Updated March 2026
State Requirements
New Jersey requires minimum liability coverage of $15,000 per person for bodily injury, $30,000 per accident for bodily injury, and $5,000 for property damage (15/30/5). The state also mandates Personal Injury Protection (PIP) with a minimum of $15,000 per person. SR-22 filing is required for DUI offenses, driving while suspended, uninsured accidents causing injury or significant property damage, habitual traffic offenders, and court-ordered reinstatement following serious violations. New Jersey operates on a point system with a 12-point threshold for license suspension, but most point violations do not trigger SR-22 requirements.
Cost Overview
High-risk auto insurance in New Jersey costs $2,800–$5,200 annually on average, compared to $1,300–$1,800 for drivers with clean records. Rates vary significantly based on violation type: a single DUI increases premiums 180%–250%, while 6+ points from moving violations raise rates 60%–120%. New Jersey's mandatory PIP coverage and high population density in cities like Newark and Jersey City drive base rates higher for all drivers, with violations compounding those costs.
What Affects Your Rate
- Violation type and severity: DUI increases rates 180%–250%, reckless driving 80%–140%, at-fault accidents 40%–90%
- Point accumulation: 6+ points raises premiums 60%–120% depending on carrier
- Location: Urban areas like Newark, Jersey City, and Paterson have rates 20%–35% higher than suburban counties
- SR-22 requirement: Adds $800–$2,400 annually beyond the $15–$50 filing fee due to high-risk classification
- Coverage selection: New Jersey's choice no-fault system allows limited lawsuit option, which reduces premiums 15%–20% but restricts injury claim rights
- Time since violation: Premiums decline 10%–15% annually as violations age, with full recovery typically 3–5 years post-conviction
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Coverage Options
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Frequently Asked Questions
Sources
- New Jersey Motor Vehicle Commission (MVC) - Point System and SR-22 Requirements
- New Jersey Department of Banking and Insurance - Auto Insurance Regulations
- New Jersey Revised Statutes Title 39 - Motor Vehicles and Traffic Regulation