Average cost of car insurance in New Jersey

The average car insurance rate in New Jersey is $1,910 a year for a full coverage policy with a coverage level of 100/300/100 for a driver age 40, according to a rate analysis by Insurance.com. For the state minimum coverage, the average annual cost in New Jersey is $994.

Best car insurance companies in New Jersey

Geico is the best car insurance company in New Jersey, based on a 2023 analysis by Insurance.com, with an overall rating of 4.12. State Farm is the second-best auto insurance company in New Jersey, with an overall rating of 3.8.

Below is a full list of the top New Jersey insurance companies based on price, NAIC complaint ratio, and AM Best financial ratings. The total Insurance.com score is calculated out of five using these factors.

Best car insurance companies in New Jersey
Insurance companyAM BestAverage annual rateNAIC Complaint ratioInsurance.com score
GeicoA++$ 1,2500.774.12
State FarmA++$ 1,6880.523.8
TravelersA++$ 1,7911.033.46
AllstateA+$ 1,7980.953.25
Mercury InsuranceA$ 2,1030.673.05
ProgressiveA+$ 3,1350.732.59
FarmersA$ 3,0640.772.29

Cheapest car insurance companies in New Jersey

Don't just go with the first insurer you come across. Comparison shopping is the key when it comes to finding the best deal on auto insurance. Get quotes from several different insurers and compare their rates. You may be surprised at how much difference there can be in rates from one company to another.

We have gathered price quotes from all the major insurance providers in New Jersey and put together a list of the cheapest car insurance companies. Based on a rate analysis by Insurance.com, Palisades is the cheapest auto insurance company in New Jersey with average rates of $1,073 annually or $89 a month, on average, for full coverage.

CompanyState minimum50/100/50 liability only100/300/100 liability with $500 comp/coll deductible
Palisades$ 535$ 638$ 1,073
Geico$ 427$ 537$ 1,250
New Jersey Manufacturers$ 494$ 585$ 1,284
State Farm$ 870$ 1,009$ 1,688
Travelers$ 984$ 1,092$ 1,791
Allstate$ 611$ 754$ 1,798
Mercury Insurance$ 939$ 1,124$ 2,103
Farmers$ 1,258$ 1,533$ 3,064
Progressive$ 2,825$ 2,933$ 3,135

Auto insurance calculator

Average auto insurance rates in Alabama
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Male
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36110 - Montgomery
For a -year-old
State minimum
Full coverage
Liability only

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Cheapest car insurance cost in New Jersey by age

In New Jersey, car insurance rates are higher for teenagers as they are more prone to accidents due to their lack of experience.

Geico offers the cheapest car insurance for teen drivers in New Jersey at $2,681 per year for a full coverage policy.  

Car insurance rates will decrease as teens age and keep a good driving record. Car insurance rates for adults 25+ and seniors 60+ are lower than those for teens and young adults. 

In New Jersey, Palisades offers the cheapest full coverage car insurance for adult drivers (25-55 year-olds) at $1,131 per year, and New Jersey Manufacturers offer the cheapest full coverage for senior drivers (60-75 year-olds) at $1,170 per year. 

Cheapest car insurance by age in New Jersey
Age (group) Company Group Avg. Annual Premium
Teens (16-19)Geico$ 2,681
Teens (16-19)New Jersey Manufacturers$ 3,713
Teens (16-19)State Farm$ 4,295
Teens (16-19)Travelers$ 4,814
Teens (16-19)Allstate$ 5,681
Teens (16-19)Palisades$ 6,350
Teens (16-19)Farmers$ 9,218
Teens (16-19)Progressive$ 10,872
Teens (16-19)Mercury Insurance$ 12,657
Young Adults (20-24)Geico$ 1,944
Young Adults (20-24)New Jersey Manufacturers$ 2,005
Young Adults (20-24)Palisades$ 2,178
Young Adults (20-24)Travelers$ 2,405
Young Adults (20-24)State Farm$ 2,776
Young Adults (20-24)Allstate$ 2,969
Young Adults (20-24)Mercury Insurance$ 3,420
Young Adults (20-24)Farmers$ 4,170
Young Adults (20-24)Progressive$ 4,331
Adults (25-55)Palisades$ 1,131
Adults (25-55)Geico$ 1,278
Adults (25-55)New Jersey Manufacturers$ 1,295
Adults (25-55)State Farm$ 1,714
Adults (25-55)Allstate$ 1,743
Adults (25-55)Travelers$ 1,823
Adults (25-55)Mercury Insurance$ 2,134
Adults (25-55)Farmers$ 3,168
Adults (25-55)Progressive$ 3,217
Seniors (60-75)New Jersey Manufacturers$ 1,170
Seniors (60-75)Geico$ 1,202
Seniors (60-75)Palisades$ 1,303
Seniors (60-75)State Farm$ 1,624
Seniors (60-75)Allstate$ 1,750
Seniors (60-75)Travelers$ 1,835
Seniors (60-75)Mercury Insurance$ 2,037
Seniors (60-75)Progressive$ 3,171
Seniors (60-75)Farmers$ 3,285

Cheapest car insurance companies in New Jersey by driver profile

Drivers who have accidents or tickets are considered a higher risk and will pay more. 

However, the severity and frequency of the incidents also play a role in the insurance rates. For instance, drivers with a single minor accident will see a smaller increase in their rates compared to those with multiple major accidents.

Below are average New Jersey rates by company for drivers with accidents and tickets on their driving record. 

Cheapest car insurance companies for tickets and accidents in New Jersey 
CompanyClean recordAccidentTicket
Palisades$ 1,341$ 1,440$ 2,289
Geico$ 1,349$ 1,883$ 1,349
New Jersey Manufacturers$ 1,421$ 1,421$ 1,704
State Farm$ 2,060$ 3,383$ 2,976
Travelers$ 2,066$ 3,551$ 2,814
Allstate$ 2,217$ 5,080$ 2,663
Progressive$ 2,306$ 3,442$ 2,922
Mercury$ 2,499$ 4,373$ 3,700
Farmers$ 3,795$ 8,466$ 5,609

Compare auto insurance rates by city in New Jersey

Auto insurance rates in your city can differ significantly from the state average due to factors such as population density, increased instances of auto theft or accidents, and a few other factors. It's best to compare quotes from various insurance providers to find the most competitive rates for your specific city in New Jersey.

CityAnnual insurance premium
Clifton
$2,344
East Brunswick
$1,878
Jersey City
$2,331

Insurance.com commissioned Quadrant Information Services in 2022 to field rates from up to six major insurers in every state across most ZIP codes. Driver profile: male, age 40, driving 2021 Honda Accord LX with full coverage of 100/300/100 with comprehensive and collision; $500 deductible.

The car insurance rates for drivers with accidents and tickets are averaged based on rates for the following accidents and tickets: 

Accidents: 

  • 1 at-fault property damage accident over $2k
  • 1 at-fault property damage accident under $2k
  • At-fault bodily injury accident 
  • Single vehicle accident 

Tickets: 

  • Distracted driving ticket
  • Speeding ticket 1- 10 MPH over limit 
  • Speeding ticket 11- 29 MPH over limit 
  • Talking on cellphone ticket 
  • Texting ticket 

Insurance.com analyzed rates from more than 34,000 ZIP codes, 56 million quotes, and 136 companies. Rates sourced from Quadrant Data Services are for comparison purposes only; your rates may differ.  

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