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Car insurance · rank #43 of 51 · July 2026

Average car insurance cost in New Jersey

New Jersey is one of the most expensive places in America to insure a car, ranking #43 of 51. The average driver here pays about 20% more than the national average — an extra $492 a year for the same coverage a driver in a cheaper state gets for less.

Full coverage, monthly$249 +20% vs US avg
Full coverage, annual$2,988
Minimum liability, monthly$137
Minimum liability, annual$1,644
U.S. average (full coverage)$208/mo
New Jersey vs U.S. average+$492/yr
Fault systemNo-fault (PIP)
Cost rank (1 = cheapest)#43 / 51
Paying more than the New Jersey average?

The single most reliable way to cut your premium is comparing quotes — the gap between the cheapest and priciest carrier for the same coverage regularly exceeds $1,000 a year.

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How New Jersey compares with its neighbors

Crossing a state line changes your premium more than almost any other single factor. Here's full coverage in New Jersey next to nearby states:

StateFull coverage /moDifference vs NJ
New Jersey$249
New York$226$23/mo
Pennsylvania$198$51/mo
Delaware$302+$53/mo

New Jersey car insurance FAQ

How much is car insurance in New Jersey?

Full-coverage car insurance in New Jersey averages $249 per month ($2,988 per year). A state-minimum liability policy averages $137 per month ($1,644 per year). Your own rate depends on your age, record, vehicle, credit and ZIP code.

Is car insurance in New Jersey more expensive than average?

Yes. New Jersey's full-coverage average of $249/month is about 20% above the U.S. average of $208/month, ranking #43 of 51 (1 = cheapest).

Is New Jersey a no-fault state?

Yes. New Jersey uses a no-fault system, meaning drivers carry personal injury protection (PIP) and file injury claims with their own insurer regardless of who caused the accident. No-fault requirements are one reason premiums here run higher.

How much cheaper is minimum coverage in New Jersey?

Minimum liability in New Jersey averages $137/month versus $249/month for full coverage — a gap of $112/month, or $1,344/year. Minimum coverage only pays for damage you cause to others; it will not repair or replace your own car.

Paying more than the New Jersey average?

The single most reliable way to cut your premium is comparing quotes — the gap between the cheapest and priciest carrier for the same coverage regularly exceeds $1,000 a year.

Compare car insurance quotes

We may earn a commission if you request quotes through this link. It costs you nothing and never affects the data we publish.