The Best Homeowners Insurance in New Jersey for 2021

Homeowners in the Garden State are likely to pay home insurance rates that are well below the national average.
Doug SiborAug 6, 2021

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Although it has more homes at risk of storm-surge-related damage than almost any other state on the East Coast, New Jersey has surprisingly low homeowners insurance rates. The average annual premium in the Garden State is $908, well below the 2021 national average of $1,585.

NerdWallet analyzed data from 17 different insurance companies selling policies in New Jersey to help you find the best home insurance in the state, whether you live in Montague, Cape May or anywhere in between. Keep in mind that these rates are estimates and depend on many different factors, so yours may vary.

Several of NerdWallet's offer policies in New Jersey. Here they are, along with their average annual premiums:

You can customize your homeowners policy with numerous add-ons from these companies, but below are the types of coverage that generally come standard:

For more details, see .

Here's a little bit more about these companies and the extras they offer.

Despite its low annual premium, NJM's home insurance coverage has several features that typically cost extra with other insurers. NJM will pay the full cost to rebuild your home even if it exceeds your dwelling limit, and also will pay the full cost to replace lost or destroyed personal property rather than giving you a depreciated amount.


State Farm's standard "increased dwelling limit" coverage may appeal to homeowners because of the financial cushion it provides if you need to rebuild your home. As long as the home is insured for the amount State Farm estimates it will cost to replace it, State Farm provides up to an additional 20% of that amount should costs go up while rebuilding.


If you're an active military member or a veteran, or are a family member of one, USAA offers several benefits that normally cost extra from other insurers. Identity theft coverage and replacement cost for damaged or stolen personal items are just two of the benefits available to policyholders in most states.


Although Chubb is one of the more expensive insurers in the state, its standard policy includes coverage options for which others often charge extra. For example, homeowners who buy Chubb's Masterpiece policy can receive the full amount it costs to replace damaged or destroyed personal items rather than the items' depreciated value.


The Hanover offers several different home insurance packages, with some having helpful features like reimbursement for replacing your locks after losing your keys or paying to remove debris after a covered event. It’ll also waive your if a loss is more than $50,000.


To find the lowest home insurance premiums in New Jersey, NerdWallet analyzed rate information for 17 different insurers in the state. We found a statewide average annual premium of $908, but your rate may vary depending on where you live. The difference between the cheapest and most expensive rates in New Jersey was over $900 per year.

Here are the five cheapest homeowners insurance rates in New Jersey:

And here's a look at the rates of all 17 insurers in our analysis:


Here are a few things you'll want to keep in mind as you evaluate your options for home insurance in New Jersey:



NerdWallet averaged rates for 40-year-old men and women from a variety of insurance companies in every ZIP code across the state. Sample homeowners were nonsmokers with good credit living in a single-family, two-story home built in 1983. They had a $1,000 deductible and the following coverage limits:

These are sample rates generated through Quadrant Information Services. Your own rates will be different.

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