328.9607421$5,032.19
07726$5,325.5008068$5,032.28
07728$5,303.2908640$5,032.28
08824$5,295.2408528$5,033.62
08852$5,295.2408088$5,038.34
07746$5,293.2407711$5,038.70
07751$5,293.2407712$5,038.70
08831$5,292.2707723$5,038.70
07747$5,288.9908067$5,039.68
08224$5,284.4708733$5,040.12
08080$5,282.4507436$5,040.16
08318$5,282.4508069$5,040.19
08846$5,276.9108070$5,040.19
07016$5,276.2808226$5,041.25
07027$5,276.2808805$5,048.18
08002$5,270.2308036$5,049.64
08648$5,261.3608690$5,050.88
08053$5,255.0808723$5,052.80
07090$5,243.2508753$5,052.80
08051$5,242.1508755$5,052.80
08090$5,241.6507765$5,054.89
08025$5,229.4108023$5,055.77
08107$5,229.1507423$5,055.98
08096$5,224.2707432$5,055.98
07004$5,222.2507642$5,055.98
08063$5,220.5107481$5,061.14
08066$5,220.5108536$5,065.25
08086$5,220.5107418$5,065.79
08098$5,220.5107422$5,065.79
08097$5,220.0107462$5,065.79
08510$5,214.1908011$5,067.34
08535$5,214.1908245$5,076.50
07710$5,211.2607735$5,078.52
08108$5,209.3208061$5,079.89
08039$5,208.2808015$5,086.01
07006$5,208.2307763$5,088.39
08038$5,198.1508042$5,089.15
08052$5,190.4508079$5,090.89
08071$5,186.6408033$5,092.25
07092$5,182.9808035$5,092.25
08054$5,172.4508323$5,092.59
07727$5,169.9208721$5,092.61
08628$5,169.6408722$5,092.61
07450$5,168.2108740$5,092.61
07675$5,168.2108741$5,092.61
07676$5,168.2108065$5,092.91
08526$5,160.8708759$5,105.89
08810$5,158.2108724$5,109.28
08880$5,152.4107428$5,112.90
07452$5,150.8708055$5,115.58
08019$5,146.1308270$5,117.67
08062$5,135.9308106$5,120.15
08512$5,128.7808757$5,125.05
07936$5,128.52

Again, areas with higher populations tend to see higher rates than those with fewer people.

Cheapest Rates by City

Here’s the same information by city name. How does your city rank?

CityAverage Grand Total
Newark$8,512.59
Irvington$8,512.59
East Orange$8,384.68
Orange$8,384.68
Passaic$8,293.86
Elizabeth$8,277.10
Elizabethport$8,277.10
Paterson$8,228.42
Fairview$8,198.85
North Bergen$8,198.85
Camden$8,099.72
Union City$7,929.71
West New York$7,929.71
Perth Amboy$7,587.46
Atlantic City$7,564.70
Linden$7,501.16
Roselle$7,501.16
Harrison$7,467.89
Kearny$7,467.89
Cliffside Park$7,392.46
Palisades Park$7,392.46
Ridgefield$7,392.46
Hillside$7,391.94
Union$7,391.94
Vauxhall$7,391.94
Jersey City$7,346.83
Edgewater$7,334.18
Elmwood Park$7,329.51
Garfield$7,328.72
Fort Lee$7,322.16
Belleville$7,314.19
Hoboken$7,281.29
Weehawken$7,281.29
Clifton$7,280.07
Rahway$7,179.04
Lodi$7,122.14
Carteret$7,110.59
Wallington$7,098.17
Roselle Park$7,044.75
Hackensack$6,933.11
Maplewood$6,903.20
South Orange$6,883.78
Bayonne$6,864.86
Haledon$6,776.15
Bloomfield$6,771.49
Englewood$6,770.18
Plainfield$6,765.13
West Orange$6,662.64
Hawthorne$6,642.13
Little Ferry$6,600.94
Ridgefield Park$6,600.94
South Hackensack$6,585.28
Moonachie$6,557.50
Secaucus$6,493.65
Carlstadt$6,437.10
Leonia$6,433.42
Little Falls$6,433.36
Totowa$6,433.36
North Arlington$6,402.40
Englewood Cliffs$6,388.07
Hasbrouck Heights$6,365.31
East Rutherford$6,289.37
Wood Ridge$6,289.37
Fair Lawn$6,288.56
Saddle Brook$6,284.77
Rutherford$6,264.66
Bogota$6,256.28
Nutley$6,231.62
Maywood$6,175.33
Rochelle Park$6,175.33
Avenel$6,159.60
Iselin$6,159.60
Port Reading$6,159.60
Sewaren$6,159.60
Woodbridge$6,159.60
Lyndhurst$6,139.12
Teterboro$6,103.60
Keasbey$6,097.63
Merchantville$6,097.19
Pennsauken$6,097.19
Sicklerville$6,087.54
Colonia$6,084.00
Bergenfield$6,079.02
Teaneck$6,052.44
Clementon$6,050.38
Fords$6,031.24
Montclair$6,028.58
Glen Ridge$6,027.07
Atco$6,017.77
Berlin$6,017.77
Trenton$5,942.60
Waterford Works$5,894.96
Cedar Brook$5,894.75
Hammonton$5,890.01
West Berlin$5,887.36
New Brunswick$5,886.29
North Brunswick$5,864.79
New Milford$5,857.56
Newtonville$5,839.56
Oceanville$5,833.86
Pleasantville$5,833.86
Watchung$5,810.81
Kenilworth$5,809.03
Clayton$5,784.51
Williamstown$5,784.51
Franklinville$5,784.03
Malaga$5,784.03
Buena$5,781.05
Margate City$5,780.75
Northfield$5,780.75
Ventnor City$5,780.75
Longport$5,778.43
Absecon$5,773.85
Millburn$5,760.70
Short Hills$5,760.70
Lakewood$5,759.55
Brigantine$5,713.84
Wayne$5,713.18
Blackwood$5,711.13
Egg Harbor City$5,708.39
Mays Landing$5,708.39
Franklin Park$5,707.83
Highland Park$5,707.83
Somerset$5,707.83
South Plainfield$5,705.45
Essex Fells$5,701.82
Newfield$5,696.43
Verona$5,688.68
Cedar Grove$5,684.79
Willingboro$5,679.02
Tenafly$5,659.45
Parlin$5,653.47
Richland$5,638.51
Demarest$5,636.63
Roseland$5,636.37
Edison$5,628.62
Sayreville$5,622.80
Alpine$5,607.88
Piscataway$5,603.59
Gibbsboro$5,599.91
Voorhees$5,599.91
South Amboy$5,596.36
Closter$5,589.48
Cresskill$5,589.48
Norwood$5,589.48
Paramus$5,583.03
Egg Harbor Township$5,582.78
Leeds Point$5,582.78
Somers Point$5,582.78
River Edge$5,580.60
Linwood$5,580.47
Landisville$5,579.99
Minotola$5,579.99
Fanwood$5,578.44
Scotch Plains$5,578.44
Winslow$5,578.32
Runnemede$5,575.25
Livingston$5,555.87
Dorothy$5,550.83
Estell Manor$5,550.83
Milmay$5,550.83
Milltown$5,543.90
Old Bridge$5,524.42
Oradell$5,512.12
Glendora$5,507.86
Lawnside$5,507.49
Magnolia$5,507.49
Cologne$5,494.41
Metuchen$5,487.14
Mizpah$5,484.33
Vineland$5,483.45
Dunellen$5,471.71
South River$5,463.88
Bellmawr$5,462.28
Zarephath$5,460.21
Deerfield Street$5,456.01
Port Elizabeth$5,456.01
East Brunswick$5,453.16
Fairton$5,434.37
Dumont$5,431.16
Somerdale$5,424.68
Stratford$5,424.68
Helmetta$5,421.22
Jackson$5,413.69
Springfield$5,412.54
Bridgeton$5,400.07
Cedarville$5,400.07
Delmont$5,400.07
Dividing Creek$5,400.07
Dorchester$5,400.07
Heislerville$5,400.07
Leesburg$5,400.07
Mauricetown$5,400.07
Millville$5,400.07
Newport$5,400.07
Port Norris$5,400.07
Shiloh$5,400.07
Harrington Park$5,390.09
Northvale$5,390.09
Westville$5,384.91
Haworth$5,384.01
Clark$5,383.97
Fortescue$5,378.43
Glassboro$5,370.54
Grenloch$5,364.88
Howell$5,360.92
Spotswood$5,358.30
Gloucester City$5,356.86
Mount Ephraim$5,356.86
Monroeville$5,348.90
Norma$5,348.90
Pomona$5,342.07
Emerson$5,340.03
Cliffwood$5,335.40
Cherry Hill$5,329.62
Barrington$5,328.96
Englishtown$5,325.50
Freehold$5,303.29
Kendall Park$5,295.24
Monmouth Junction$5,295.24
Marlboro$5,293.24
Morganville$5,293.24
Monroe Township$5,292.27
Matawan$5,288.99
New Gretna$5,284.47
Elmer$5,282.45
Sewell$5,282.45
Middlesex$5,276.91
Cranford$5,276.28
Garwood$5,276.28
Lawrence Township$5,261.36
Marlton$5,255.07
Westfield$5,243.25
Mantua$5,242.15
Wenonah$5,241.65
Ewan$5,229.41
Oaklyn$5,229.15
Woodbury$5,224.27
Fairfield$5,222.25
National Park$5,220.51
Paulsboro$5,220.51
Thorofare$5,220.51
Woodstown$5,220.51
Woodbury Heights$5,220.01
Millstone Township$5,214.19
Adelphia$5,211.26
Collingswood$5,209.32
Harrisonville$5,208.28
Caldwell$5,208.23
Hancocks Bridge$5,198.15
Maple Shade$5,190.45
Pitman$5,186.64
Mountainside$5,182.98
Mount Laurel$5,172.45
Farmingdale$5,169.92
Ridgewood$5,168.21
Township Of Washington$5,168.21
Westwood$5,168.21
Imlaystown$5,160.87
Dayton$5,158.21
South Bound Brook$5,152.41
Glen Rock$5,150.87
Chatsworth$5,146.12
Mullica Hill$5,135.93
Cranbury$5,128.78
East Hanover$5,128.52
Audubon$5,120.15
Woodbine$5,117.67
Medford$5,115.58
Mc Afee$5,112.90
Manchester Township$5,105.89
Palmyra$5,092.91
Bayville$5,092.61
Beachwood$5,092.61
Ocean Gate$5,092.61
Pine Beach$5,092.61
Greenwich$5,092.59
Haddon Heights$5,092.25
Haddonfield$5,092.25
Salem$5,090.89
Juliustown$5,089.15
Tennent$5,088.39
Browns Mills$5,086.01
Brick$5,081.04
Mount Royal$5,079.89
Keyport$5,078.52
Toms River$5,076.88
South Dennis$5,076.50
Birmingham$5,067.34
Glenwood$5,065.79
Highland Lakes$5,065.79
Vernon$5,065.79
Plainsboro$5,065.25
Wyckoff$5,061.14
Hillsdale$5,055.98
Ho Ho Kus$5,055.98
Midland Park$5,055.98
Deepwater$5,055.77
Wickatunk$5,054.89
Hainesport$5,049.64
Bound Brook$5,048.18
Ocean City$5,041.25
Penns Grove$5,040.19
Pennsville$5,040.19
Oakland$5,040.16
Lakehurst$5,040.12
Pedricktown$5,039.68
Allenhurst$5,038.70
Asbury Park$5,038.70
Deal$5,038.70
Vincentown$5,038.34
Kingston$5,033.62
Fort Dix$5,032.28
Pemberton$5,032.28
Hewitt$5,032.19
Clarksboro$5,029.18
Mickleton$5,029.18
Roosevelt$5,027.48
Beverly$5,026.50
Burlington$5,026.50
Riverside$5,026.50
Riverton$5,026.50
Lincoln Park$5,011.00
Towaco$5,011.00
New Lisbon$5,008.02
Bridgeport$5,007.54
Gibbstown$5,007.54
Swedesboro$5,007.54
Keansburg$5,003.81
Rancocas$5,003.45
Florence$5,002.52
Roebling$5,002.52
Neptune$4,996.94
Hightstown$4,994.66
Cookstown$4,994.07
Cream Ridge$4,992.46
Dennisville$4,988.12
New Egypt$4,986.39
Montague$4,983.86
Sussex$4,983.86
Goshen$4,983.80
Green Creek$4,983.80
Island Heights$4,981.26
Jobstown$4,976.08
Pennington$4,973.15
Allendale$4,966.13
Bradley Beach$4,964.30
Ocean Grove$4,964.30
Moorestown$4,960.55
Marmora$4,952.87
Strathmere$4,952.87
Franklin$4,950.26
Hamburg$4,950.26
Ogdensburg$4,950.26
Franklin Lakes$4,948.91
Waldwick$4,948.91
Woodcliff Lake$4,948.91
Montville$4,946.80
Pine Brook$4,946.80
Long Branch$4,942.61
Pluckemin$4,938.25
Lumberton$4,936.57
Mount Holly$4,936.57
Seaside Heights$4,935.54
Seaside Park$4,935.54
Pompton Lakes$4,933.50
Hopewell$4,926.08
Columbus$4,919.90
Montvale$4,919.82
Park Ridge$4,919.82
Ramsey$4,919.82
Saddle River$4,919.82
Mahwah$4,919.60
Rocky Hill$4,914.59
Colts Neck$4,911.44
New Providence$4,907.81
Summit$4,907.81
Holmdel$4,904.31
Normandy Beach$4,902.99
Berkeley Heights$4,901.86
South Seaville$4,900.88
Princeton$4,895.67
Warren$4,895.47
Peapack$4,878.84
Windsor$4,875.52
Bridgewater$4,867.41
Manville$4,867.41
Martinsville$4,867.41
Dover$4,865.28
Flagtown$4,864.95
Ringwood$4,863.51
Wanaque$4,863.51
Titusville$4,863.17
Oakhurst$4,859.81
Hazlet$4,852.68
Cape May Court House$4,847.75
Tuckahoe$4,847.75
Villas$4,847.75
Middleville$4,845.21
Pequannock$4,842.08
Pompton Plains$4,842.08
Johnsonburg$4,839.52
Highlands$4,839.11
Rumson$4,839.11
Liberty Corner$4,838.59
Lyons$4,838.59
Monmouth Beach$4,838.12
Skillman$4,835.03
Forked River$4,834.22
Lanoka Harbor$4,834.22
Waretown$4,834.22
Raritan$4,831.53
Blawenburg$4,831.34
Somerville$4,829.20
Haskell$4,828.60
Kenvil$4,825.92
Bordentown$4,824.13
Stockholm$4,823.62
Bedminster$4,820.34
West Milford$4,820.22
Princeton Junction$4,820.17
Avalon$4,812.50
Cape May$4,812.50
Cape May Point$4,812.50
Ocean View$4,812.50
Rio Grande$4,812.50
Sea Isle City$4,812.50
Stone Harbor$4,812.50
Wildwood$4,812.50
Picatinny Arsenal$4,811.73
Allentown$4,808.44
Wrightstown$4,808.44
Branchville$4,804.03
Rockaway$4,803.76
Swartswood$4,791.46
Little York$4,790.69
Oak Ridge$4,788.15
Florham Park$4,787.03
Tranquility$4,783.69
Atlantic Highlands$4,778.96
Fair Haven$4,778.96
Fort Monmouth$4,778.96
Little Silver$4,778.96
Oceanport$4,778.96
Shrewsbury$4,778.96
Belford$4,777.97
Eatontown$4,777.97
Leonardo$4,777.97
Lincroft$4,777.97
Middletown$4,777.97
Port Monmouth$4,777.97
Red Bank$4,777.97
West Long Branch$4,777.97
Oldwick$4,774.83
Stanton$4,774.83
Hillsborough$4,772.12
Neshanic Station$4,772.12
Bloomingdale$4,769.07
Avon By The Sea$4,768.82
Allenwood$4,768.08
Chesterfield$4,767.26
Sparta$4,767.18
Barnegat$4,762.38
Barnegat Light$4,762.38
Beach Haven$4,762.38
Manahawkin$4,762.38
Port Republic$4,762.38
Tuckerton$4,762.38
West Creek$4,762.38
Far Hills$4,760.93
Gladstone$4,760.93
Chatham$4,756.22
Newfoundland$4,756.01
Mine Hill$4,754.65
Wallpack Center$4,754.62
Lavallette$4,745.92
Mantoloking$4,745.92
Point Pleasant Beach$4,745.92
Broadway$4,745.36
Flemington$4,743.62
Lambertville$4,743.62
Lebanon$4,743.62
Three Bridges$4,743.62
Mendham$4,743.41
Spring Lake$4,742.56
Whitehouse$4,741.28
Whitehouse Station$4,741.28
Lake Hopatcong$4,738.06
Mount Arlington$4,738.06
Wharton$4,738.06
Ledgewood$4,737.78
Andover$4,731.93
Augusta$4,731.93
Great Meadows$4,731.93
Greendell$4,731.93
Hackettstown$4,731.93
Lafayette$4,731.93
Newton$4,731.93
Gillette$4,727.99
Green Village$4,727.99
Millington$4,727.99
Stirling$4,727.99
Quakertown$4,727.91
Layton$4,726.23
Buttzville$4,725.50
Oxford$4,725.50
Port Murray$4,725.50
Belle Mead$4,725.05
Vienna$4,724.16
Hibernia$4,723.59
Bernardsville$4,722.41
Flanders$4,712.64
Succasunna$4,712.64
Belmar$4,709.06
Blairstown$4,705.84
Columbia$4,705.84
Ironia$4,705.78
Belvidere$4,705.11
Bloomsbury$4,705.11
Phillipsburg$4,705.11
Stewartsville$4,705.11
Washington$4,705.11
New Vernon$4,701.32
Califon$4,699.19
Brielle$4,698.32
Manasquan$4,698.32
Sea Girt$4,698.32
Lake Hiawatha$4,697.07
Parsippany$4,697.07
Mount Freedom$4,694.78
Basking Ridge$4,693.52
Frenchtown$4,680.84
Pittstown$4,680.84
Ringoes$4,680.84
Rosemont$4,680.84
Sergeantsville$4,680.84
Stockton$4,680.84
Chester$4,680.63
Long Valley$4,680.63
Schooleys Mountain$4,680.63
Madison$4,679.85
Annandale$4,678.80
Asbury$4,678.80
Baptistown$4,678.80
Changewater$4,678.80
Clinton$4,678.80
Glen Gardner$4,678.80
Hampton$4,678.80
High Bridge$4,678.80
Milford$4,678.80
Hopatcong$4,667.85
Stanhope$4,667.85
Butler$4,664.98
Boonton$4,660.30
Pottersville$4,660.24
Landing$4,649.92
Netcong$4,649.92
Glasser$4,641.98
Riverdale$4,630.08
Budd Lake$4,624.77
Randolph$4,618.98
Cedar Knolls$4,616.88
Morris Plains$4,616.88
Whippany$4,616.88
Morristown$4,613.78
Denville$4,613.63
Mount Tabor$4,613.63
Mountain Lakes$4,600.78
Brookside$4,592.17

Best New Jersey Car Insurance Companies

Researching the best car insurance rates can leave you scratching your head. Just what should you look for when you evaluate a company and its offerings?

Often, buyers tend to search by price, but that’s not always the wisest strategy, because they may end up with less coverage than they need.

It helps to see how well a company is doing financially and how well it serves its customers. Read on for company financial ratings, customer reviews, and complaint data.

The Largest Companies’ Financial Rating

A.M. Best ranks insurance companies based on their financial strength. Their scores are essentially a report card for the industry and show whether companies can meet their financial obligations.

Below are their rankings for the leading car insurance companies in the Garden State.

CompanyFinancial Rating
Allstate Insurance GroupA+
Farmers Insurance GroupA
GeicoA++
Liberty Mutual GroupA
New Jersey Manufacturers GroupA+
Palisades GroupA-
Progressive GroupA+
State Farm GroupA++
Travelers GroupA++
USAA GroupA++

Geico, State Farm, and Travelers are among the companies that received the highest rating of “A++.” Known for their solid track record, they look to continue their growth well into the future.

Companies with Best Ratings

J.D. Power measures customer satisfaction through its U.S. Auto Insurance Study. Let’s see how the top companies in the Mid-Atlantic Region rank.

JD Power 2019 Mid-Atlantic Region

Erie Insurance, a regional company, received the highest marks — five Power Circles, showing it’s “among the best.”

Companies with the Most Complaints in New Jersey

The New Jersey Division of Insurance publishes insurers’ complaint ratios yearly. Below are the complaint ratios for the top 10 companies in the Garden State.

A company with a complaint index lower than 1.0 has fewer complaints than average, and a company with a complaint index higher than 1.0 has more complaints than average.

Company NameValid ComplaintsNumber of VehiclesComplaint RatioComplaint Index
Allstate Group18547,5920.03290.871
Farmers Group4111,4580.03590.951
Geico Group361,180,4510.03050.808
Liberty Mutual Group24366,3890.06551.736
New Jersey Manufacturers Group1831,0260.00120.032
Palisades Group3211,9920.01420.375
Progressive Group23591,5200.03891.031
State Farm Group19484,0870.03921.04
Travelers Group3214,2200.0140.371
USAA Group24262,6420.09142.422

Allstate and Travelers are among the companies that had the fewest complaints. You may submit a complaint online at the New Jersey Division of Insurance website.

Cheapest Companies in New Jersey

Here’s how the top insurers’ prices rank compared to the state average.

CompanyAverage+/- Compared to State Average+/- Percent Compared to State Average
Allstate$5,713.58$198.37+3.47%
Foremost$7,617.00$2,101.79+27.59%
Geico$2,754.94-$2,760.28-100.19%
Liberty Mutual$6,766.61$1,251.40+18.49%
Progressive$3,972.72-$1,542.50-38.83%
State Farm$7,527.15$2,011.94+26.73%
St Paul$4,254.49-$1,260.72-29.63%

Geico and Progressive had rates far below the state average.

Commute Rates by Company

Does the distance you commute affect your insurance rates? Let’s see if there are any changes for 10- versus 25-mile commutes.

Company10 miles commute / 6,000 annual mileage25 miles commute / 12,000 annual mileage
Allstate$5,703.01$5,724.15
Farmers$7,617.00$7,617.00
Geico$2,732.21$2,777.67
Liberty Mutual$6,700.88$6,832.35
Progressive$3,972.72$3,972.72
State Farm$7,333.03$7,721.28
Travelers$4,254.49$4,254.49

As shown, some insurers like Allstate and State Farm factor commute distance into their premiums, but others don’t. Except for State Farm, those that raise their prices don’t do so by much for short distances.

Coverage Level Rates by Company

Insurers charge different rates for their levels of coverage, whether it’s high, medium, or low.

companylow coveragemedium coveragehigh coverage
Allstate$5,270.22$5,797.50$6,073.01
Farmers$6,861.13$7,577.22$8,412.64
Geico$2,462.30$2,808.31$2,994.20
Liberty Mutual$6,053.83$6,971.85$7,274.15
Progressive$3,603.50$4,034.39$4,280.26
State Farm$6,994.15$7,625.56$7,961.75
Travelers$3,892.44$4,254.55$4,616.48

With some companies, like Travelers, there’s as much as an $800-price difference between the highest and lowest coverage. If you can’t afford the highest coverage, a medium option may be more affordable for your needs.

Credit History Rates by Company

Your credit score can also affect your insurance rates. Generally, insurers see customers with poor scores as riskier to insure.

CompanyGood CreditFair CreditPoor Credit
Allstate$4,043.95$5,131.18$7,965.60
Farmers$6,688.96$7,090.77$9,071.27
Geico$1,729.80$2,386.66$4,148.35
Liberty Mutual$5,367.00$6,357.77$8,575.06
Progressive$3,586.45$3,883.17$4,448.52
State Farm$5,120.55$6,568.67$10,892.25
Travelers$2,856.24$4,186.30$5,720.93

Of the companies listed, State Farm has the highest cost difference (almost $6,000) between those with poor credit and good.

Driving Record Rates by Company

Your driving record also has a major influence on your car insurance rates. Let’s see how common driving penalties can affect them.

CompanyClean RecordOne Speeding TicketOne AccidentOne DUI
Allstate$4,287.07$5,214.06$7,126.18$6,227.00
Farmers$5,899.07$6,395.36$10,017.70$8,155.86
Geico$2,142.43$2,142.43$2,817.06$3,917.82
Liberty Mutual$6,498.24$6,498.24$7,437.18$6,632.81
Progressive$3,414.48$3,985.79$4,583.69$3,906.91
State Farm$4,089.25$6,597.21$7,446.84$11,975.32
Travelers$3,268.35$4,188.00$4,864.10$4,697.50

Some companies, like Liberty Mutual, don’t change their rates for one speeding ticket. With others, one speeding ticket can lead to an increase of about $1,000 or more.

Largest Car Insurance Companies in New Jersey

Let’s see how the top insurers compare with premiums written versus their market share and loss ratios.

CompanyDirect Premiums WrittenLoss RatioMarket Share
Geico$1,580,84470.02%20.58%
New Jersey Manufacturers Group$993,94566.25%12.94%
Progressive Group$856,48459.14%11.15%
Allstate Insurance Group$839,88353.02%10.93%
State Farm Group$629,48564.66%8.19%
Palisades Group$601,85261.30%7.83%
Liberty Mutual Group$544,32164.14%7.09%
USAA Group$294,67870.79%3.84%
Travelers Group$284,19159.53%3.70%
Farmers Insurance Group$233,31479.86%3.04%

Geico comes out ahead of the pack, with the greatest financial strength. Though the insurer writes an average of $1.5 million in premiums yearly, a strong loss ratio of 70-percent and a more-than-20-percent market share help make it profitable.

Number of Insurers by State

Domestic companies were formed in New Jersey, while “foreign” companies were founded out of state.

Property & Casualty InsuranceNumber
Domestic66
Foreign778
Total844

Of the 844 total companies in operation, most of them are based outside of The Garden State.

New Jersey Laws

Every driver must obey the law to protect themselves and others. If you find it hard to follow the rules, this responsibility can feel like a burden. But it doesn’t have to be.

Here we’ll cover the laws you need to know most, from insurance statutes to fraud. Best of all, we’ve removed all the legal jargon in between.

So, let’s get ready to dive into the details.

Car Insurance Laws

Who sets car insurance rates in New Jersey, and how do they do so? What are the laws regarding windshield coverage and high-risk insurance?

Coming up, we’ll answer all of these questions and more.

How New Jersey Car Insurance Rates are Determined

New Jersey’s Department of Banking and Insurance controls car insurers’ operations in the state. When setting rates, it follows the National Association of Insurance Commissioners‘ guidelines.

In The Garden State, insurance companies need prior approval from the DBI to set their rates and for their form filings.

Windshield Coverage

New Jersey doesn’t require insurance companies to offer windshield repair or replacement. But, according to the law, you could receive a citation while driving with a chipped windshield if a law enforcement officer believes it affects your view.

With a standard repair deductible of $750, your insurer will settle any repair cost over that amount.

High-Risk Insurance

Insurance companies see drivers who have several penalties on their records as a high risk to insure. These penalties can include anything from accidents to DUIs.

High-risk drivers can qualify for coverage through the New Jersey Personal Automobile Insurance Plan (NJ PAIP) if a minimum of two insurers has denied them coverage over 60 days.

As part of a pool, NJ PAIP assigns insurance carriers to high-risk drivers for three years. These rates tend to cost more than standard premiums.

By law, motorists who have seven or more points on their driving record in three years before the insurance application, or the three-year period that ends 90 days before the policy renewal, aren’t eligible for coverage. Despite this, you may still be able to find coverage with insurers who consider high-risk drivers.

Low-Cost Insurance

New Jersey offers a program for Medicaid recipients who have hospital benefits, called the Special Automobile Insurance Policy (NJSAIP), or “Dollar a Day” insurance policy. Aptly enough, it costs almost a dollar per day, or $365 per year (or $360 if you pay all at once).

This insurance policy will cover up to $250,000 in emergency medical costs after an accident. It also has a death benefit of $10,000.

Automobile Insurance Fraud in New Jersey

Insurance fraud is a crime in New Jersey. Faking accidents, inflating numbers on insurance claims, and falsifying information are among the common forms of auto insurance fraud.

Fraud results in millions of dollars of losses for insurance carriers every year. This is one of the reasons why car insurance rates continue to rise.

As you can see, auto accident fraud can result in up to 18 months in jail, $10,000 in fines, and 30 days of community service.

The New Jersey Attorney General’s Office of the Insurance Prosecutor investigates claims of auto insurance fraud. This Office of the Attorney General TV commercial explains more about the crime and how to report it:

The OAG offers a reward to those who report new cases that lead to an arrest. The OAG’s 2013 annual report showed that out of 313 criminal cases, 53 defendants were charged with auto insurance fraud.

To report car insurance fraud in New Jersey, you can fill out an online form, email NJInsuranceFraud@njdcj.org, or call 1-877-55-FRAUD (1-877-553-7283).

Statute of Limitations

The time limit to file a lawsuit in New Jersey for personal injury and property damage is two years from the date of the accident.

Vehicle Licensing Laws

A driver’s license legally allows you to drive, and with it, it is your responsibility to follow the appropriate licensing laws for your situation. In this section, we’ll cover Real ID, teen driver and new resident licensing, license renewal, and penalties.

Don’t miss it. Read on to learn more.

Real ID

As part of homeland security, the federal Real ID Act set standards for identification cards states can issue for flying in the U.S and entry into federal buildings or nuclear power plants. The Real ID Act goes into effect on October 1, 2020.

The Real ID driver’s license and state identification cards have a yellow star that indicates they’re a secure proof of identity.

You don’t have to get a Real ID, but if you usually use your driver’s license or state ID when you fly, you may want to upgrade when your current license expires. Otherwise, you can still use a valid U.S. passport or another federally-approved form of identification.

New Jersey Motor Vehicle Commission is upgrading its computer systems and preparing to reduce wait times for applicants before October 2020. They’re also planning to offer more information about the documents required to get a Real ID.

For now, keep in mind that the NJ MVC’s application process involves some “new math”: 2 + 1 + 6 = REAL ID.

Applicants will need to bring two documents as proof of address, one document as proof of a valid Social Security Number, and other documents that add up to six points. The point values are different for a Real ID versus a standard ID.

The news report below describes the new program:

Penalties for Driving Without Insurance

New Jersey has strict laws against driving without insurance. The first offense alone will cost uninsured drivers up to $300 and lead to a one-year license suspension.

But they can be lenient if the driver shows proof of insurance at their hearing.

A second conviction will result in 14 days in prison and two years’ suspension of driving privileges. There’s also a fine up to $5,000 and a 30-day community service requirement before license reinstatement. The video below goes into more detail:

Teen Driver Laws

Below are teen driver laws in The Garden State, helping to keep young drivers safe while they complete a graduated driver licensing program.

Young Driver Licensing LawsAge RestrictionsPassenger RestrictionsTime Restrictions
Learner's Permit16 and completed driver education; 17 without driver education

the permit becomes an intermediate license after six months for drivers younger than 21 and after 3 months for drivers 21 and older. The graduated licensing law applies to adults, except that the night driving and passenger restrictions are waived for new drivers 21 and older. If the applicant has not completed driver education, the minimum permit age is 17 and the minimum intermediate license age is 17, 6 months. Learner's permit holders may not drive between 11 p.m. and 5 a.m. and may carry only one passenger in addition to the supervising driver or any parent, guardian or dependant.
one passenger in addition to the supervising driver or any parent, guardian or dependent (family members excepted); waived for new drivers 21 and older.11 p.m.-5 a.m.; waived for new drivers 21 and older.
Provisional Licenseminimum age of 17 and 6 months
6 months holding period; 3 months for drivers 21 and older
one passenger in addition to the supervising driver or any parent, guardian or dependent (family members excepted); waived for new drivers 21 and older.11 p.m.-5 a.m.
Full License17lifted after 12 months or until age 21, whichever occurs first (min. age: 18)lifted after 12 months or until age 21, whichever occurs first (min. age: 18)

License Renewal Procedures

Here are the state requirements for license renewals for older drivers and the general population. As we mentioned earlier, if your license will expire soon, you may consider getting a Real ID.

Renewal ProceduresGeneral PopulationOlder Population
License renewal cyclefour yearstwo or four years for people 70 and older, personal option
Mail or online renewal permittedby mail, unless new photo required (stored picture can be used, but only for a period not exceeding four additional years)by mail, unless new photo required (stored picture can be used, but only for a period not exceeding four additional years)
Proof of adequate vision required at renewalevery ten yearsevery ten years

New Residents

If you plan to move to The Garden State, you will need to register your vehicle in New Jersey and get a driver’s license. You have 60 days to transfer your titles and registration.

You will need to bring six points of ID to apply for a license at the New Jersey Motor Vehicle Commission. If you’re 21, you must complete the Graduated Driver License (GDL) program requirements.

If you choose to do so, you may still apply for a Real ID before they go into effect on October 1, 2020.

Negligent Operator Treatment System (NOTS)

New Jersey drivers who commit violations may receive points on their licenses that ultimately result in a suspension. Points on your license can also raise your car insurance rates.

If you get six or more points within three years on your current driving record, you will receive a fine. The New Jersey Motor Vehicle Commission will suspend the licenses of drivers who have 12 or more points on their records.

According to the MVC’s Points Schedule, below are some of the violations that may trigger a ticket.

On the New Jersey Turnpike, Garden State Parkway, and Atlantic City Expressway:

  • Moving against traffic – two points
  • Improper passing – four points
  • Unlawful use of median strip – two points

All roads and highways:

  • Failure to yield to a pedestrian in a crosswalk – two points
  • Passing a vehicle yielding to pedestrian in a crosswalk – two points
  • Driving through safety zone – two points
  • Racing on the highway – five points
  • Improper action or omission on grades and curves – two points
  • Failure to keep right – two points

Drivers who get points may take measures to earn point deductions by taking qualified MVC-approved driving courses. That can earn a “-2” point deduction.

Another way to remove points is to remain free of violations and suspensions for one year. For that, drivers will earn a “-3” deduction.

The year starts on the date of the violation or the most recent license restoration. You can complete more than one program to remove points; however, you must follow the timeline for each deduction restriction.

The MVC notes that your insurance company might not factor the deductions into your rates; these deductions also don’t permanently remove points from your record.

Rules of the Road

Below are more rules of the road that you should follow to avoid committing any violations (like those above).

We’ll go over negligence laws, seat belt and car seat laws, speed limits, and so much more.

Fault vs. No-Fault

As we mentioned earlier, New Jersey uses the “no-fault” system for filing accident claims. With standard or liability coverage, The Garden State lets drivers injured in an accident choose if they want full or limited rights to sue others.

New Jersey also follows a system of “modified comparative fault” to resolve cases in which the injured party is partially at fault. An injured party might not get compensation if they’re more at fault for the accident than the person they sue.

So, if a jury finds that the injured party is more than 50 percent responsible for damages, he or she may not receive an award.

Seat Belt and Car Seat Laws

New Jersey’s seat belt law requires all drivers and passengers in the front seat to wear a seat belt. The driver is also responsible for the proper use of seat belts for passengers younger than age 18. The state imposes a $20 fine for a first offense.

The state’s car seat laws require any children younger than age eight and under 57 inches tall to sit in a restrained car seat. Below are the guidelines:

  • Under two years and weighing less than 30 pounds: restraint in a rear-facing car seat
  • Under four years and weighing less than 40 pounds: restraint in a forward-facing car seat
  • Under eight years: restraint in a forward-facing seat until the child outgrows their safety seat’s height or weight recommendations; otherwise, a booster seat
  • Eight years and older: adult-size seat belts

Children age seven and younger and less than 57 inches tall must sit in the rear seat if available; you must not secure a child in a rear-facing infant seat in the front seat of any vehicle equipped with a passenger-side airbag that isn’t disabled.

If you violate New Jersey child safety seat rules, you may receive a $75 fine for a first offense.

Keep Right and Move Over Laws

In New Jersey, you must keep right unless you want to pass. Those who “hog” the left lane will face penalties.

The state’s “move over” laws require drivers to move into adjacent lanes if they pass tow trucks, maintenance, or emergency vehicles traveling in the same direction with flashing lights. Drivers can also slow down if it’s not safe to change lanes.

Speed Limits

Maximum posted speed limits are 65 mph on rural interstates, 55 mph on urban interstates, 65 mph on limited-access roads, and 55 mph on all other routes.

Ridesharing

New Jersey’s recently enacted Transportation Network Company Safety and Regulatory Act controls the ridesharing industry.

The law also regulates riders and includes the following requirements:

  • Drivers must carry liability coverage of $1.5 million and uninsured/underinsured coverage at the same level; it should be in place while the driver is with a customer.
  • Those who want to apply to be a rideshare driver must pass a strict background and driving record check.
  • Drivers with a record of DUI driving, homicide, sexual assault, etc. can’t drive for a ridesharing company.

Automation on the Road

New Jersey doesn’t currently have any laws regarding automated vehicles.

In early 2019, the New Jersey General Assembly established a task force to study automated vehicles and recommend laws, rules, and regulations the state may enact to integrate AVs safely.

Safety Laws

As was stated before, every driver has the legal duty to ensure they drive safely to protect themselves and others. For some, that can seem like a heavy burden.

But we’ll explain the major safety laws to make things easier for you. In this section, we’ll cover alcohol- and marijuana-impaired driving and distracted driving laws.

So, read on to stay safe.

DUI Laws

Drivers under age 21 with a Blood Alcohol Level (BAC) of 0.08 or more may receive a DUI and face fines and imprisonment. They may face fines up to $500 and a license suspension of up to 90 days.

Below are more details about the state’s DUI laws.

PenaltyFirst OffenseSecond OffenseThird Offense
License SuspensionBAC 0.08-0.99: 3 months
BAC 0.10-0.14: 7 months-1 year
BAC 0.15+: 7 months - 1year, IID during suspension and 6 months - 1 year following restoration
2nd in 10 years: 2 years; IID during license suspension and 1-3 years after restoration3rd in 10 years of 2nd: 10 years; IID during suspension and 1-3 years after restoration
Imprisonmentminimum 12 hrs. BAC 0.08+: up to 30 days2nd in 10 years: 48 hours-90 days3rd in 10 years of 2nd: 180 days
FineBAC 0.08-0.99: $250-$400
BAC 0.10-0.14: $300-$500
BAC 0.15+: $300-$500
BAC 0.08+ $3,505 in fees and surcharges
$500-$1,000; $3,555 in fees and surcharges3rd in 10 years of 2nd: $1,000 +$5,055 in fees and surcharges
Other12-48 hours Intoxicated Driver Resource Center (IDRC)12-48 hours IDRCup to 90 days Community Service; 12-48 hours IDRC

Marijuana-Impaired Driving Laws

The Garden State doesn’t currently have any marijuana-specific driving laws.

Distracted Driving Laws

New Jersey bans texting and hand-held device use. If the police catch you, they may fine you $200 to $400 for a first offense, not counting any court costs. A second offense costs more — between $400 and $600. Later offenses could result in a license suspension for 90 days and higher fees of $600 to $800.

This news report reveals how New Jersey police officers look for distracted drivers:

Driving in New Jersey

Accidents and fatalities are among the risks of the road. As we covered earlier, drugs, alcohol, and distracted driving are some of the factors in crashes. With so many potential causes, you never know what can happen.

Driving safely and being prepared can help minimize those risks. In this section, we’ll look at vehicle theft in The Garden State and statistics involving fatal accidents.

Keep reading to learn more.

Vehicle Theft in New Jersey

This 2017 data from the National Insurance Crime Bureau shows the most popular vehicles stolen in The Garden State.

MakeModelYear of VehicleNumber of Thefts
HondaAccord1996692
DodgeCaravan2003425
FordPickup (Full Size)2006427
FordEconoline2002252
Ford EconolineE2502003254
HondaCivic2000671
Jeep Cherokee/Grand Cherokee2000252
NissanAltima2015281
ToyotaCamry2014227
ToyotaCorolla2015202

The most stolen vehicles in New Jersey were the Honda Accord and the Civic model.

Vehicle Theft by City

Below are FBI statistics on the number of vehicles stolen in the top five cities.

City# of Stolen Cars
Newark2894
Elizabeth1001
Paterson749
Jersey City
738
Irvington522

Road Fatalities in New Jersey

The data below from the National Highway Traffic Safety Administration (NHTSA) highlights the dangers of driving on the road and the average number of crash fatalities in New Jersey.

Most Fatal Highway in New Jersey

The highway with the most fatal crashes in New Jersey is US-130, with over 11 in the past ten years. It has also been ranked the most dangerous highway for pedestrians in New Jersey, Connecticut, and Pennsylvania.

Fatal Crashes by Weather and Light Condition

Below are the number of crash deaths under different weather and light conditions in The Garden State.

Weather ConditionDaylightDark, but LightedDarkDawn or DuskOther / UnknownTotal
Normal23516686290516
Rain212683058
Snow/Sleet311005
Other042208
Unknown120014
TOTAL26019997341591

Most of the crashes occurred in normal daylight conditions.

Fatalities (All Crashes) by County

These are all the crashes from 2013 – 2017, sorted by county.

County20132014201520162017
Atlantic4241293936
Bergen3739303527
Burlington3531485048
Camden3138343944
Cape May512121216
Cumberland2418293226
Essex4040404640
Gloucester2631232644
Hudson1524272426
Hunterdon969118
Mercer3626192126
Middlesex5233414647
Monmouth2747475043
Morris2514232129
Ocean4945384153
Passaic2824322218
Salem919111517
Somerset1925221924
Sussex6710127
Union1830292634
Warren9681511

Many of the highest numbers of fatalities occurred in the more populated counties, such as Burlington and Camden.

Traffic Fatalities

This list shows the number of fatalities by type of accident.

TypeNumber of Fatalities
Traffic Fatalities624
Passenger Vehicle Occupant Fatalities (All Seat Positions)331
Motorcyclist Fatalities83
Drivers Involved in Fatal Crashes865
Pedestrian Fatalities183
Bicyclist and other Cyclist Fatalities17

Fatalities by Person Type

Here is a list of deaths by type of person involved in the crash.

Person TypeNumber
Occupants (Enclosed Vehicles)340
Motorcyclists83
Nonoccupants32

Most of the deaths included occupants of enclosed vehicles.

Fatalities by Crash Type

As you can see, single vehicles, rollovers, and roadway departures were among the types of fatal crashes.

Crash TypeNumber
Single Vehicle380
Involving a Large Truck54
Involving Speeding120
Involving a Rollover72
Involving a Roadway Departure266
Involving an Intersection (or Intersection Related)197

The highest number of crashes involved single vehicles and roadway departures.

5-Year Trend for the Top 10 Counties

Let’s see how the number of accidents increased or decreased from 2013 – 2017.

County20132014201520162017
Ocean County4945384153
Burlington County3531485048
Middlesex County5233414647
Camden County3138343944
Gloucester County2631232644
Monmouth County2747475043
Essex County4040404640
Atlantic County4241293936
Union County1830292634
Morris County2514232129
Top Ten Counties377375368404418
All Other Counties165181193198206
All Counties542556561602624

Unfortunately, the number of fatal accidents increased, for the most part.

Fatalities Involving Speed by County

As shown, speed isn’t the biggest factor in traffic fatalities. But, no matter the number of deaths, it’s important to obey the speed limit to prevent deadly crashes.

County20132014201520162017
Middlesex County14341513
Gloucester County536612
Burlington County10381111
Monmouth County716101710
Atlantic County995129
Camden County791367
Cumberland County411357
Essex County122867
Mercer County75747
Bergen County40766
Ocean County89365
Union County2810105
Hudson County68664
Morris County53354
Passaic County771174
Salem County36443
Cape May County14032
Somerset County32302
Hunterdon County20021
Warren County10201
Sussex County11510

In many cases, the numbers remained consistent from 2013 – 2017.

Fatalities In Crashes Involving an Alcohol-Impaired Driver

The number of deaths rose in some counties and fell in others.

County20132014201520162017
Middlesex County1385915
Camden County698813
Essex County121351011
Mercer County85339
Monmouth County61411149
Burlington County119998
Gloucester County107558
Union County5510137
Cumberland County44786
Ocean County128666
Passaic County1310996
Atlantic County10123124
Bergen County8123104
Morris County73434
Cape May County25153
Hudson County411343
Somerset County410553
Salem County48512
Hunterdon County33111
Sussex County22321
Warren County32211

Drinking and driving are a dangerous combination that can seriously injure or kill others. The best thing to do is not drive if you’ve been drinking.

Teen Drinking and Driving

New Jersey ranks in the middle of the country for underage drinking and driving, at 32nd. The number of fatalities per 100,000 people for alcohol-impaired drivers under 21 in New Jersey was 0.3 deaths in 2016. This figure was much lower than the national average of 1.2 deaths.

Teens and Drunk DrivingData
Alcohol-Impaired Driving Fatalities Per 100K Population0.3
Higher/Lower Than National Average (1.2)lower
DUI Arrest (Under 18 years old)129
DUI Arrests (Under 18 years old) Total Per Million People65
US Rank of Under 18 DUI Arrests32nd

EMS Response Time

These statistics show different response times from crash notification to arrival at the scene and the hospital.

LocationTime of Crash to NotificationArrivalArrival at Scene to HospitalTime of Crash to Hospital
Rural4.14 minutes13.22 minutes36.48 minutes53.84 minutes
Urban5.14 minutes7.82 minutes31.62 minutes43.70 minutes

Arrival times for rural areas tend to be higher because of the distance from urban centers were EMS crews tend to be located; difficulty finding and getting to the locations may also play a role.

Transportation

It’s no secret that traffic along New Jersey’s major corridors can become heavily congested. It’s frustrating for all involved.

Using Data USA figures, let’s explore how car ownership, commute times, and forms of transportation affect traffic congestion. The orange bars represent New Jersey, and those in gray show the U.S. averages.

Keep reading for some startling statistics.

Car Ownership

How many cars do New Jerseyans own compared to the rest of the country?

New Jersey Car Ownership

Most New Jersey households own two cars, which matches the national average almost exactly.

Commute Time

Who has the longest commute?

On average, New Jersey drivers commute at least 20 minutes, which is lower than the U.S. average of 25.3 minutes. Nearly 6 percent of New Jerseyans face a “super commute” of 90 minutes or more. That’s about double the national average.

Commuter Transportation

By now, it’s probably clear which form of transportation people tend to use most in their commutes.

New Jersey Commuter Transportation

Bingo! You guessed it. Most New Jerseyans drove alone, like the U.S. average, while just over 10 percent took public transportation.

Traffic Congestion in New Jersey

No New Jersey cities made it onto any major traffic congestion trackers, such as Inrix’s Scorecard, Tom-Tom’s Traffic Index, or Numbeo’s Traffic Index.

But, that doesn’t mean there isn’t any congestion. The Hartford reports that at 14.8 percent, The Garden State has the second-highest percentage of commutes that take longer than an hour. More New Jerseyans also travel to work out-of-state than do residents of other states. They commute mostly to New York (396,520 workers) and Pennsylvania (123,650.)

This is the end of our car insurance journey. What did you think? We hope you enjoyed the ride and “happy trails” to you.

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Resources

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