New Jersey City, New Jersey is on the cusp of New York City and a large proportion of residents tend to commute into the big city for work. This has two effects, one that almost half of all residents in the state do not even own cars, and the other is that everyone is in a hurry to get someplace. Finding the cheapest auto insurance in New Jersey City, New Jersey is possible if you follow the advice given below.
New Jersey’s High Rates
High auto insurance rates have been the norm in New Jersey and New Jersey City for almost a decade. The state has a unique hybrid choice fault system that also leads to confusion. New Jersey drivers have the option of choosing which insurance type they want on their vehicles; either traditional tort-style insurance or a no fault system with Personal Injury Protection (PIP) insurance requirements.
In either system there are examples of high insurance rates, such as the tort-style of Louisiana which is known as a very litigious state and therefore higher insurance rates or the PIP no fault system of Michigan that offers lifetime medical and wage loss protections. Also in a no fault insurance system, fraudulent claims pay a larger part than in a traditional tort system. These fraudulent claims raise the prices for every driver and are also the case in New Jersey. Yet, the largest factor for insurance premiums in New Jersey City and the state is the fact that the entire state is listed as an urban area. Urban areas generally carry higher premiums due to higher crime rates such as higher auto thefts as well as higher accident rates due to traffic volumes and congestion. Getting a cheaper auto insurance premium will require preparation.
Being Prepared for Quotes
One of the main aspects of getting cheap auto insurance in New Jersey City is being prepared and aligning your choices with results that will enable a cheaper quote. The main parts of an auto premium that decides its pricing include the quality of the vehicle’s safety features, a clean driving record without infractions, a good credit score, a vehicle that is not in the state or national top ten most stolen lists, a good GPA if you are in school, living in a low crime neighborhood and asking for potential discounts that fit your lifestyle.
Owning a vehicle provides great opportunities for adventure yet requires constant vigilance in many areas of your life in order to keep the costs of insurance under control. The other way to help reduce your costs includes getting discounts such as an affinity program for corporate auto plans, sororities or fraternities, discounts for collision avoidance safety features, low mileage discounts, professional discounts for certain careers and others. Also ensure that you get at least 5 to 10 quotes from local, regional and national insurers to be able to accurately assess your options.
The Cheapest Auto Insurance in New Jersey City, NJ
New Jersey City is the second most populous in the state, yet ranks 11th most expensive for auto insurance just over the state average.
Who is the Cheapest in New Jersey City?
According to ValuePenguin’s most recent surveys the cheapest company for auto insurance in New Jersey City depends on your demographic. For a single male driver the cheapest insurer was Norfolk & Dedham at just $1,291, whereas for a married couple Norfolk & Dedham was $2,099. New Jersey Skylands at $1,301 and Farmers at $1,634 were the next two cheapest for a single male driver in the city. Whereas for a married couple Farmers at $1,502 was the cheapest and New Jersey Skylands was second at $1,698. The overall average cheapest insurers in New Jersey City were NJ Skylands at $1,305, Farmers at $1,403 and Norfolk & Dedham at $1,487. These rates were up to 58% cheaper than the average in New Jersey City and the overall range was from $1036 to a high of $4,901.
Average Cheapest Insurer in New Jersey
As the third most expensive auto insurance state in the country, finding insurance that is 75% cheaper than the industry’s highest quote can make a huge difference on your financials. In New Jersey the range between low and high quotes can be very significant for certain demographics. Besides the three mentioned for New Jersey City, you may also want to get quotes from AAA (membership required) with a state low average of just $1,187, Plymouth Rock in fifth at $1,488 or Teachers Auto at $1,516 all of which are still lower than New Jersey City’s average rate of $2,439.
Even though getting insurance in New Jersey City may be a chore, putting in a little time before you get a quote can save you thousands of dollars a year.