The Easiest Way to Compare NJ Auto Insurance

by Kanopy Insurance


It’s sitting in the showroom: Your dream car. You’ve haggled the dealer down to the lowest sticker price possible, and you know how much you can afford to pay per month for your car loan. But before you “sign and drive,” don’t forget to factor NJ auto insurance costs into your budget. ️

Where can you find the best prices on car insurance? And how do you compare auto insurance policies?

All car insurance is not the same, and if you know how to compare NJ auto insurance quotes, you can get the coverage you need and save money —which is kind of like finding a front row parking spot at the Palisades Mall during the holiday season. Total happiness.


3 Important Takeaways to Guide You When Choosing NJ Auto Insurance

Auto insurance is mandatory in New Jersey, but beyond a “basic” policy, which covers property damage liability up to $5,000 and personal injury protection up to $15,000 per person, per accident, coverage varies widely.

Let’s face it, not every driver has the same needs. It’s important to balance your preferences with your auto insurance budget when you shop for a policy.

1. What Matters Most to You?

Is it most important to save money with a basic policy? Or are you looking for more out of your NJ auto insurance? A standard policy offers enhanced coverage, higher coverage limits, and more bells and whistles so that you can take that Labor Day weekend trip to the shore with greater peace-of-mind.

Whatever type of policy you choose here are some questions to ask yourself:

  • Can you pay in one lump sum annually or every six months?
  • Or do you need a payment plan to make smaller monthly payments?
  • Do you want the capability to pay bills online or by phone?
  • How important is good customer service if you get into an accident?
  • Do you want a 24/7 phone number for claims, or the ability to file a claim online?
  • Do you want features like roadside assistance or rental car insurance?
  • Do you want a company that can write an umbrella policy, saving you money by bundling auto and home insurance in one?

It might seem like a no-brainer to want an insurance company with an exemplary customer service record, but it might be more important that you save money on your insurance. Take heart: You can find good customer service and affordable rates once you know how to compare quotes.

2. What Coverage Is Most Important to You?

NJ auto insurance policies offer different types of coverage, including:

  • Bodily injury liability (for people injured in an accident caused by the insured)
  • Property damage liability (for vehicles and other property damaged in an accident caused by the insured)
  • Personal injury protection (for injuries to drivers or passengers in your vehicle)
  • Uninsured/Underinsured Motorist Coverage (to cover injuries or property damage in an accident caused by an uninsured driver)
  • Collision (Coverage for damage to the vehicle as the result of a collision with an object or another vehicle)
  • Comprehensive (this policy covers any damage to your vehicle, as well as theft or vandalism)

If you have good healthcare coverage you may not need uninsured motorist’s coverage and you may be able to get a smaller coverage limit on your personal injury protection. If you have an older car, you might not need collision or comprehensive coverage.

3. How Much Do You Want to Pay?

Ultimately, you might want the highest coverage levels available on a comprehensive policy, especially if you are behind the wheel of a brand new car. In reality, your decision may be driven by how much you can afford.

You could lower your NJ auto insurance rates by:

  • Increasing your deductible
  • Reducing your coverage limits
  • Paying up front
  • Bundling home and auto insurance together in an umbrella policy
  • Taking a defensive driving course
  • Having a good driving record or good grades
  • Purchasing a vehicle with added safety features or anti-theft device


How to Compare NJ Auto Insurance Quotes

When you compare NJ auto insurance quotes, make sure you are comparing the same coverage options—that is, what’s covered—and the coverage limits—that is, the maximum amount the insurance company will pay out. That’s the only way you’ll know which insurance policy is a better deal.

Let's compare the cheapest NJ auto insurance quotes for a 39-year old married female homeowner driving a 2016 Honda Accord with a clean driving record: 

City Insurance Carrier Cost Per Month
Newark Allstate $113
Jersey City Penn National $110
Atlantic City Penn National $105
Princeton Allstate $60
Hoboken Penn National $110

Be sure to ask about discounts and take those discounts into consideration when you compare premiums.

Here's a comparison of the cheapest NJ auto insurance for young drivers (early 20's):

City Insurance Carrier Cost Per Month
Newark Penn National $158
Jersey City  Penn National $149
Atlantic City  Allstate $100
Princeton  Allstate $85
Hoboken  Penn National $149

Now, let's compare the cheapest NJ auto insurance for retired drivers (early 60's):

City Insurance Carrier Cost Per Month
Newark Penn National $108
Jersey City Penn National $104
Atlantic City Penn National $100
Princeton Allstate $62
Hoboken Penn National $104

Consider Company Complaints and the Consumer Track Record

Beyond pricing and coverage, compare NJ auto insurance companies based on their level of service. Fortunately, it’s easy to research this information at the National Association of Insurance Commissioners' Consumer Information Source. This site lists each insurance company’s “complaint ratio,” or the number of complaints compared to the number of people insured. It stands to reason that larger companies may have more complaints than smaller companies; the ratio ensures a fair comparison.

You can also check the Consumer Reports survey of insurance agencies, read online reviews, and ask friends and family who they use and if they’ve ever had a problem with their company.

The most frequent customer complaints relate to delays in handling claims, denials of claims, and unsatisfactory settlement offers, so make sure to look for a company that performs well in these areas. When something goes wrong, you want your company to process the claim quickly and fairly to get you back on the road fast.

Questions about Comparing NJ Auto Insurance Quotes

The most important thing to remember when you compare NJ auto insurance quotes is to balance your budget, your coverage needs, and the insurance company’s reputation. There’s no need to compromise. Once you know what questions to ask, you can compare NJ auto insurance quotes and find the policy that’s right for you.

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