Where You Live in New Jersey Can Lead to Higher Car Insurance Costs

In this study, we examined 99 places in New Jersey to see where the most and least expensive auto insurance was located. In the Garden State, your city plays a big role in how much you may pay for car insurance. Cities less than an hour drive from one another ranged in price by over 86%. Overall, we found the statewide average to be $2,551 for our sample driver, with the most expensive town being 37% above the state average, and the most affordable being 26% under the state average.

Table of Contents

Most Expensive Cities in New Jersey

  • Newark

    • Yearly Rate: $3,487
    • % Difference from State Average: 37%
  • Irvington

    • Yearly Rate: $3,487
    • % Difference from State Average: 37%
  • Passaic

    • Yearly Rate: $3,427
    • % Difference from State Average: 34%
  • East Orange

    • Yearly Rate: $3,420
    • % Difference from State Average: 34%
  • Orange

    • Yearly Rate: $3,420
    • % Difference from State Average: 34%

The five most expensive cities are located within 26 miles of one another, coming either from Essex or Passaic counties. The title of 'most expensive city' is actually shared by both Newark and Irvington, which are only separated by a two mile drive down Springfield Ave. Overall, the five cities were about 37% above the state average. Our sample driver paid roughly $3,448 per year. Compared to most expensive cities in neighboring New York and Pennsylvania, New Jersey's most expensive cities were 31% and 74% more expensive.

Least Expensive Cities in New Jersey

  • Point Pleasant Beach

    • Yearly Rate: $1,876
    • % Difference from State Average: -26%
  • Basking Ridge

    • Yearly Rate: $1,877
    • % Difference from State Average: -26%
  • Randolph

    • Yearly Rate: $1,908
    • % Difference from State Average: -25%
  • Hillsborough

    • Yearly Rate: $1,908
    • % Difference from State Average: -25%
  • Morristown

    • Yearly Rate: $1,918
    • % Difference from State Average: -25%

The least expensive places in New Jersey come mostly from the mid-northwestern part of the state, mainly from Somerset and Morris counties. The main exception is Point Pleasant Beach, the study's least expensive city, located in Ocean County in southern New Jersey. The five cities together were about 26% under the state average with our sample driver paying about $1,902 per year. Compared to the least expensive cities in New York and Pennsylvania, they were 85% and 49% more expensive, respectively.

Western New Jerseyans Tend to Pay Less Than Eastern New Jerseyans

Eastern New Jersey Cities Tend to Cost More

A trend we found was that the further east a city was located within New Jersey, the more it tended to pay yearly. The five most eastern cities, Bergenfield, Englewood, Fort Lee, Long Branch and West New York paid about 30% more than the five most western New Jersey cities in this study.

Western NJ Cities
1Bridgeton$2,474
2Blackwood$2,252
3Sewell$2,207
4West Deptford$2,149
5Phillipsburg$2,006
6Average$2,217
Eastern NJ Cities
1West New York$3,347
2Fort Lee$3,138
3Englewood$2,969
4Bergenfield$2,689
5Long Branch$2,225
6Average$2,874

The Closer to New York City, The More Expensive

Furthermore, Eastern New Jersey cities in the north, as in, those close to New York City, pay even more. We analyzed the 38 most eastern cities in our study, and found the ones closest to New York paid about 45% more than the ones furthest away in western New Jersey. You can see how the cities, sorted by proximity to New York, stack up in the table to the left.

Cities Further From NY
1Bridgeton$2,474
2Blackwood$2,252
3Sewell$2,207
4West Deptford$2,149
5Phillipsburg$2,006
6Average$2,217
Cities Closer to NY
1West New York$3,347
2North Bergen$3,385
3Fort Lee$3,138
4Union City$3,347
5Hoboken$3,151
6Average$3,223

How All Cities in New Jersey Rank for Car Insurance Costs

RankCityYearly RatePercent Difference From Average
1Point Pleasant Beach$1,876-26%
2Basking Ridge$1,877-26%
3Randolph$1,908-25%
4Hillsborough$1,908-25%
5Morristown$1,918-25%
6Bridgewater$1,923-25%
7Flemington$1,940-24%
8Parsippany$2,000-22%
9Middletown$2,003-21%
10Phillipsburg$2,006-21%
11Hackettstown$2,012-21%
12Mahwah$2,025-21%
13Mount Holly$2,111-17%
14Burlington$2,121-17%
15Westwood$2,128-17%
16Princeton$2,133-16%
17Hightstown$2,136-16%
18Vincentown$2,149-16%
19West Deptford$2,149-16%
20Lawrence Township$2,157-15%
21Caldwell$2,172-15%
22Medford$2,189-14%
23Mount Laurel$2,201-14%
24Sewell$2,207-13%
25Cherry Hill$2,212-13%
26Manchester Township$2,219-13%
27Toms River$2,219-13%
28Riverside$2,220-13%
29Brick$2,222-13%
30Freehold$2,223-13%
31Long Branch$2,225-13%
32Marlton$2,227-13%
33Matawan$2,246-12%
34Englishtown$2,249-12%
35Neptune$2,251-12%
36Blackwood$2,252-12%
37Monroe Township$2,252-12%
38Voorhees$2,262-11%
39Asbury Park$2,266-11%
40Howell$2,268-11%
41Wayne$2,277-11%
42Westfield$2,310-9%
43East Brunswick$2,339-8%
44Paramus$2,349-8%
45Edison$2,381-7%
46Livingston$2,384-7%
47Piscataway$2,387-6%
48Somerset$2,387-6%
49Jackson$2,466-3%
50Bridgeton$2,474-3%
51Millville$2,474-3%
52Montclair$2,485-3%
53Old Bridge$2,486-3%
54New Brunswick$2,487-2%
55North Brunswick$2,487-2%
56Egg Harbor Township$2,535-1%
57Mays Landing$2,5400%
58Trenton$2,5500%
59Absecon$2,5651%
60Williamstown$2,5661%
61Little Falls$2,5681%
62Nutley$2,5912%
63Fair Lawn$2,5942%
64Clementon$2,5942%
65Sicklerville$2,5942%
66Teaneck$2,6604%
67Willingboro$2,6715%
68Vineland$2,6795%
69Bergenfield$2,6895%
70Lakewood$2,6926%
71Bloomfield$2,87713%
72Bayonne$2,90314%
73West Orange$2,94215%
74Hackensack$2,94816%
75Englewood$2,96916%
76Lodi$2,97717%
77Plainfield$2,99517%
78Rahway$3,01418%
79Union$3,02819%
80Clifton$3,04019%
81Kearny$3,11422%
82Linden$3,12322%
83Belleville$3,13523%
84Fort Lee$3,13823%
85Hoboken$3,15124%
86Jersey City$3,15124%
87Garfield$3,16524%
88Perth Amboy$3,19625%
89Atlantic City$3,23227%
90Union City$3,34731%
91West New York$3,34731%
92North Bergen$3,38533%
93Elizabeth$3,40233%
94Paterson$3,41934%
95East Orange$3,42034%
96Orange$3,42034%
97Passaic$3,42734%
98Newark$3,48737%
99Irvington$3,48737%

Methodology

We collected quotes from a variety of insurance companies across 99 towns and cities in New Jersey. Our sample driver was a 30 year old male who drove a Toyota Camry. To obtain quotes, we kept parameters for getting coverage the same, such as that he was single, had a good credit score and a clean driving record. The only parameter that changed was the zip code where he lived in New Jersey. The amount of coverage we opted for gave our driver bit more than what is required of state minimums.

Coverage TypeNew Jersey MinimumStudy Limits
Body Liability$15,000 per person/ $30,000 Per Accident$50,000 per person/ $100,000 Per Accident
Property Damage$5,000 Per Accident$50,000 Per Accident
Uninsured/Underinsured Motorist BI$15,000 Per Person/$30,000 Per Accident$50,000 Per Person/ $100,000 Per Accident
Uninsured/Underinsured Motorist PD$5,000 Per Accident$50,000 Per Accident
Personal Injury Protection$15,000$15,000
Comprehensive and CollisionNone$500 Deductible

Comments and Questions

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