New Jersey Auto Insurance

New Jersey auto insurance is complicated and expensive. Take a few minutes to learn about coverages and costs.

This guide:

Explains New Jersey auto insurance laws and requirements

Describes how New Jersey auto insurance rates are decided

Shows you how to save on New Jersey car insurance

See How Much You Could Save: Save $300-400 or more with discount rates from all major auto insurance carriers, as well as local companies in New Jersey. It takes just one minute. Enter your zip code to start: Enter Zip Code Below   Are you insured?     Yes     No

New Jersey car insurance laws

New Jersey auto insurance laws offer drivers a choice between a basic or a standard auto insurance policy. The basic policy has low coverage amounts, and is designed for the driver with few assets or family responsibilities.

The standard policy requires minimum liability coverages of 15/30/5 ($15,000 per person injured, up to $30,000 total, and $5,000 in property damage), as well as personal injury protection (PIP).

The basic policy includes optional bodily injury liability coverage of $10,000, $10,000 worth of property damage liability, and at least $5,000 in personal injury protection (PIP).

Standard policy holders may also choose to purchase uninsured and underinsured motorist coverage, as well as collision and comprehensive.

How New Jersey auto insurance rates are set

For better or for worse, the price of New Jersey auto insurance is decided by the behavior of the state's drivers as a whole. New Jersey auto insurance companies take the cost of insuring New Jersey drivers (this includes settlements and legal fees) and divide it up among the drivers.

But the cost isn't spread around evenly. Instead, the percentage you pay is decided by things like your driving record, your age, where you live, and the kind of car you drive.

Of course, not all auto insurance providers figure their percentages the same way. This means that they will charge different rates on the same driver.

What this means for you as a driver, is that you need to shop the different rates (and they'll be very different!) for the best deal. It's the fastest easiest way to save on an New Jersey auto insurance policy.

Where to get New Jersey auto insurance quotes

Until very recently, NJ residents could not find insurance quotes online, the way that residents of all other 49 states could.

But after some law changes meant to combat fraud, insurers are slowly returning to the state, and on August 16th, 2004 Geico Direct began officially selling car insurance in the Garden State. Pay them a visit and see how much you could save.

Additionally, as of April of this year, Esurance, a major discount provider of coverage for better drivers, began offering its low rates to New Jersey residents. You can apply for quotes at both sites and compare rates.


Visit Geico Direct

Visit Esurance


ComparisonMarket is a service that allows you to compare quotes from several providers in the state of New Jersey. This is also a new service in the state, and worth trying to see how rates compare from provider to provider.

Get a free quote comparison by clicking here.


And finally, NetQuote is service that provides quotes from local agents in your neighborhood or town, who often compete to try and get you the best rate. Also worth a try if you want to compare additional quotes.

More NJ car insurance help

Need help designing your NJ car insurance policy? Read our guide to setting safe and reasonable car insurance coverage levels. It contains many money-saving tips, too.

To find out more about NJ auto insurance laws and regulations, visit the state's official website of the New Jersey Department of Banking and Insurance.

Want to learn even more?

Take our quick auto insurance course, and learn the step-by-step to get the most out of your auto insurance policy for the least amount money.

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