10 Best Auto Insurance Companies in New Jersey for 2025
Erie, State Farm, and Geico are the best auto insurance companies in New Jersey. Rates start at just $32 a month with Erie, which also has high claims satisfaction. New Jersey is an at-fault insurance state, and drivers must carry PIP and UM/UIM, which raises NJ car insurance rates higher than in other states.
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Insurance and Finance Writer
Alexandra Arcand is an outreach administrator and insurance expert located in North Central Ohio. She has a passion for writing, investing, and education. As an insurance content writer for over three years, Alexandra has first-hand experience in business finance, economics, and real estate. She leads an outreach writing team that specializes in travel, real estate, healthcare, law, finance, an...
Alexandra Arcand
Head of Content
Meggan McCain, Head of Content, has been a professional writer and editor for over a decade. She leads the in-house content team at Quote.com. With three years dedicated to the insurance industry, Meggan combines her editorial expertise and passion for writing to help readers better understand complex insurance topics. As a content team manager, Meggan sets the tone for excellence by guiding c...
Meggan McCain
Licensed Insurance Agent
Brad Larson has been in the insurance industry for over 16 years. He specializes in helping clients navigate the claims process, with a particular emphasis on coverage analysis. He received his bachelor’s degree from the University of Utah in Political Science. He also holds an Associate in Claims (AIC) and Associate in General Insurance (AINS) designations, as well as a Utah Property and Casual...
Brad Larson
Updated October 2025
The best auto insurance companies in New Jersey are Erie, State Farm, and Geico. Erie is the top choice for strong claims satisfaction and affordable coverage starting at $32 per month.
- Erie has the cheapest NJ auto insurance at $32 a month
- Geico and Erie have the cheapest full coverage insurance in NJ
- New Jersey drivers must carry PIP and UM/UIM coverage
State Farm is a good pick for drivers who want local agent support, while Geico is known for cheap rates and low deductibles.
Since rates change by age, driving record, and coverage level, comparing quotes is the best way to save. Browse more success stories from people who got auto insurance right for more ways to save in NJ.
Top 10 Companies: Best Auto Insurance in New Jersey| Company | Rank | Claims Satisfaction | A.M. Best | Best for | Jump to Pros/Cons |
|---|---|---|---|---|---|
 | #1 | 706 / 1,000 | A+ | Filing Claims | Erie |
 | #2 | 673 / 1,000 | A++ | Local Agents | State Farm |
 | #3 | 643 / 1,000 | A++ | Low Deductibles | Geico |
 | #4 | 636 / 1,000 | A+ | Deductible Savings | Nationwide |
 | #5 | 636 / 1,000 | A | Flexible Policies | Farmers |
 | #6 | 633 / 1,000 | A++ | Safety Features | Travelers |
 | #7 | 632 / 1,000 | A+ | UBI Discount | Allstate |
 | #8 | 632 / 1,000 | A | 24/7 Support | Liberty Mutual |
 | #9 | 625 / 1,000 | A+ | High-Risk Drivers | Progressive |
 | #10 | 618 / 1,000 | A+ | Older Drivers | The Hartford |
To find out if you can get cheaper auto insurance rates, enter your ZIP code into our free quote tool to instantly compare prices from the best car insurance companies near New Jersey.
The Best Auto Insurance Rates in New Jersey
New Jersey drivers face some of the highest premiums in the country, but shopping around shows how much savings are possible.
Erie has the cheapest car insurance in the state at just $32 per month, followed by The Hartford at $61 monthly and Geico at $68 per month.
New Jersey Auto Insurance Monthly Rates by Coverage Level| Insurance Company | Minimum Coverage | Full Coverage |
|---|---|---|
| $144 | $225 |
| $32 | $83 |
| $211 | $330 |
| $68 | $106 |
| $254 | $397 |
| $108 | $169 |
| $85 | $133 |
| $104 | $162 |
| $61 | $161 |
| $124 | $194 |
These plans are a budget-friendly way to meet the state’s insurance requirements, but they may leave you paying more out-of-pocket after an accident. Full coverage plans, while more expensive, provide broader protection and peace of mind.
Erie again leads with the cheapest full coverage car insurance in NJ at $83 per month, while Geico and Progressive also keep costs lower than most competitors.
Full coverage with higher liability limits is a smart choice because of dense traffic and higher accident costs in New Jersey. Minimum coverage may leave you financially exposed after even a minor crash.
Kristen Gryglik Licensed Insurance Agent
This wide range of insurance costs in New Jersey makes it essential to compare providers before deciding. By weighing monthly cost against the level of protection, drivers can find the best car insurance in NJ for both affordability and reliable coverage.
How Age Impacts New Jersey Insurance Rates
Car insurance rates in New Jersey drop significantly with age, with teen drivers facing the steepest costs.
Farmers charges the highest premium for 16-year-olds at $1,183 per month, while Erie is the cheapest for young drivers at $136.
New Jersey Auto Insurance Monthly Rates by Age| Insurance Company | Age: 16 | Age: 25 | Age: 35 | Age: 45 | Age: 55 | Age: 65 |
|---|---|---|---|---|---|---|
| $632 | $178 | $161 | $144 | $136 | $141 |
| $136 | $338 | $35 | $32 | $35 | $31 |
| $1,183 | $267 | $239 | $211 | $200 | $208 |
| $178 | $88 | $78 | $68 | $64 | $67 |
| $919 | $321 | $288 | $254 | $240 | $250 |
| $482 | $140 | $124 | $108 | $103 | $107 |
| $850 | $110 | $98 | $85 | $80 | $84 |
| $574 | $136 | $120 | $104 | $97 | $101 |
| $335 | $77 | $69 | $61 | $57 | $59 |
| $391 | $128 | $126 | $124 | $117 | $123 |
By age 25, rates fall sharply, with Geico offering coverage for just $88 a month compared to Liberty Mutual at $321 per month. Mid-age drivers see the best savings, with Erie leading again at $32–$35 per month between ages 35 and 55.
Older drivers also benefit from shopping with Erie, which keeps rates around $31–$59 a month for seniors with good driving history.
Read More: Cheap Auto Insurance for Seniors
How Driving History Impacts New Jersey Auto Insurance Rates
Your driving record has a big effect on what you pay for car insurance in New Jersey. Erie offers cheap auto insurance for high-risk drivers across the board.
Erie is the cheapest for drivers with a clean record at just $32 per month, and it stays low even after violations, with a DUI raising monthly premiums only to $60.
New Jersey Auto Insurance Monthly Rates by Driving Record| Insurance Company | Clean Record | One Accident | One DUI | One Ticket |
|---|---|---|---|---|
| $144 | $233 | $205 | $173 |
| $32 | $45 | $60 | $38 |
| $211 | $397 | $321 | $235 |
| $68 | $98 | $146 | $67 |
| $254 | $318 | $254 | $254 |
| $108 | $153 | $224 | $130 |
| $85 | $140 | $107 | $111 |
| $104 | $163 | $380 | $148 |
| $61 | $89 | $93 | $74 |
| $124 | $197 | $187 | $168 |
In contrast, companies like State Farm and Farmers impose steep penalties, with DUI rates jumping to $380 and $321 per month, respectively.
For drivers with violations, comparing the top auto insurance companies in New Jersey is essential to avoid paying hundreds more each month. Even a single accident or ticket can push premiums up by more than 30% at most insurers.
Why New Jersey Auto Insurance Rates Vary by City
NJ auto insurance costs vary widely by city, with monthly averages ranging from around $70 a month to more than $300 in higher-risk regions.
Cities in the northern part of the state, such as Newark, Jersey City, and surrounding urban centers, generally face higher premiums due to dense traffic, higher accident frequency, and theft risk.
Meanwhile, smaller towns in the south, such as Vineland, Millville, and Salem, often have much lower costs, closer to the $70 range.
A combination of traffic density and weather risks makes New Jersey one of the worst states for filing auto insurance claims. That’s why coastal areas like Wildwood and Seaside Park can also be more expensive since storms and tourist traffic add extra risk.
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Meeting New Jersey Auto Insurance Requirements
New Jersey law requires all drivers to carry at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.
Because New Jersey is a no-fault state, drivers must also have personal injury protection (PIP) with a minimum of $15,000 per person to cover medical expenses regardless of fault.
Policies also require 25/50/20 in uninsured/underinsured motorist (UM/UIM) coverage, which protects drivers if they are hit by someone without insurance.
Drivers in NJ can choose between a basic policy or a standard policy, with the standard option offering higher coverage limits and more flexibility under New Jersey auto insurance limits.
The best way to choose auto insurance coverage in New Jersey is to match your liability limits to the value of your assets and raise PIP if your health insurance has gaps.
Jimmy McMillan Licensed Insurance Agent
Failing to carry the required insurance can result in heavy penalties. Since accident costs often exceed minimum limits, many NJ drivers choose higher coverage for better protection.
New Jersey Auto Insurance Policy Options
While meeting the minimum keeps you legal, most drivers add extra coverage for stronger protection. Some of the most common options include:
- Collision Coverage: Collision auto insurance covers repairs to your car after an at-fault accident on New Jersey roads, where traffic density often raises crash risks.
- Comprehensive Coverage: Comprehensive auto insurance pays for damage from theft, flooding, or storm-related events, which are common in coastal and urban areas of NJ.
- Higher PIP Limits: Provides more protection for medical bills in New Jersey, where healthcare costs can quickly exceed the $15,000 minimum.
- Gap Insurance: Gap insurance helps NJ drivers cover the difference between a car loan balance and the car’s value after a total loss.
- Roadside Assistance: Useful for New Jersey drivers dealing with heavy traffic or long commutes, offering towing and emergency support.
Choosing more than the minimum insurance in New Jersey can help cover big repair or medical bills after an accident. Adding extra protection gives drivers more peace of mind and financial security on the road.
Ways to Save on Auto Insurance in New Jersey
Lowering car insurance costs in New Jersey isn’t just about discounts — how you manage your coverage and driving habits also plays a big role. These strategies can help drivers cut costs without sacrificing important protection.
- Choose the Right Policy Type: New Jersey drivers can pick a basic or standard policy. The basic option has lower limits but may work for budget-focused drivers.
- Limit Unnecessary Coverage: If you drive an older car, skipping extras like collision or gap coverage can prevent paying more than the car’s worth.
- Keep Mileage Low: Insurers in New Jersey often charge less if you don’t drive as much, so using public transit or carpooling can lower rates.
- Improve Your Credit Score: Since New Jersey insurers factor in credit, building and maintaining good credit can lead to lower premiums.
- Review Your Policy Regularly: Life changes such as moving to a different city, paying off a car loan, or adding a driver can all affect your rates, making it smart to re-check coverage needs.
Along with these strategies, qualifying for company discounts makes coverage even more affordable in New Jersey. Nationwide offers the biggest good driver discount at 40% (Learn More: Best Good Driver Auto Insurance Discounts).
Liberty Mutual leads with 35% off for anti-theft devices, while Geico consistently offers 25% savings across multiple categories. Progressive gives drivers a unique option with an annual telematics program for $231 per year, which can be a cost-saver for low-mileage drivers.
Top Auto Insurance Discounts in New Jersey| Insurance Company | Anti- Theft | Bundling | Good Driver | Multi- Vehicle | Usage- Based |
|---|---|---|---|---|---|
| 10% | 25% | 25% | 25% | 30% |
| 15% | 25% | 23% | 10% | 30% |
| 10% | 20% | 30% | 20% | 30% |
| 25% | 25% | 26% | 25% | 25% |
| 35% | 25% | 20% | 25% | 30% |
| 5% | 20% | 40% | 12% | 40% |
| 25% | 10% | 30% | 12% | $231/yr |
| 15% | 17% | 25% | 20% | 30% |
| 10% | 5% | 15% | 10% | 20% |
| 15% | 13% | 10% | 25% | 30% |
Families may see strong value from Allstate and Erie, where bundling auto and home policies can trim costs by up to 25%. These discounts show that saving is more than comparing prices.
New Jersey drivers who drive safely and make smart policy choices can lower their insurance costs over time when choosing from our top ten list of auto insurance companies in New Jersey.
10 Best Auto Insurance Companies in New Jersey
When you buy auto insurance in New Jersey, it’s important to check multiple auto insurance quotes from both large and regional providers. This gives you the chance to find the best car insurance rates in New Jersey with the coverage you need.
Many New Jersey drivers turn to smaller insurers for flexible coverage and more personal service, showing that size alone doesn’t make a company the right fit.
Geico leads with 29% of the market, making it the largest provider in the state, while State Farm holds a strong second place with 24%. Progressive and NJM follow closely at 17% and 16%, with Allstate rounding out the top five at 14%.
Erie may not be one of the top five auto insurance companies in NJ, but it has higher customer service ratings and claim satisfaction scores than any other company on this list. Use our free comparison tool to see which provider is best near you.
#1 – Erie: Top Pick Overall
Pros
- Claims Satisfaction: Erie scores 706/1,000 in NJ, leading the state for easy claims handling.
- Lowest Premiums: Erie offers the cheapest minimum coverage in New Jersey at $32 per month. Explore savings and features in our Erie insurance review.
- Consistent Rates Across Profiles: Erie’s NJ rates stay low for teens, seniors, or high-risk drivers. Minimum coverage is just $32 a month, while DUI coverage is only $60 a month.
Cons
- Limited Availability: Erie’s NJ policies are only offered in certain areas, limiting access compared to larger insurers.
- Fewer Online Tools: Digital and mobile features for Erie in New Jersey aren’t as advanced as Geico or Progressive.
#2 – State Farm: Best for Local Agent
Pros
- Local Agents: State Farm is best in NJ for drivers who want in-person help, with strong agent availability and rates at $104 per month for minimum coverage.
- Trusted Service: With an A++ rating, State Farm maintains reliable financial strength for New Jersey policyholders. See more ratings in our State Farm auto insurance review.
- Teen and Family Coverage: State Farm offers competitive NJ discounts for young drivers, keeping teen rates lower than many competitors.
Cons
- DUI Costs: A DUI in New Jersey raises State Farm’s minimum coverage rate from $104 to $380 per month, one of the steepest increases in the state.
- Higher Premiums for Some Profiles: NJ seniors may find better savings with The Hartford or Erie compared to State Farm’s $101 per month senior rates.
#3 – Geico: Best for Young Drivers
Pros
- Good for Young Drivers: At $178 per month for 16-year-olds, Geico offers some of the lowest NJ teen rates outside of Erie.
- Affordable Rates: Geico’s minimum coverage in NJ averages $68 per month, ranking it among the cheapest insurers. Get everything you need to know about Geico in our review.
- Low Deductible Options: Geico’s policies in New Jersey give drivers flexibility to select lower deductibles without drastically raising premiums.
Cons
- Claims Score: Geico’s claims satisfaction is 643/1,000 in New Jersey, trailing Erie and State Farm.
- Senior Driver Costs: Seniors in NJ pay $67 per month with Geico, which is higher than Erie’s $31 per month senior rate.
#4 – Nationwide: Best for Deductible Rewards
Pros
- Deductible Rewards: Nationwide’s NJ drivers save over time with its Deductible Savings program, plus minimum coverage starts at $108 per month.
- Safe Driver Discount: Nationwide offers up to 40% off for good drivers in NJ, the highest in the state. Our Nationwide Insurance review explains key policy features.
- Balanced Coverage: At $108 a month, Nationwide’s NJ rates sit between cheap providers like Erie and higher-cost insurers like Liberty Mutual.
Cons
- Teen Rates: At $482 a month for 16-year-olds, Nationwide’s NJ teen pricing is higher than Geico or Erie.
- Limited Agent Network: NJ drivers may not find the same level of in-person support as State Farm.
#5 – Farmers: Best for Flexible Policies
Pros
- Flexible Policies: Farmers allows New Jersey drivers to customize coverage to match unique needs, with minimum coverage at $211 a month.
- Strong Discounts: NJ drivers can access up to 30% off for safe driving. Find everything you need to know about Farmers Insurance.
- Good for Families: Farmers’ NJ multi-vehicle discount helps larger families save on policies that otherwise start at higher rates.
Cons
- High Base Rates: Farmers charges $211 a month for minimum coverage in New Jersey, one of the highest in the state.
- Teen Premiums: At $1,183 per month for 16-year-olds, Farmers is the most expensive NJ option for teen drivers.
#6 – Travelers: Best for Safety Features
Pros
- Safety Discounts: Travelers rewards New Jersey drivers with up to 30% off for vehicles equipped with safety features, with minimum coverage at $124 a month.
- Stable Pricing: NJ drivers see steady costs across age groups, with 25-year-olds paying just $128 per month. See what stands out in our expert Travelers auto insurance review.
- Strong Financials: Travelers holds an A++ A.M. Best rating, showing long-term security for New Jersey policyholders.
Cons
- Claims Score: At 633/1,000, Travelers’ NJ claims satisfaction is below Erie and State Farm.
- Higher Cost: Travelers’ $124 per month minimum coverage is above the NJ average, making it less competitive for budget shoppers.
#7 – Allstate: Best for UBI Discounts
Pros
- Drivewise Program: Allstate’s usage-based program in NJ can cut costs by up to 30%, while the base minimum coverage starts at $144 per month.
- Bundling Discounts: NJ drivers can save up to 25% when combining auto with home or renters insurance. Learn about policy benefits in our Allstate auto insurance review.
- Local Agent Presence: With 14% of the NJ car insurance market share, Allstate has strong agent access statewide.
Cons
- Teen Premiums: At $632 per month for a 16-year-old, Allstate is much higher than Geico or Erie in New Jersey.
- Higher Base Rates: Minimum coverage at $144 per month in NJ is more expensive than several competitors.
#8 – Liberty Mutual: Best for 24/7 Support
Pros
- Round-the-Clock Service: Liberty Mutual is best in New Jersey for 24/7 claims and support, with minimum coverage at $254 per month.
- Anti-Theft Discount: NJ drivers can save up to 35% with Liberty Mutual’s anti-theft program. Explore full details in our Liberty Mutual auto insurance review.
- Coverage Variety: Liberty Mutual provides flexible NJ policy options with add-ons like roadside assistance and accident forgiveness.
Cons
- High Cost: Liberty Mutual’s minimum coverage is $254 per month in NJ, among the state’s most expensive.
- Teen Rates: At $919 per month, Liberty Mutual’s NJ teen premiums are much higher than competitors.
#9 – Progressive: Best for High-Risk Drivers
Pros
- High-Risk Coverage: Progressive is a top choice for NJ drivers with violations, offering minimum coverage at $85 a month for clean records.
- Telematics Savings: NJ drivers can use Progressive’s Snapshot app to lower premiums, with base rates starting at $85 a month.
- Flexible Coverage: Progressive gives NJ high-risk drivers affordable DUI rates at $107 a month, far below State Farm’s $380 a month.
Cons
- Teen Premiums: Progressive charges $850 a month for 16-year-olds in NJ. Get more quotes in our guide to everything you need to know about Progressive insurance.
- Claims Satisfaction: Progressive’s NJ claims satisfaction score of 625/1,000 is lower than Erie, State Farm, and Geico.
#10 – The Hartford: Best for Older Drivers
Pros
- Senior Savings: The Hartford is best for older NJ drivers, with rates as low as $31 a month for seniors. See more details in our The Hartford insurance review.
- Solid Value: Minimum coverage starts at $61 a month in New Jersey, keeping it competitive for many drivers.
- Partnerships With AARP: The Hartford’s NJ plans often come with added benefits for older members seeking tailored coverage.
Cons
- Limited Young Driver Benefits: The Hartford charges $335 a month for teen drivers in NJ, much higher than Erie or Geico.
- Digital Tools: Compared to Geico or Progressive, The Hartford’s NJ online and mobile tools are less advanced.
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How to Choose the Best Insurance Company in New Jersey
To find the best car insurance in New Jersey, start by comparing prices from several providers since rates can vary a lot. Think about your driving record, age, and the type of car you own because these factors affect which company may be the most affordable.
Look at customer service and claim satisfaction, not just the price. Avcheap policy isn’t helpful if the company is hard to work with. The best auto insurance companies in New Jersey are Erie and State Farm for their high customer satisfaction ratings.
It also helps to check what extra options each company offers, like accident forgiveness, roadside assistance, or telematics programs for safe drivers. If you want personal support, a company with many local agents like State Farm might be the best fit.
If low monthly costs are your top goal, Erie or Geico may be better choices. Taking time to compare insurance quotes will help you choose the NJ car insurance company that matches your needs and budget.
Get fast and cheap auto insurance coverage today with our quote comparison tool.
Frequently Asked Questions
What are the best auto insurance companies in New Jersey?
The best car insurance companies in New Jersey are Erie, State Farm, and Geico. Erie offers the lowest minimum coverage rate at $32 per month, State Farm is known for its large network of local agents, and Geico is popular for affordable premiums and low deductibles. Compare State Farm vs Farmers, Geico, Progressive, and Allstate auto insurance to learn more.
How can I find the best auto insurance company in New Jersey?
Compare quotes from multiple providers, check claims satisfaction ratings, and review coverage options to find the New Jersey auto insurance companies that offer great deals. Erie is best for cheap rates, State Farm is ideal for local agent support, and Geico works well for affordable deductibles.
How much is the average cost of auto insurance in New Jersey?
The average cost of car insurance in New Jersey depends on coverage. Minimum coverage can be as low as $32 per month with Erie, while full coverage averages around $194 per month with Travelers or higher with companies like Liberty Mutual.
Which company has the cheapest auto insurance in New Jersey?
Erie has the cheapest auto insurance in New Jersey, with minimum coverage rates starting at $32 per month. Geico and The Hartford also offer affordable minimum coverage options at $68 and $61 per month.
What are the minimum auto insurance requirements in New Jersey?
New Jersey auto insurance requirements are $25,000 per person and $50,000 per accident in bodily injury liability auto insurance, $25,000 in property damage liability, $15,000 in personal injury protection (PIP), and uninsured/underinsured motorist coverage equal to liability limits.
What is the recommended auto insurance coverage in NJ?
Most experts recommend that New Jersey drivers carry full coverage and increase liability limits to $100,000 per person and $300,000 per accident.
How do age and driving experience affect auto insurance rates in New Jersey?
Young drivers in New Jersey pay the highest rates, with 16-year-olds facing premiums over $1,100 per month at some companies. Rates drop significantly by age 25, and middle-aged drivers typically see the lowest premiums. Seniors often get competitive rates with The Hartford and Erie.
How does a driving record impact auto insurance costs in New Jersey?
A clean driving record keeps costs low in New Jersey. For example, Erie charges $32 per month for drivers with no violations, but even one accident can raise the rate to $45. A DUI causes the sharpest New Jersey auto insurance increase, with some companies charging over $300 per month.
Is full coverage auto insurance worth it in New Jersey?
Full coverage is often worth it for newer or financed vehicles in New Jersey, since it includes collision and comprehensive protection. Erie offers the lowest full coverage at $83 per month, while Liberty Mutual’s full coverage can cost nearly $400 per month.
Read More: Liability vs. Full Coverage Auto Insurance
What are the top 5 auto insurance companies in New Jersey?
The top five auto insurance companies in NJ are Erie, State Farm, Geico, Nationwide, and Farmers.
What discounts are available for NJ auto insurance?
Which company is best for high-risk drivers in New Jersey?
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