- The average cost of car insurance in New Jersey is $3,122 a year or $260 per month, based on our data analysis.
- Minimum liability coverage in New Jersey costs around $1,568 annually for limits of 35/70/25, while liability-only coverage costs $1,691 per year for limits of 50/100/50.
- NJM provides the most affordable annual rates for full coverage car insurance in New Jersey, costing $2,373 per year.
- In New Jersey, driving incidents can significantly increase premiums, with a speeding ticket raising rates by up to 52%, a DUI raising rates by 102%, and an at-fault accident by up to 74%.
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. NJM offers the cheapest rates at $2,373 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.
How much is car insurance in New Jersey?
In New Jersey, drivers pay an average of $260 monthly for full coverage car insurance, based on a rate analysis by CarInsurance.com.
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 $864 a month or $10,363 a year.
- Young drivers in their 20s pay an average of $411 monthly or $4,936 annually, for car insurance.
- Senior drivers pay around $267 monthly or $3,201 a year.
- A speeding ticket can increase your rates to $395 monthly or $4,745 annually.
- An at-fault accident increases car insurance rates to $454 a month or $5,447 a year.
- Poor credit drivers usually see their car insurance costs increase to $694 monthly or $8,326 annually.
Average cost of auto insurance in New Jersey by coverage level
In New Jersey, the cost of car insurance can vary depending on how much coverage you purchase. New Jersey drivers need at least the minimum insurance coverage limits of 35/70/25 to legally drive.
Liability-only insurance policies are the most affordable option and provide the minimum coverage required in New Jersey. However, they don’t offer much 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 is more expensive, but it offers extensive protection. It helps cover your vehicle in case of accidents, theft, natural disasters, and animal collisions. Full coverage can make you feel more secure, knowing you’re well-protected if something happens.
Full coverage car insurance 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.
| Coverage level | Monthly rates | Annual rates |
|---|---|---|
| State Minimum BI/PD | $131 | $1,568 |
| Liability Only – 50/100/50 BI/PD | $141 | $1,691 |
| Full Coverage – 100/300/100 BI/PD – 500 Comp/Coll | $260 | $3,122 |
State minimum car insurance in New Jersey
New Jersey laws mandate that all drivers carry insurance with minimum liability limits of $35,000 for bodily injury liability per person, $70,000 for bodily injury liability per accident and $25,000 for property damage liability.
In New Jersey, you can get state minimum car insurance for $1,568 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 be aware of the minimum insurance coverage requirements to stay compliant.
Liability-only car insurance in New Jersey
Liability-only car insurance costs $1,691 in New Jersey for coverage limits of 50/100/50, according to CarInsurance.com data.
Liability-only insurance helps cover the costs if you damage someone else’s car or injure someone in an accident. It’s more affordable than full coverage insurance, but remember, it doesn’t pay for repairs to your vehicle or cover injuries to your passengers.
Full coverage car insurance in New Jersey
In New Jersey, you can expect to pay around $3,122 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.
Different areas pose more or less risk based on crime rate, traffic, car thefts and population density. Insurance companies research each area’s risks and then use that information to determine what they can charge for premiums.
As a result, people living in higher-risk neighborhoods of New Jersey have to pay more than those living where the risks are lower.
With our easy-to-use tool, you can get insurance quotes for different coverage limits for your ZIP code in minutes. Enter your ZIP code into our free tool to see how much you can save.
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 ( Full - 100/300/100)
Speak with a friendly agent and get your quote in minutes!
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 example, luxury brands like Maserati, BMW, Porsche and Audi tend to have higher insurance costs. On the other hand, more affordable brands like Subaru, Hyundai, Honda and Mazda typically come with the cheapest insurance cost.
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
Younger drivers and teenagers typically pay more for insurance than older, more experienced drivers. This is because teenagers are more likely to get into car accidents. In fact, teenagers are four times more likely to crash than drivers who are 20 or older, according to the Insurance Institute for Highway Safety.
Insurers know that teenage drivers are less experienced and pose a higher risk, resulting in higher insurance premiums. New Jersey drivers between the ages of 30 to 60 typically enjoy the lowest average auto insurance rates, at about $3,055 annually.
Car insurance for drivers aged 16-19 costs $7,308 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 $10,363 per year for a full coverage car insurance policy.
- For young adults: Drivers aged 20-25 can expect to pay $4,709 a year for a full coverage policy.
- For average-aged drivers: Drivers aged 30 to 60 can expect to pay $3,055 per year in New Jersey.
- For senior drivers: Drivers age 65 and older can expect to pay $3,201 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 102% because insurers see you as a risky driver.
Similarly, if you get a speeding ticket in New Jersey, you’ll likely see an increase in your car insurance premium by up to 52% upon your policy renewal. Typically, you’ll pay more for three years. However, your rate increase also depends on state laws, your insurance company and your driving record.
Here is how much your car insurance rate increases in New Jersey after driving incidents:
- Speeding ticket: Up to 52% increase
- DUI conviction: 102% increase
- At-fault accident (bodily injury and property damage): 74% increase
But even with a traffic ticket, comparison shopping can save you money.
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.
High-risk drivers can lower their insurance premiums by comparing price quotes from different insurance companies. Each company offers different prices, so shopping around and finding the best deal that fits your needs is a good idea.
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 their premiums by comparing insurance quotes from different carriers. The cost of car insurance can vary based on several factors, including your driving history and the model of your car. Comparing multiple options allows you to find the right policy at an affordable price.
Begin your search for the top car insurance policy in New Jersey by getting quotes from multiple insurance providers and comparing them.
In the table below, see an overview of various car insurance companies in New Jersey, along with their average annual premiums.
| Company | State Minimum | 50/100/50 | 100/300/100 |
|---|---|---|---|
| NJM | $1,238 | $1,238 | $2,373 |
| Travelers | $1,573 | $1,657 | $2,522 |
| GEICO | $1,036 | $1,295 | $2,597 |
| Farmers | $1,588 | $1,504 | $2,726 |
| Progressive | $1,312 | $1,398 | $3,069 |
| Allstate | $1,232 | $1,363 | $3,311 |
| State Farm | $2,978 | $3,229 | $3,997 |
| Plymouth Rock Assurance | $1,760 | $2,048 | $4,534 |
Car insurance rates by city in New Jersey
Newark is New Jersey’s most expensive city for car insurance at an average cost of $4,142 annually. Trenton is the state’s least expensive city, with an average car insurance rate of $3,377 annually.
Car insurance costs differ from city to city in New Jersey, mainly because of traffic congestion. Cities with more traffic usually see more accidents and insurance claims, which makes insurance more expensive.
Rates can also be influenced by factors such as uninsured motorist statistics, expenses related to repairs and medical treatment, as well as the overall crime rate in the city.
Find below the average annual car insurance cost for drivers in some of New Jersey’s major 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?
In New Jersey, a full coverage car insurance policy with 100/300/100 limits typically costs about $260 per month.
Opting for monthly car insurance payments can be a budget-friendly strategy for some people. It allows for spreading the cost throughout the year, making it easier to manage than a hefty annual payment. This approach provides more flexibility and avoids the burden of a large upfront sum.
Alternatively, paying your car insurance in full upon renewal may earn you a discount. Ultimately, the ideal choice depends on your needs and situation.
| Coverage level | Monthly rates |
|---|---|
| State Minimum BI/PD | $131 |
| Liability Only – 50/100/50 BI/PD | $141 |
| Full Coverage – 100/300/100 BI/PD – 500 Comp/Coll | $260 |
Final thoughts on choosing car insurance in New Jersey
There’s no one best car insurance for everyone. Some drivers are willing to pay a bit more for outstanding customer service, some want the lowest rates, others prefer carriers who can handle claims and payments through mobile apps and some prefer agents.
Ultimately, understanding your needs to find the best policy at the most competitive price is critical. Shop around for a good deal that provides peace of mind when hitting the open road in New Jersey.
Resources & Methodology
Sources
- Insurance Institute for Highway Safety. “Teenagers.” Accessed April 2026.
- USAA. “How credit affects insurance premiums.” Accessed April 2026.
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 35/70/25.
Read the detailed methodology for more information.
Note: USAA is only available to military community members and their families.
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