Auto Insurance Quote NJ: These 14 Questions Could Save You $487 Per Year

Auto Insurance Quote NJ – State Requirements

In New Jersey, drivers have two options for purchasing insurance.  The basic plan allows you to be in compliance with the state’s insurance requirements and offers $10,000 for injury/death and $5,000 for property damage.

The standard liability insurance plan offers more coverage than the basic plan.  This plan includes a minimum of $15,000 for bodily injuries for one person per accident, $30,000 for all bodily injuries in one accident, $5,000 for property damage, $15,000 in uninsured and underinsured motorist coverage and $15,000 in personal injury protection coverage.

Auto Insurance Quote NJ – Recommended Minimums

Considering that the average cost of a new vehicle is $28,000 these days, it is plain to see that a multiple car accident could easily result in damages well in excess of $100,000. Obviously, none of the NJ minimums are adequate.

I recommend the following as bare minimums.

$100,000 bodily injury per person

$300,000 bodily injury per accident

$100,000 property damage

$300,000 uninsured/underinsured motorist

$250,000 personal injury protection

Auto Insurance Quote NJ – Other Coverage to Consider

And this doesn’t include damages to your car. Also consider the following coverage.

  • Collision – Covers collision damages to your car.
  • Comprehensive – Covers your car in case of theft and damages caused by vandalism, fire, acts of God and animal impact.
  • Gap insurance – Protects you for the difference between the loan balance on your vehicle and its actual market value. Important if you own/lease a new vehicle…and not expensive.
  • Vehicle rental – Pays for a rental vehicle if your car is out of service due to accident.
  • Towing insurance – Covers towing if your car is disabled. AAA membership and certain credit cards provide this benefit so you may not need it on your policy.

Auto Insurance Quote NJ – Determining Financial Responsibility

New Jersey is a no-fault state.  This means that your insurance company must pay for your expenses if you are in an accident, regardless of who is at fault.

Auto Insurance Quote NJ – Auto Insurance Card

If you are pulled over and asked for proof of insurance, you must provide the law enforcement officer with a valid insurance identification card.  The penalties for driving without insurance are:

First offense – $300 fine, license suspension for one year and community service.

Second offense – $500 fine, 14 days in jail, license suspension for two years and 30 days of community service.

Auto Insurance Quote NJ – Comparison Shop

Those who know how to keep their costs down, understand that asking questions is the way to get savings on just about anything. When looking for auto insurance NJ, you need to find out which discounts apply to your situation. And the best way is to go through a list of questions. More on that in a second.

First you need to get three to five NJ quotes so you can compare what is being offered compared to the coverage you have now. You can do that online in a few minutes. Use an auto quote finder like Quote Wizard or 2Insure4Less. You’ll only need to enter your information once and 4 quotes will be emailed to you in short order.

You now have 5 quotes to work with…your current policy plus your four new quotes. You may want to eliminate the two most expensive and work only with the remaining three.

Auto Insurance Quote NJ – These Questions Will Save You Money

Ask these questions and review your quotes to see if the discounts that you are eligible for are included.

* What is your deductible? Should you raise it to $500 or $1,000?

* Does your own health insurance cover auto accident injuries? If so, it might make sense to reduce the personal injury protection portion of your car insurance.

* Is there a discount for insuring more than one car?

* Do you qualify for a long term customer discount?

* No accident in more than 3 years? Does a discount apply?

* Has it been three years since your last ticket…a discount may be available?

* Is there a driver training course discount for those that have taken the course?

* Have you taken a defensive driving course…another discount?

* If you have anti-theft devices are you eligible for discount?

* Don’t drive much per year? Can you get a low mileage discount?

* How about a discount for airbags?

* Does driving in the daytime with running lights on qualify for a discount?

* Is there a discount if you buy auto insurance and home owners insurance from the same company?

* Do the college students in the family live away from home?

Auto Insurance Quote NJ – Finalize Policy Details

Identify discounts that may apply but are not mentioned on the quotes. Phone the insurance company and ask whether they allow for that discount. Since you are talking to them anyway, ask for their suggestions for additional discounts.

By using that list and reviewing your quotes, you are then prepared to choose the right policy for you. Having done the right homework, hundreds of dollars in savings should be yours. Congratulations on a job well done!