Comparing car insurance costs in New Jersey can quickly become a Kafkaesque nightmare. Does this policy meet the minimum coverage requirements? Can I get a better rate if I have a clean driving record? Is it a bad idea to get the cheapest insurance? Should I give up and travel exclusively by hoverboard? Don’t give up – your perfect (and affordable) plan is right around the corner.
Is car insurance required in NJ?
With the rising cost of auto insurance, it can be tempting to go without. We caution you against this. You can’t register your car in New Jersey unless you have auto insurance. And since it’s illegal to drive an unregistered car, you’ll need to get car insurance to legally drive a car.
It’s also important to have car insurance when driving because of New Jersey’s “no pay, no play” laws. If you’re in an accident while uninsured, you give up the right to sue the other driver for non-economic damages like pain and suffering.
Average cost of full coverage car insurance in NJ – by driving history
If you have a clean driving record, insurance companies see you as less risky to cover. As a result, the premiums they quote you will be lower. Unfortunately, having points on your record from tickets, collisions, or driving while intoxicated makes you more likely to file a claim in the future, so your average premium will be more expensive. You can decrease your premiums over time by always driving sober, sticking to the speed limit, and staying out of trouble on the road. Driving while intoxicated makes you particularly risky in the eyes of an insurer.
Here’s the average amount that different automotive mishaps could increase your premium.
How much is high coverage car insurance in NJ?
Whether you think of your car as your baby or you just want the maximum peace of mind, you may want to opt for high-coverage car insurance. These premium costs can vary wildly. According to US News, average annual premiums for high-coverage insurance policies range from $1,231 (Geico) to $3,093 (Farmers). The overall average rate is $1,863 annually. Those prices can seem high, but when you think about how much an accident could cost if it totals your car, high coverage insurance might be worth the price.
NJ car insurance rates by city
Did you know your ZIP code can change your auto insurance premium? Insurance companies base their rates mainly on the number and price of the claims they’ll have to handle. Areas with more accidents, higher crime rates, recurring extreme weather, or more expensive auto mechanics and healthcare cost more for insurers. Insurers pass that cost on to customers in that area.
For city-dwellers, Trenton residents get the cheapest insurance rate in the Garden State. If you’re thinking about moving, you can get a better rate by leaving the city in favor of a town or village.
How to get the best deal on car insurance in NJ
To save on your premiums in New Jersey, we recommend:
- Keeping a clean driving record, or driving responsibly as you wait for old driving incidents to drop off your record
- Staying insured, since lapses in your insurance coverage often mean you’ll pay more for a new policy
- Signing up for your insurer’s safe driving program, which can net you a discount
- Raising your credit score, which makes you appear more responsible to insurers
- Comparison shopping and reevaluating your current plan every few years – you never know when a better deal could come along
To get the most current rates in New Jersey, contact Surround Insurance today. We offer fast quotes and great rates.