The cost of car insurance in New Jersey varies significantly depending on the type and amount of insurance coverage you buy, your location, age and driving history. New Jersey Manufacturers offers the cheapest rates at $1,318 a year for full coverage.
This guide makes buying car insurance in New Jersey easy. We’ve done the hard work by researching and analyzing what different drivers might pay for insurance.
Keep reading to get a clear idea of how car insurance in New Jersey works and how much coverage you need.
- The average cost of car insurance in New Jersey is $1,902 a year or $159 per month, based on our data analysis.
- Minimum liability coverage in New Jersey costs around $853 annually for limits of 25/50/25, while liability-only coverage costs $915 per year for limits of 50/100/50.
- New Jersey Manufacturers provides the most affordable annual rates for full coverage car insurance in New Jersey, costing $1,318 per year.
- In New Jersey, driving incidents can significantly increase premiums, with a speeding ticket raising rates by up to 32%, a DUI raising rates by 72%, and an at-fault accident by up to 79%.
How much is car insurance in New Jersey?
According to CarInsurance.com data, drivers in New Jersey pay about $159 per month for full coverage car insurance.
Understanding the average insurance cost can give you a head start in budgeting for your coverage. It’s important to consider that premium costs vary from person to person and will depend largely on the make/model of your car, your driving record and other factors.
See how rates change in New Jersey based on driver profile:
- Teen drivers in New Jersey pay the most — about $546 a month or $6,557 a year.
- Young drivers in their 20s pay an average of $255 monthly or $3,064 annually, for car insurance.
- Senior drivers pay around $164 monthly or $1,970 a year.
- A speeding ticket can increase your rates to $247 monthly or $2,958 annually.
- An at-fault accident increases car insurance rates to $287 a month or $3,442 a year.
- Poor credit drivers usually see their car insurance costs increase to $356 monthly or $4,276 annually.
Average cost of auto insurance in New Jersey by coverage level
Car insurance costs in New Jersey can differ based on the coverage limit. To legally drive, New Jersey residents must adhere to the minimum liability limits of 25/50/25.
Liability-only insurance is the least expensive coverage and meets the minimum legal requirements in New Jersey, but it doesn’t offer adequate protection.
While liability insurance protects you from financial loss by covering legal defense and damages if you’re found responsible for causing injury or property damage to others, it doesn’t protect your vehicle or passengers.
On the other hand, full coverage car insurance costs more but provides a lot more protection. It covers damage to your car in accidents, theft, natural events and animal collisions. If you have full coverage, you can be reassured that you’re well-protected.
Full coverage comprises liability, comprehensive, collision and any other coverage required by your state.
In the table below, see the car insurance premiums in New Jersey for three different coverages.
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State minimum car insurance in New Jersey
New Jersey laws mandate that all drivers carry insurance with minimum liability limits of $25,000 for bodily injury liability per person, $50,000 for bodily injury liability per accident and $25,000 for property damage liability.
In New Jersey, you can get state minimum car insurance for $853 per year. However, this minimum coverage doesn’t offer enough protection. Drivers can add other types of insurance, such as comprehensive and collision, increase their liability limits and buy personal injury coverage for added protection.
Drivers in New Jersey must purchase the minimum required car insurance to operate their vehicles on the road.
Liability-only car insurance in New Jersey
According to CarInsurance.com data, liability-only car insurance costs $915 in New Jersey for limits 50/100/50.
Liability only pays for damage you cause to other people’s property or for injuries to others in an accident, but it doesn’t cover your passengers’ medical expenses. It’s cheaper than full coverage insurance, but it won’t help if your own car is damaged or stolen.
Full coverage car insurance in New Jersey
In New Jersey, you can expect to pay around $1,902 per year for full coverage car insurance for the limits of 100/300/100 – $100,000 in bodily injury coverage, $300,000 in bodily injury coverage per accident and $100,000 in property damage coverage.
Car insurance experts advise drivers to get full coverage insurance with the highest liability limits they can afford. Full coverage includes liability, comprehensive and collision coverage, with a deductible.
Calculate the cost of car insurance in New Jersey
A policy that is perfect for someone living in one ZIP code might be expensive for a driver living in another.
When determining insurance premiums, companies study crime rates, traffic conditions, car thefts and population density in different areas. This research helps them assess the associated risk and set competitive prices for their policies.
As a result, people living in higher-risk neighborhoods of New Jersey have to pay more than those living where the risks are lower.
Use our simple tool to see how much you’ll have to pay for car insurance. Just type in your ZIP code, and you’ll get quotes for different coverage options quickly.
Calculate car insurance rates by ZIP code in New Jersey
Rates vary by location. Our tool helps you understand how your ZIP code impacts your premium.
For 30 year old Male ( Liability - Minimum)
Estimate car insurance in New Jersey by car model
In New Jersey, car insurance costs depend on the type of car you drive. If you have a luxury or electric vehicle that’s more expensive to repair, you’ll pay higher insurance rates than someone with a car that’s cheaper to repair.
For instance, luxury brands like Maserati, BMW, Porsche, and Audi usually have higher insurance costs. Cars like Subaru, Hyundai, Honda and Mazda are often cheaper to insure.
Find out how much you’ll pay for car insurance for your vehicle make and model in New Jersey.
Insurance rates by car model
Guide: How to estimate car insurance using our car insurance estimator tool
Car insurance rates by age group in New Jersey
As drivers age, their auto insurance premiums change – with younger and teen drivers paying higher rates than experienced drivers. The crash rate for teen drivers is four times higher than that of drivers aged 20 and older, according to the Insurance Institute for Highway Safety.
Auto insurance companies understand that teenage drivers typically have less experience and pose a higher risk to insure. In New Jersey, drivers aged 30 to 60 enjoy the lowest average auto insurance premiums, at $1,856 annually.
Car insurance for drivers aged 16-19 costs $4,701 more annually than New Jersey drivers aged 30-60.
See the average rates by age group below:
- For teen drivers: Teens aged 16-19 can expect to pay $6,557 per year for a full coverage car insurance policy.
- For young adults: Drivers aged 20-25 can expect to pay $2,916 a year for a full coverage policy.
- For average-aged drivers: Drivers aged 30 to 60 can expect to pay $1,856 per year in New Jersey.
- For senior drivers: Drivers age 65 and older can expect to pay $1,970 per year.
Check out our detailed guide on average car insurance rates by age
Rates based on driver profile, history and habits in New Jersey
If your driving record includes a DUI, speeding ticket or an at-fault accident, your rates will increase significantly. A DUI conviction in New Jersey can increase your premiums by up to 72% because insurers see you as a risky driver.
If you get caught speeding in New Jersey, your car insurance rates will increase by 32% when you renew your policy. Typically, you’ll pay the increased premiums for three years. But how much your rates go up can vary depending on the laws in your state, the insurance company you’re with, and your driving history.
Find below how much your car insurance rate increases depending on driving incidents:
- Speeding ticket: Up to 32% increase
- DUI conviction: 72% increase
- At-fault accident (bodily injury and property damage): 79% increase
Even if you’ve received a traffic ticket, you can still save money by comparing insurance quotes.
Car insurance cost in New Jersey for high-risk drivers
In New Jersey, drivers deemed high-risk face higher car insurance premiums due to the increased risk. Factors such as past accidents, traffic infractions and low credit scores significantly affect premium costs.
Luckily, there are ways for high-risk drivers to reduce their premium payments. Shopping around and comparing quotes is a great place to start, as each company will have its own rate structure tailored to individual needs.
Use this tool to determine which company has the best prices for drivers with speeding tickets, DUIs, or at-fault accidents on their driving records.
Select your state and risk factor below to see the insurance company and its average annual full coverage rates.
Learn more: The 10 most important factors that affect car insurance rates
Explore car insurance costs in your neighboring states
Compare car insurance quotes in New Jersey
In New Jersey, drivers can save on car insurance by comparing prices from different companies. Many factors affect how much you pay, like your driving history and the type of car you drive. Luckily, there are plenty of choices to help you find good insurance that fits your budget.
Begin your search for the top car insurance policy in New Jersey by getting quotes from multiple insurance providers and comparing them.
Below are the details of New Jersey car insurance companies and their annual premiums.
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Car insurance rates by city in New Jersey
Newark is the priciest city in New Jersey for car insurance, costing an average of $2,641 annually. On the other hand, Brielle is the most affordable city, where drivers pay an average of $1,602 per year for car insurance.
Car insurance rates vary by city in New Jersey for several reasons. One of the most significant factors is traffic congestion. Areas with more traffic typically have higher rates of accidents and claims, which leads to higher premiums.
The number of uninsured drivers, crime rates, and the average cost of repairs and medical bills also influence car insurance rates.
The table below shows the average annual car insurance premiums for New Jersey’s largest cities.
Select your city below to see the insurance company and its average full coverage rates.
How much does car insurance cost in New Jersey per month?
Car insurance in New Jersey costs an average of $159 a month for a full coverage policy with limits of 100/300/100.
Paying car insurance monthly can offer individuals greater budget flexibility. By spreading the cost over time, they can avoid the strain of a hefty lump sum payment and manage their expenses more comfortably.
Alternatively, paying your car insurance in full upon renewal may earn you a discount. Ultimately, the ideal choice depends on your needs and situation.
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Final thoughts on choosing car insurance in New Jersey
When it comes to car insurance, one size doesn’t fit all. Drivers prioritize different things. Some value top-notch customer service and are willing to pay extra for it. Others focus on finding the cheapest rates possible. Some look for insurance companies with user-friendly mobile apps for managing claims and payments.
Understanding your needs and finding the best insurance policy at a great price are important. So, take your time and check out different options to find the right policy for you.
Resources & Methodology
Sources
- Insurance Institute for Highway Safety. “Teenagers.” Accessed September 2025.
- USAA. “How credit affects insurance premiums.” Accessed September 2025.
Methodology
CarInsurance.com commissioned Quadrant Information Services to get car insurance rates in New Jersey. The average premiums are based on the sample profile of a 40-year-old male and female driving a Honda Accord LX with a good insurance score and a clean driving record.
The rates are for different coverage limits. It includes:
- Full coverage car insurance with a coverage limit of $100,000 in bodily injury per person, $300,000 in bodily injury coverage per accident, $100,000 in property damage coverage per accident and a $500 collision/comprehensive deductible.
- Liability-only car insurance rates with a limit of 50/100/50.
- State minimum coverage limit of 25/50/25.
To evaluate the rates, we have compared 53,409,632 insurance quotes from 75 company groups across 34,588 ZIP codes. The average premiums are for comparison purposes only; your exact rates may vary.
Note: USAA is only available to military community members and their families.
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