It is a highly popular and nice place but one of the most expensive places to live in the country too. Drivers can benefit from a few tips on how to get affordable auto insurance in the Garden State because it has one of the most expensive premiums in the US. You have a better chance of reducing them when they are pretty steep. Any money saved can be channelled to other household bills and perhaps some for pleasure as well.
Uninsured Drivers (11%) is below national average. That is probably due to the fact that it is one of the richest states and this reduces driving without coverage due to money issues. You should look into protecting yourself properly with additional options as well as beefing up basic liability limits to more comfortable levels. It is worth reminding that this place probably has more lawyers than anywhere else and many of them would be happy to chase you for the damages you cause to others, once your policy limits are reached.
New Jersey Requirements
Here are the minimum liability car insurance requirements;
- $15,000 for bodily injury or death per person.
- $30,000 total for bodily injury or death per accident.
- $5,000 for property damage.
Official website is the best place to check for the latest changes in the laws and enforcement. There are tough fines and penalties for not having the mandatory cover. You can get hefty fines, license suspensions and vehicle registration suspensions. Also, jail sentence may be on the cards if you cause accidents without a liability policy or for repeat offence. This is another reason why drivers are not taking chances with automobile insurance.
The Garden State is the most densely populated in the US with nearly 9 million residents. This naturally results in road congestion and vehicular crimes that in turn increase average costs. Some zip codes in New Jersey would have higher premiums, especially densely populated and crime-ridden areas. This is generally the case everywhere as well. Larger cities and cosmopolitan residents usually get charged more. In some cases they may have to pay twice more than the suburban drivers.
Being a good driver with no traffic violation conviction or claim will certainly help you find affordable quotes. If you are facing stiff rates because you live in a densely populated zip code there are a few things you could do to reduce city vehicle insurance rates. You should have a quick look at these tips to see if any of them will apply to you.
Generally there are a few ways of reducing premiums regardless of age, gender, zip code and experience. There are a few more discounts for things like having a good credit score, paying in full or travelling fewer miles. It would be nice not to wait a few years until prices start coming down due to clean history. Knowing a few things about workings of policies, factors influencing quote calculations, and ways of getting the best rates will put you in a much better position.
Perhaps these will change the way you look at getting better policies and affordable prices. You will see that rates are not black and white anymore. Ask around how many of your friends and colleagues know that they can save around twenty percent by having good credit score? These savings will be extra appreciated when you are struggling to pay the premium as a result of recent accident, claim, ticket or move. Have a good look at the renewal terms next time and see if you can improve coverage and reduce prices with another company.
Recent price increases here placed it within the top three most expensive states. Probably high number of accidents due to congestion is to blame for this recent surge in costs. Other factors to blame are soaring medical bills, large numbers of auto and medical fraud along with the litigious nature of the residents. New Jersey allows up to $250,000 Personal Injury Protection coverage, which is the second highest after Michigan. Elevated numbers of PIP frauds have the affect of increasing costs for everyone.
Average cost can be described as premium spending per vehicle and it is $1,254 in New Jersey that makes it the most expensive state in the US. It is $413 (49%) higher than the US median figure. This figure suggests that no matter what type of policy you buy here you will pay more than anywhere else because median spending includes all of them.
The story is not much different when it comes to full coverage vehicle insurance, as the average quotes came in at $1,905, which is 44% higher than the country average. Both numbers put NJ firmly in the most expensive car insurance states club.
When the external factors like this play a key role in pushing the rates up you have very little control over them. Then, you really need to work hard to get the maximum relief through discounts you can qualify and this can only be achieved by finding a carrier that will be happy with the risks you bring on the table.
Affordable Auto Insurance Companies in New Jersey
There is not much an individual policyholder can do about the external factors. However, premium burdens can be reduced by finding the most competitive underwriters because they can save you as much as 80% in comparison to an indifferent one. In other words, you would spend 4 years worth of premium in just one year if you end up with the most expensive one. Don’t you think you need to make sure this doesn’t happen by checking competing quotes from different companies?
- AAA, $1,187
- NJ Skylands, $1,213
- Farmers, $1,301
The prices across the cities are widely spread on both sides of the state average. Generally, the larger and more densely populated a city, such as Newark, the higher motorists need to spend on policies. The difference in the costs of insuring automobiles between the cheapest city (Hillsborough) and the most expensive city (Newark) can be as much as $1,200 on average. So, where you live influences rates much more than most people realize and this is heightened in places like here.