Report finds that NJ has 15th highest car insurance cost burden in nation

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New Jersey is the 15th-most expensive state to insure a car, according to a survey by CarInsuranceQuotes.com released Monday.

The average New Jersey household pays 3.1 percent of its annual income toward car insurance, or about $2,556 per year.

By dividing the median car insurance rate by the median yearly household income, the survey found that Michigan has the steepest burden, as residents on average pay 8 percent of their annual income for car insurance. Massachusetts, where residents typically pay 1.42 percent of their income, was the least expensive.

Louisiana, Kentucky, West Virginia and Mississippi round out the five most expensive states. North Carolina, Hawaii, Alaska and Oregon were the most affordable states for car insurance.

The Garden State’s median annual car insurance cost of $2,556 per year is the fourth highest in the country behind Michigan, Louisiana and Washington, D.C., not factoring in that New Jersey also has the second-highest median household income after Maryland, according to the report.

This is the first year CarInsuranceQuotes.com has conducted the survey. The website calculated the median car insurance rates for the 50 states and the District of Columbia through a proprietary system that tracked the rates of car insurers, based on customer profiles of online car insurance shoppers, in each state. The rates were collected in June, and income data were from the 2010 census.

Article from The Record — Mary Diduch

  1. jamesfranklin12-12-13

    I guess some people pay more for car insurance than health insurance.

    Compare car insurance premium online

  2. James Shaffer01-27-14

    Having lived in five other states, by far Michigan is the highest by far for auto insurance. I think people seem to forget that I believe rates are also affected by ones credit rating. So say you lose your job can’t pay all your bills and have to foreclose on your home guess what happens to your auto insurance? How one’s driving ability can be traced back to your credit score I have no clue. Go Figure that one out someone?

  3. Panda03-03-14

    Just waiting for the day when the Great Redistributor decides car insurance is a basic human right.

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