One of the many criteria that are looked at to help calculate the amount you pay each year for auto insurance is your address in Newark. More densely populated places tend to have higher auto insurance costs, whereas more rural areas benefit from lower coverage costs.
The illustration below sorts the priciest cities in New Jersey for high mileage drivers to buy auto insurance in. Newark ranks #2 with an annual premium of $2,522 for the average insurance policy, which is approximately $210 monthly.
| Rank | City | Average Per Year |
|---|---|---|
| 1 | West New York | $2,531 |
| 2 | Newark | $2,522 |
| 3 | East Orange | $2,495 |
| 4 | Elizabeth | $2,446 |
| 5 | Paterson | $2,400 |
| 6 | Passaic | $2,395 |
| 7 | Union City | $2,378 |
| 8 | Clifton | $2,345 |
| 9 | Hoboken | $2,283 |
| 10 | Kearny | $2,266 |
| 11 | Jersey City | $2,253 |
| 12 | Camden | $2,221 |
| 13 | Bayonne | $2,184 |
| 14 | Perth Amboy | $2,165 |
| 15 | Fort Lee | $2,123 |
| 16 | Linden | $2,099 |
| 17 | Atlantic City | $2,044 |
| 18 | Plainfield | $1,956 |
| 19 | Trenton | $1,954 |
| 20 | Hackensack | $1,940 |
| 21 | New Brunswick | $1,932 |
| 22 | Sayreville | $1,882 |
| 23 | Lakewood | $1,819 |
| 24 | Vineland | $1,788 |
| 25 | Toms River | $1,742 |
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Information shown are comparative as the specific garaging location can revise price quotes noticeably.
The make and model of vehicle on the policy is probably the biggest factor when trying to find cheaper insurance for high mileage drivers. Vehicles with higher performance characteristics, a lack of modern safety features, or high incidents of liability claims will cost more to insure than safer, lower-performance models. The list below ranks car insurance prices for some of the most affordable automobiles to insure.
| Make and Model | Estimated Cost for Full Coverage |
|---|---|
| Honda CR-V LX 2WD | $1,715 |
| Honda Accord EX 4-Dr Sedan | $1,880 |
| Honda Odyssey LX | $1,890 |
| Dodge Grand Caravan CV | $1,919 |
| Ford Escape Limited 2WD | $1,922 |
| Chevrolet Malibu LT | $2,066 |
| Ford Explorer Eddie Bauer 4WD | $2,076 |
| Toyota Prius | $2,087 |
| Hyundai Elantra Blue 4-Dr Sedan | $2,099 |
| Honda Civic LX 4-Dr Sedan | $2,108 |
| Ford F-150 XLT Super Cab 2WD | $2,099 |
| Toyota Corolla XLE | $2,137 |
| Chevrolet Impala LTZ | $2,142 |
| GMC Sierra SLT Extended Cab 2WD | $2,176 |
| Ford Fusion SE 4-Dr Sedan | $2,185 |
| Toyota Tacoma Double Cab TRD Off-Road Package 4WD | $2,264 |
| Volkswagen Jetta S 4-Dr Sedan | $2,288 |
| Toyota RAV4 4WD | $2,294 |
| Ford F-250 XL Harley Edition 2WD | $2,323 |
| Kia Optima LX | $2,376 |
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Prices above based on single male driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and New Jersey minimum liability limits. Discounts applied include homeowner, multi-policy, multi-vehicle, claim-free, and safe-driver. Rate information does not factor in garaging location in Newark, NJ which can impact coverage rates significantly.
Based upon these rates, we can conclude that cars like the Honda CR-V, Honda Accord, Honda Odyssey, Dodge Grand Caravan, and Ford Escape are going to be the less-costly vehicles to insure for high mileage drivers.
Trying to find low-cost car insurance is difficult, and deciding which companies offer the most affordable car insurance rates for high mileage drivers will take even more rate comparisons. Each insurance company has a proprietary formula to set their prices, so let’s rank the most affordable car insurance companies in New Jersey.
Keep in mind that Newark, NJ car insurance rates are based on many factors which can substantially decrease or increase the policy price. Price variation is why Newark drivers need to compare as many rates as possible to find the most affordable auto insurance rates for high mileage drivers. Car insurance prices can be altered by many things and can increase or decrease at any time, so the best company when you bought your policy may now be quite expensive.
Best Insurance Companies in New Jersey
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| Rank | Company | Cost Per Year |
|---|---|---|
| 1 | 21st Century | $1,111 |
| 2 | Travelers | $1,191 |
| 3 | New Jersey Manufacturers | $1,297 |
| 4 | Palisades | $1,341 |
| 5 | Penn National | $1,366 |
| 6 | California Casualty | $1,481 |
| 7 | Allstate | $1,493 |
| 8 | The Hartford | $1,521 |
| 9 | USAA | $1,553 |
| 10 | Mercury | $1,635 |
| 11 | Amica | $1,813 |
| 12 | Esurance | $1,894 |
| 13 | Progressive | $1,919 |
| 14 | MetLife | $1,991 |
| 15 | State Farm | $2,160 |
| 16 | GEICO | $2,240 |
| 17 | Encompass | $2,303 |
| 18 | Liberty Mutual | $2,890 |
| 19 | Hanover | $4,027 |
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21st Century generally has some of the best car insurance rates in Newark at around $1,111 each year. Travelers, New Jersey Manufacturers, Palisades, and Penn National also rank well as some of the more affordable Newark, NJ insurance companies.
As depicted above, if you are currently insured with Palisades and switched to 21st Century, you could earn an annual savings of in the vicinity of $230. Drivers with Penn National may save as much as $255 a year, and California Casualty customers might reduce rates by $370 a year.
These prices are averages for all drivers and vehicles and and are not figured with a specific zip code for high mileage drivers. So the car insurance company that fits your needs best may not even be in the top 19 companies in the list above. That underscores the importance of why you need to quote rates from many companies using your own driver information and specific vehicle type.
Liability-only versus full coverage
Paying a lower price for car insurance is the goal of the majority of drivers, and one great way to save on the cost of insurance for high mileage drivers is to only pay for liability coverage. The chart below shows the comparison of auto insurance costs with and without physical damage coverage, medical payments, and uninsured/under-insured motorist coverage. The rate quotes are based on no claims or driving violations, $250 deductibles, drivers are single, and no discounts are applied.
If averaged for all ages, physical damage coverage costs an additional $3,363 per year more than buying just liability insurance. That may make you wonder if paying for full coverage is worth it. There is no definitive rule for eliminating physical damage insurance, but there is a general convention. If the annual cost of comprehensive and collision coverage is 10% or more of any settlement you would receive from your insurance company, then it could be time to drop full coverage.
For example, let’s assume your vehicle’s replacement cost is $4,000 and you have $1,000 full coverage deductibles. If your vehicle is destroyed, you would only receive $3,000 after paying your deductible. If you are paying over $300 annually for full coverage, then it could be time to drop full coverage.
The example below shows how different deductible levels can change premium costs when researching cheap insurance for high mileage drivers. The data is based on a single male driver, comp and collision included, and no discounts are applied.
In the chart above, a 40-year-old driver could pocket $396 a year by increasing from a $100 deductible up to a $500 deductible, or save $594 by switching to a $1,000 deductible. Youthful drivers, like the age 20 example, could potentially save up to $1,296 each year by choosing larger deductibles on their policy.
If you do raise deductibles, it is essential to have enough spare savings to allow you to pay the extra out-of-pocket expense that comes with higher deductibles.
Why you should shop around
New Jersey car insurance rates are calculated based on many things which can significantly increase or decrease the price you pay. Improving your credit rating, moving to a new city, or getting a DUI can trigger changes in premium resulting in some rates now being much cheaper than others.
Not only that, but auto insurance companies change premium rates without warning in order to maintain liquidity for claims. An unexpected high level of claims can cause price increases, while better underwriting can result in lower-priced Newark car insurance rates.
For instance, the data below shows which companies have the cheapest car insurance in Newark, NJ for a 30-year-old female driver with a clean driving record, no accidents, and a high credit rating. When quoting prices based on her current situation, 21st Century has the best car insurance rates in Newark at $1,591 per year. This is $261 less than the average policy premium paid by New Jersey drivers of $1,852. Travelers, New Jersey Manufacturers, Penn National, and Palisades are also on the list of the cheapest Newark, NJ auto insurance companies.
The example below compares rates after we give the driver from the first rate comparison a chargeable accident, a lower credit rating, and a traffic ticket or two. Due to the fact that each insurance company has a unique approach to determine rates, comparing insurance quotes could result in a slightly different list of affordable Newark car insurance companies as shown below.
Allstate now has the lowest price in Newark with California Casualty, USAA, Travelers, and Mercury also having competitive pricing. This demonstrates why drivers need to do a thorough rate comparison to find the best car insurance rates for high mileage drivers. Prices are impacted by many risk factors and change frequently, so the best company the last time you checked may now be costing you a lot of money.
How to find economical auto insurance for high mileage drivers
The list below shows a few thrifty solutions that can help drivers get cheap car insurance.
- Buying your home and auto policies from the same company can earn a discount
- Do not get traffic tickets
- Buy vehicles with five-star safety ratings
- Accident-free drivers may qualify for discounts
- Avoid filing small claims
- Full coverage is expensive so only insure older vehicles for liability only
- Comparison shop at least every other year
The last tip in the list is certainly critical, as we discussed in the article above. Prices charged by companies in Newark can be modified anytime, so don’t be unwilling to change insurance companies if you can save money.
Many consumers stick with the same company and that’s fine, but we do not recommend it if it’s costing you a fortune every year. Now is a great time to compare prices to find cheaper insurance for high mileage drivers.
The insurance agencies below are a good start to aid you in deciding which insurance coverage will be best for you, since some drivers wish to have a little guidance when comparing insurance rates for high mileage drivers. It can be complicated to find the cheapest rates, so getting professional guidance from a licensed agent can bring comfort knowing your coverage gives you adequate asset protection. To find a Newark insurance agency using an interactive map, click the link at the bottom or click here to compare price quotes.
State Farm Insurance
360 Chestnut St – Newark, NJ 07105 – (800) 701-5909
Massey Insurance
46 Lyons Ave – Newark, NJ 07112 – (973) 926-6300
Farmers Insurance – Christine Veliz
229 Bloomfield Ave – Newark, NJ 07104 – (973) 482-1975
Ed Young Agency
942 S Orange Ave – Newark, NJ 07106 – (973) 375-0003