Cheapest Auto Insurance for Low Credit Scores in New Jersey

When talking about auto insurance, the word affordable should not be used anywhere in the article to describe car insurance prices. It’s a simple fact that cheap car insurance for low credit scores can be extremely hard to find. Don’t let that get you down, though, because we will tell you how you can find coverage that is cheaper than what you are paying now.

For New Jersey drivers, one of the components that affect rate quotes is where you keep your car. Urban areas that are densely populated like East Orange, Paterson, and Elizabeth are more likely to have higher rates, whereas areas with less congestion benefit from having to pay less for coverage.

The information below ranks the most expensive areas in New Jersey for low credit scores to buy car insurance in.

Premium costs are estimated as the vehicle garaging location can modify premium rates significantly.

The vehicle you are buying coverage for is a large factor when consumers are trying to find the most affordable coverage for low credit scores. Vehicles with limited top-end speed, modern passenger safety features, or a positive history of liability claims will cost less to insure than adrenaline junky models.

The information below presents insurance rates for a selection of the most cost-effective automobiles to buy insurance for.

Data based on single female driver age 50, no speeding tickets, no at-fault accidents, $500 deductibles, and New Jersey minimum liability limits. Discounts applied include claim-free, multi-vehicle, safe-driver, multi-policy, and homeowner. Rate information does not factor in specific location which can influence auto insurance rates greatly.

Prices based on single female driver age 50, no speeding tickets, no at-fault accidents, $500 deductibles, and New Jersey minimum liability limits. Discounts applied include homeowner, multi-policy, safe-driver, multi-vehicle, and claim-free. Rates do not factor in New Jersey location which can impact coverage rates greatly.

Data assumes single female driver age 50, no speeding tickets, no at-fault accidents, $500 deductibles, and New Jersey minimum liability limits. Discounts applied include homeowner, multi-vehicle, claim-free, safe-driver, and multi-policy. Estimates do not factor in specific zip code location which can modify price quotes considerably.

Establishing which insurers offer the most affordable auto insurance rates for low credit scores takes a little more sweat in order to find the most economical policy.

Every insurance company has a proprietary method for setting prices, so we need to take a look at the overall cheapest auto insurance companies in New Jersey.

Best Cheap Insurance Rates in New Jersey

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21st Century generally has some of the lowest car insurance rates in New Jersey at around $1,100 each year. Travelers, New Jersey Manufacturers, Palisades, and Penn National would also be considered some of the cheaper New Jersey insurance companies.

In the rate table above, if you are a customer of Palisades and switched to Travelers, you may realize annual savings of in the neighborhood of $185. Policyholders with Penn National may save as much as $223 a year, and The Hartford customers might lower prices by $320 a year.

Be aware that those rates are averaged for all ages of drivers and types of vehicles and are not factoring in a rate decrease for low credit scores. So the car insurance company that can offer you the best price may not even be featured in the above list. That point stresses why you need to get rate quotes from many companies using your own driver information and specific vehicle type.

Auto insurance rates are higher with tickets and accidents

One of the best ways to score low auto insurance prices for bad credit is to drive cautiously and avoid accidents and traffic violations. The illustration below shows how traffic citations and at-fault accidents raise insurance premiums for different age groups. The premiums are based on a single female driver, full physical damage coverage, $1,000 deductibles, and no discounts are taken into consideration.

The data charted above shows the average cost of auto insurance in New Jersey per year with no accidents or violations is $1,920. Get written up for two speeding tickets and the average cost surges to $2,557, an increase of $637 each year. Then add in one accident along with the two speeding tickets and the 12-month cost of auto insurance for low credit scores jumps again to an average of $3,203. That’s an increase of $1,284, or $107 per month, just for being a little careless behind the wheel!

Picking a high-quality insurance provider can be rather challenging considering how many choices drivers have in New Jersey. The company rank data shown next could help you choose which car insurance providers you want to consider when comparing rates. These ratings are for large insurance companies, so companies without a large exposure are not taken into consideration for the list.

How to get the cheapest auto insurance for low credit scores in New Jersey

It’s not impossible to find cheaper rates, and here are many thrifty ideas that can help New Jersey drivers get more affordable coverage.

• Multi-policy discounts save money
• Safer vehicles generally have cheaper insurance rates
• Full coverage may not be needed on older vehicles
• Higher credit scores can equal lower rates
• Drive attentively and avoid accidents
• Keep rates low by comparing prices once a year

The last tip in the list is especially significant, as was noted in the prior article. Insurance prices change frequently, so you should be ready to buy a different policy if you find a cheaper price.

Many drivers have brand loyalty and that’s fine, but we do not recommend it if it’s costing you several hundred dollars every year. It takes less than five minutes to shop around to find cheaper car insurance for low credit scores.