Cheapest Auto Insurance in New Jersey (2025)

New Jersey drivers pay an overall average of $193 per month for car insurance. This rate is about the same as the nationwide monthly average of $144.

Many factors influence car insurance costs in a state, including its population density, auto theft rates, and frequency of natural disasters.

Here’s what you should know about comparing quotes and finding affordable coverage in the Garden State.

3 of the cheapest car insurance companies in New Jersey

Car insurance quotes vary based on a variety of factors, including your age, driving history, type of car, ZIP code, and more. While the companies listed below offer affordable rates to many New Jersey drivers, the best insurance policy for you depends on your specific financial situation and needs as a driver.

Best insurer for people with driving incidents: NJM

Best insurer for liability coverage: CSAA

Best insurer for senior drivers: Plymouth Rock

How to get the cheapest car insurance in New Jersey

New Jersey drivers looking for the cheapest car insurance rates may want to consider the following options:1

• Take advantage of discounts. Most companies offer discounts for safe driving, home and auto bundling, or adding multiple cars to your auto policy.

• Choose a safe vehicle. Cars with advanced safety features and impressive safety records are cheaper to insure.

• Improve your credit. New Jersey allows insurers to weigh your credit information when determining rates.

• Raise your deductible. Drivers who choose a higher deductible generally pay lower monthly rates.

• Compare quotes. Different insurance companies offer a range of rates. So, it’s a good idea to compare quotes from at least three different insurers.

New Jersey Special Automobile Insurance Policy (SAIP) 

New Jersey’s Special Automobile Insurance Policy is an initiative to make auto insurance more affordable for low-income drivers in the state. If you’re a New Jersey resident enrolled in federal Medicaid with hospitalization, you may be eligible for the program, which costs $365 per year. Most insurance agencies can help you buy this coverage.

Drivers with a suspended license or registration aren’t eligible for the program.

Cheapest liability-only car insurance quotes in New Jersey: CSAA

When an accident is your fault, liability insurance only covers repairs and medical expenses for the other driver. You can’t use liability coverage to fix your own vehicle or pay your medical bills. But without liability insurance, you’d be entirely responsible for paying the other driver’s costs out of pocket.

Liability insurance in New Jersey costs $161 per month, on average. The table below highlights the cheapest liability-only insurers in the state.

Cheapest full-coverage car insurance quotes in New Jersey: CSAA

Full-coverage car insurance includes collision coverage and comprehensive coverage in addition to liability insurance.

Collision insurance and comprehensive insurance offer a greater level of financial protection, helping cover the cost of repairs to your vehicle after an accident or non-collision event, like severe weather. Lenders may require drivers of financed vehicles to have full coverage.

New Jersey drivers pay a monthly average of $225 for full-coverage insurance. Here are some cheap full-coverage options in New Jersey.

Car insurance requirements in New Jersey

New Jersey is a “choice no-fault” state. This means you’re required to carry no-fault insurance, also known as personal injury protection.

In New Jersey, PIP covers medical bills after an accident, regardless of fault. When you purchase your policy, you can also add an “unlimited right to sue” option, which allows you to sue the other driver after an accident, depending on your injuries.2

Here’s a closer look at the coverage required in New Jersey for basic policies:3

Cheapest car insurance companies in NJ for drivers with an incident

People with traffic violations on their driving record often pay higher insurance rates. Certain types of incidents make you a high-risk driver, including speeding tickets, driving under the influence, and at-fault accidents.

Cheapest car insurance quotes for drivers with a speeding ticket: Bristol West

Insurers see drivers with speeding tickets on their records as having a higher risk for future insurance claims. Speeding is closely linked to serious traffic accidents, according to the National Safety Council. So, if you have a speeding ticket in your driving record, you may have to look a bit harder to find competitive rates.4

New Jersey drivers with a speeding ticket on their record pay an average of $216 per month for liability coverage and $302 for full coverage. Explore the cheapest car insurance options for drivers with speeding tickets in the table below.

Cheapest car insurance quotes for drivers with an at-fault accident: Bristol West

Insurers view drivers with at-fault accidents on their records as more likely to file claims in the future. In order to avoid future losses, car insurance companies charge these drivers higher monthly premiums.

Liability insurance costs an average of $179 per month for New Jersey drivers with an accident on their record. The following table highlights cheap car insurance in New Jersey for drivers with this incident.

Cheapest car insurance quotes for drivers with a DUI: CSAA

Driving under the influence (DUIs) can lead to serious, expensive accidents — and insurers manage this risk by charging higher rates for drivers with a DUI.

Liability insurance for drivers in New Jersey costs an average of $196 per month. That average increases to $274 per month for full coverage.

Here are the best options in New Jersey for drivers with a DUI.

Cheapest car insurance quotes for seniors: CSAA

Auto insurance rates often start higher for young drivers, then decrease around age 35 — but increase again once you hit 70. Senior drivers may face higher rates due to slowing mental fitness, deteriorating vision, and a greater risk of injury in the event of an accident. But it’s still possible for seniors to qualify for discounts.

Senior drivers in New Jersey pay $140 per month for liability coverage and $196 per month for full coverage, on average.

The table below highlights other cheap insurance options for seniors in New Jersey.

Cheapest car insurance quotes for teens: CSAA

Teen drivers are less experienced behind the wheel and have a higher crash rate.5 Car insurers charge teen drivers higher rates to account for this risk.

In New Jersey, teen drivers pay monthly averages of $232 for liability policies and $325 for full-coverage policies.

To get the best insurance rates, teens can stay on their parent’s insurance, get a safe car, or qualify for good student discounts. Teen drivers looking to save should also consider the insurers in the following table.

New Jersey car insurance quotes by credit tier

Auto insurance companies in New Jersey can use your credit history when determining rates. Drivers with less-than-perfect credit often pay higher rates.

The table below shows how much New Jersey drivers pay on average for car insurance based on credit tier.

Car insurance rates across New Jersey cities

Car insurance rates in New Jersey vary widely based on your ZIP code. This is because distinct areas represent different levels of risk based on vehicle crime rates, weather patterns, and traffic levels. Below is a table with various cities in New Jersey and their average car insurance rates.