One of the more important criteria that aid in calculating insurance cost is where you choose to live. Larger areas will most likely pay more, whereas areas that tend to be more rural have the enjoyment of a little cheaper coverage.
The next table rates the priciest cities in New Jersey for low income drivers to purchase car insurance in. Newark is listed at #2 with an annual cost of $2,496 for car insurance, which is approximately $208 each month.
| Rank | City | Annual Premium |
|---|---|---|
| 1 | East Orange | $2,571 |
| 2 | Newark | $2,496 |
| 3 | West New York | $2,456 |
| 4 | Paterson | $2,400 |
| 5 | Elizabeth | $2,398 |
| 6 | Union City | $2,378 |
| 7 | Clifton | $2,368 |
| 8 | Kearny | $2,335 |
| 9 | Passaic | $2,325 |
| 10 | Hoboken | $2,283 |
| 11 | Jersey City | $2,253 |
| 12 | Bayonne | $2,251 |
| 13 | Camden | $2,199 |
| 14 | Linden | $2,185 |
| 15 | Perth Amboy | $2,165 |
| 16 | Fort Lee | $2,123 |
| 17 | Atlantic City | $2,024 |
| 18 | Sayreville | $1,939 |
| 19 | Hackensack | $1,921 |
| 20 | Plainfield | $1,918 |
| Compare Rates Now Go | ||
Price information shown is comparative as vehicle location can impact rates greatly.
Finding good, affordable insurance is confusing at best, and figuring out which company has the cheapest auto insurance rates for low income drivers requires additional perseverance. Each auto insurer has their own unique process to determine rates, so first we will examine the overall cheapest auto insurance companies in New Jersey.
Find the Cheapest Car Insurance in New Jersey
| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | 21st Century | $1,067 |
| 2 | Travelers | $1,156 |
| 3 | New Jersey Manufacturers | $1,310 |
| 4 | Penn National | $1,338 |
| 5 | Palisades | $1,341 |
| 6 | California Casualty | $1,481 |
| 7 | The Hartford | $1,536 |
| 8 | Allstate | $1,538 |
| 9 | USAA | $1,585 |
| 10 | Mercury | $1,635 |
| 11 | Progressive | $1,862 |
| 12 | Amica | $1,869 |
| 13 | Esurance | $1,913 |
| 14 | MetLife | $1,932 |
| 15 | State Farm | $2,160 |
| 16 | GEICO | $2,262 |
| 17 | Encompass | $2,374 |
| 18 | Liberty Mutual | $2,920 |
| 19 | Hanover | $3,909 |
| Get Personalized Rates Go | ||
21st Century quotes some of the most affordable car insurance rates in Newark at around $1,067 per year. Travelers, New Jersey Manufacturers, Penn National, and Palisades would also be considered some of the most economical Newark, NJ car insurance companies.
As the example above demonstrates, if you currently have a policy with Travelers and switched to 21st Century, you might realize an annual premium reduction of roughly $89. New Jersey drivers with New Jersey Manufacturers may save as much as $243 a year, and Penn National insureds might lower prices by up to $271 a year.
To get a fast rate comparison, click here to start your free quote or quote rates from the companies below.
Be aware that those prices are averaged across all drivers and vehicles in New Jersey and do not take into consideration a specific location for low income drivers. So the company that is best for you may not even be in the top 19 companies in the list above. That is why you need to compare rates from multiple companies using your own specific driver information and vehicle.
The make and model of vehicle driven is one of the largest factors when looking for the best insurance for low income drivers. Vehicles with economical engines, an excellent safety record, or a positive history of liability claims will cost less to insure than high performance models.
The table below estimates insurance premiums for a number of the most affordable vehicles to insure in New Jersey.
| Make and Model | Estimated Cost for Full Coverage |
|---|---|
| Honda CR-V EX 4WD | $1,763 |
| Honda Accord EX-L 4-Dr Sedan | $1,870 |
| Ford Escape Limited 4WD | $1,876 |
| Toyota Prius | $1,909 |
| Volkswagen Jetta 2.0T Station Wagon | $2,016 |
| Toyota RAV4 4WD | $2,043 |
| Nissan Altima 2.5 4-Dr Sedan | $2,050 |
| Chevrolet Impala LT | $2,043 |
| Toyota Tacoma X-Runner 2WD | $2,151 |
| Toyota Corolla LE | $2,160 |
| Toyota Camry SE | $2,151 |
| Chevrolet Silverado 2500HD LT Crew Cab 4WD | $2,189 |
| Chevrolet Equinox LTZ AWD | $2,199 |
| Chevrolet Silverado LTZ Crew Cab 4WD | $2,189 |
| Jeep Grand Cherokee Limited 2WD | $2,196 |
| Compare Cheap Rates Go | |
Data based on single female driver age 50, no speeding tickets, no at-fault accidents, $1,000 deductibles, and New Jersey minimum liability limits. Discounts applied include claim-free, homeowner, multi-vehicle, multi-policy, and safe-driver. Prices do not factor in vehicle garaging location which can decrease or increase coverage prices noticeably.
By looking at the data, we can infer that makes and models like the Honda CR-V, Honda Accord, and Ford Escape are most likely going to be the most economical vehicles to insure for poor drivers.
New Jersey auto insurance companies ranked
Choosing a highly-rated insurance provider can be a challenge considering how many different insurance companies sell coverage in Newark. The company rank data below could help you choose which providers to look at when shopping around. The rankings below are for companies that insure vehicles across America, so smaller regional companies are not included in this list.
Top 10 Major Auto Insurers in Newark Ranked by Customer Service
- Mercury Insurance
- The Hartford
- American Family
- Progressive
- GEICO
- USAA
- State Farm
- Travelers
- Farmers Insurance
- Allstate
Top 10 Major Auto Insurers in Newark Ranked by Claims Service
- Progressive
- USAA
- Liberty Mutual
- GEICO
- State Farm
- Nationwide
- Allstate
- 21st Century
- The Hartford
- Farmers Insurance
The illustration below shows how choosing a deductible can raise or lower premium costs when searching for cheap insurance for low income drivers. The premiums assume a married male driver, comprehensive and collision coverage, and no discounts are applied to the premium.
The data above shows that a 50-year-old driver could lower rates by $466 a year by switching their comprehensive and collision coverages from a $100 deductible up to a $500 deductible, or save $704 by selecting a $1,000 deductible. Even younger insureds, like the 20-year-old category, could potentially save up to $1,562 or more by selecting a higher deductible. If you make the decision to raise deductibles, it will be important to have emergency funds available to pay the extra out-of-pocket expense associated with higher deductibles.
If you have questions and prefer to have the advice of a professional agent when trying to find the best insurance rates for low income drivers, the agents listed below can aid you in deciding which car insurance company is the best fit. To locate a Newark car insurance agency in your neighborhood, click the link after the list or click here to compare rates now.
METROPLUS INSURANCE AGENCY
1423 McCarter Hwy – Newark, NJ 07104 – (973) 732-3794
Collection Agency BandA
744 Broad St #1903 – Newark, NJ 07102 – (862) 218-0319
Newark Cheaper Auto Insurance
11 Mulberry St – Newark, NJ 07102 – (206) 337-9544
Rosa, Michael Rosa Agency INC
360 Lafayette St – Newark, NJ 07105 – (973) 589-7550
View more Newark, NJ insurance agencies
Tips to find cheaper auto insurance for low income drivers
The list below summarizes a few thrifty suggestions that can help New Jersey drivers locate low-cost auto insurance.
- Vehicles with safetly features generally cost less to insure
- Earn discounts for being claim-free
- Higher credit scores may earn you cheaper rates
- You will pay more if you get tickets or have at-fault accidents
- Accidents can significantly increase rates
- Keep rates low by shopping around frequently
The final tip is extraordinarily valuable, as we noted in this piece. Prices in Newark can change in a short period of time, so don’t hesitate to switch companies if you can save money.
Staying with the same company for years is fine, but it’s not a great idea if that devotion results in you overpaying money that could be spent on other things. It only take a few minutes to compare prices to find cheaper insurance for low income drivers.