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The Cheapest Renters Insurance in New Jersey
New Jersey’s 8.9 million residents make up one of America’s biggest state populations in one of America’s most expensive states. The average rent for a one-bedroom unit in New Jersey is $1,249. To protect your most valued belongings, you’ll want not only the cheapest New Jersey renters insurance companies, but the best option for you. Not all renters insurance policies are created the same, so you need to receive the coverage you need at a price you can afford, because renters insurance is worth the expense.
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To find the best renters insurance New Jersey has to offer, we conduct an expert analysis using the latest rankings from respected industry organizations like J.D. Power, AM Best, Standard & Poor’s and the National Association for Insurance Commissioners (NAIC). These are our top picks for the best renters insurance in New Jersey.
The best renters insurance in New Jersey
- Best for cheap coverage: Lemonade
- Best for overall coverage: Nationwide
- Best for customer service: State Farm
- Best for the claims process: Farmers
- Best for personal property coverage: Travelers
Best for cheap coverage – Lemonade
Lemonade may be the new kid on the block, but its straightforward approach to insurance is definitely worth a look.
Despite its lack of ratings, Lemonade offers some of the cheapest renters insurance available today. As one of the newer insurance providers, Lemonade is not as well-known as other insurance providers, but it offers some of the most affordable renters insurance. Coverage is standard, so you won’t see any extras with your policy. Discounts are limited, but you’re not likely to notice with already low rates. You can also use Lemonade’s Zero Everything perk to opt for a $0 deductible.
Best for overall coverage – Nationwide
Nationwide has two major things going for it — its breadth of coverage and its many discounts.
Nationwide is not as well-known for renters insurance, but it is a solid pick with extensive, affordable coverage. It is easy to get a quote or file a claim with Nationwide’s excellent online tools. Coverage is multi-faceted, including protection for your valuables via enrollment in Valuables Plus or theft extension to protect your car or trailer. Discounts are also great with options including multi-policy, claims-free and safe home discounts.
Best for customer service – State Farm
If customer service is a dealbreaker for you, State Farm is a great option since it offers great customer service and has a solid reputation.
State Farms puts customers first, winning them top rankings for customer satisfaction. State Farm is all about the customer, and it shows in its superior customer service ratings from J.D. Power. The low insurance premiums are an added bonus. It offers several useful add-ons, such as additional liability protection, identity restoration, earthquake damage and additional business property for people who do business out of their homes.
Best claims process – Farmers
If Farmers can make it through the Great Depression unscathed, it can certainly have your back throughout New Jersey’s temperamental seasons.
When looking for special coverage, you are likely to find it with Farmers at the most affordable rate. mers has several insurance products, which makes it easy to bundle your insurance needs. It has renters insurance coverage for all your needs with several additional coverage options, such as identity and electronics protection for those who need it. Farmers is also available in all 50 states, so it will stay with you if you end up having to move out of state.
Best for personal property coverage – Travelers
When you prefer the personal touch of a local agent, Travelers can deliver.
Travelers gives some of the most affordable renter’s coverage, but its customer service leaves much to be desired. Travelers gives full coverage for all of your insurance needs, including renters insurance. The mobile tools are excellent, with a helpful mobile app and online portal to file your claims. Travelers is even built into Amazon Alexa for even easier management on the go.
How much does renters insurance cost in New Jersey?
Our picks are among the highest-ranked renters insurance companies available in New Jersey today. Each company has its own notable strengths and has been voted the best cheapest renters insurance companies for their coverage options, customer satisfaction and affordability.
New Jersey rates tend to rank higher on the national scale, so it is important to shop your options before committing to a renters insurance policy. For $30,000 of personal property coverage, the cheapest renters insurance companies offer New Jersey residents these average annual premiums:
- State Farm: $128
- Amica: $176
- Farmers: $205
- Allstate: $245
- Liberty Mutual: $248
According to the Insurance Information Institute (III) and the National Association of Insurance Commissioners (NAIC), the average cost of renters insurance in 2017 costs $180 per year or $15 a month. In New Jersey specifically, the average cost of New Jersey renters insurance is a little bit more than the national average. Renters insurance in New Jersey costs $165 annually or less than $14 per month.
New Jersey average cost of renters insurance, by city
In New Jersey, you can find the cheapest renters insurance in areas throughout Linden, Clifton, Perth Amboy, Plainfield and New Brunswick, all of which cost less than $15 per month.
| City | Average monthly cost | Average yearly cost |
|---|---|---|
| Linden | $12 | $146 |
| Clifton | $13 | $153 |
| Perth Amboy | $13 | $158 |
| Plainfield | $13 | $159 |
| New Brunswick | $14 | $166 |
The cheapest renters insurance in New Jersey
When it comes to the cheapest renters insurance in New Jersey, State Farm beats the competition by several dollars with its low monthly premium and a total annual cost well under $150. Other affordable options include Liberty Mutual, Travelers, Allstate and Farmers.
| Provider | Average monthly cost | Average yearly cost |
|---|---|---|
| State Farm | $11 | $132 |
| Liberty Mutual | $14 | $168 |
| Travelers | $16 | $192 |
| Allstate | $17 | $204 |
| Farmers | $24 | $288 |
What does renters insurance cover?
Standard renters coverage includes major acts of nature like fire, theft, vandalism, hail, severe winds and damages from ice and snow.
| Coverage type | What it may cover | What’s not covered |
|---|---|---|
| Personal property | Clothing, furniture, electronics | Anything beyond your coverage limit |
| Liability | Repairs to damage you cause to someone else’s property and guest medical bills for accidents for which you are responsible | Expenses beyond your coverage limit |
| Additional living expenses | Expenses you may incur should your home become temporarily uninhabitable, such as hotel stays | Damages to your temporary housing |
There are other things that are not covered like earthquakes, rats and termites, rotting and general wear and tear. Before purchasing your renters insurance policy, inquire about all of your coverage options and the costs of add-on protections, such as these.
Theft
Most renters insurance includes coverage for your personal property, such as your clothing and furniture. If it is stolen, you are usually protected through theft coverage with your renters insurance. This could also apply if your personal items are stolen from your car, but you should carefully review your policy to double-check the exact terms of your coverage. Most policies will require that you pay a deductible before the insurance company repairs or replaces the item in question.
Water leaks
Water leaks can happen in any kind of property, but they are especially common in rental properties where the homeowner may not be present to regularly tend to issues as they arise. Not all water damage is covered in your insurance policy, however, so be sure to review your policy to make sure that all of your personal belongings are protected in case of a water leak from the plumbing or things like radiators and air conditioners. Flood insurance usually requires stand-alone coverage, which can be purchased directly from the National Flood Insurance Program.
Fires
Renters insurance commonly includes protection from fire-related damages. The Insurance Information Institute (III) defines fire as a specific peril included within renters insurance. Your renters insurance can make sure that your personal belongings are replaced should they become damaged or lost during a fire in your rental property. However, there are often specific limits instituted on your policy, meaning that the insurance company will only replace your belongings up to a certain dollar amount.
Renters insurance coverage options
When you begin to create your ideal coverage for your renters insurance policy, there are a few things that you will want to consider in order to obtain the right coverage at the best price.
Negotiating claims limits
When you create a new renters insurance policy, your insurance provider will limit how much you claim in damages. This can be based on specific items or priced by an entire category, such as clothing. First, calculate the worth of your belongings should they need to be replaced and then double-check your renters policy to make sure you have enough coverage. It’s not uncommon for renters to add extra coverage so that all of their belongings are adequately covered.
Adding riders to renters insurance
A rider is an additional type of coverage that you can purchase for your renters insurance. Instead of having to purchase pre-packaged bundles of coverage you don’t need, most insurance companies use riders as a kind of a la carte protection that you can purchase based on your specific needs. This can include coverage for everything from earthquakes and hurricanes to pet damage and identity theft.
Raising or lowering a deductible
Renters insurance is not nearly as expensive as homeowners insurance or car insurance, but it is still another expense that you must handle. Some renters will leverage a higher deductible in order to make their monthly payments more affordable. It is a great strategy to use when you don’t anticipate using your coverage, but should a disaster strike, you could find yourself on the hook for an expensive deductible at a time when you already have a lot of expenses on your plate.
Things to consider about renters insurance in New Jersey
Your renters insurance policy is designed to provide you with a whole host of protections. It can provide personal liability coverage and coverage for medical expenses in the event of injury. You can even benefit from living expenses should you be forced to live somewhere else. Should the unthinkable happen, you need to have the right insurance coverage to protect you, and that begins with the right insurance company.
There are many insurance companies for renters insurance, but each one has different options for policy pricing and availability. Keep in mind that each state has its own requirements, so you need to be sure that you find an insurance company that will fulfill your state’s minimum requirements. Based on our research, we have found State Farm, Amica, Farmers, Allstate and Liberty Mutual to be the cheapest insurance companies available in New Jersey. Be sure to ask your insurance representative about local hazards and potential flood coverage for your New Jersey home.
New Jersey renters insurance FAQs
Renters insurance is not required in New Jersey, but it is a common caveat in many rental agreements. Coverage varies for everyone, so you want to purchase the amount that is right for you. The average policy offers a $500 deductible with coverage that includes $25,000 in personal property and $100,000 in liability protection.
Your policy is yours alone, so your roommate’s belongings are not covered under your policy unless you specifically name them on the policy. The more items you insure, the more expensive your policy will be, so roommates typically obtain their renters own insurance policy.
Too long, didn’t read?
New Jersey renters insurance is just slightly higher than the national average. The winters can be brutal, and its location on the Eastern Seaboard leaves it vulnerable to flooding and hurricanes in the summer and fall. When you shop for the cheapest renters insurance in New Jersey, don’t forget to check the details of your coverage to ensure that you have everything you need to protect yourself no matter where you live in the Garden State.
We welcome your feedback on this article and would love to hear about your experience with the renter insurance companies we recommend. Contact us at inquiries@thesimpledollar.com with comments or questions.
Keep Reading
Methodology
The SimpleScore is a proprietary scoring metric we use to objectively compare products and services at The Simple Dollar.
For every review, our editorial team:
- Identifies five measurable aspects to compare across each brand
- Determines the rating criteria for each aspect score
- Averages the five aspect scores to produce a single SimpleScore™
Here’s a breakdown of the five aspect scores and their rating criteria for our renters insurance reviews.
Why do some brands have different SimpleScores on different pages?
To ensure the SimpleScore is as helpful and accurate as possible, we developed unique criteria for every category we compare at The Simple Dollar. Since most brands offer a variety of financial solutions, their products and services will score differently depending on what we’re scoring on a given page.
However, it’s also possible for the same product from the same brand to have multiple SimpleScores. For instance, if we compare State Farm’s home insurance according to our criteria for the best home insurance, it scores a 3.8 out of 5. But when we compare State Farm according to the criteria for the best auto insurance, it scores higher, since the features the company offers can vary by the type of insurance.
Discounts
We awarded higher scores to insurance providers with more discounts available on their website.
Coverage Options
We gave providers with more renter insurance coverage options a higher score because they’re more likely to have a policy that best meets your needs.
Support
We awarded higher scores to renters insurance providers with the most channels for customer support.
Customer Satisfaction
We leveraged the J.D. Power Home Insurance Satisfaction Study℠ to see how customers rated their experience with each insurance provider. (If a provider wasn’t included in J.D. Power’s study, we skipped this aspect and averaged the four remaining aspect scores.)
Accessibility
We awarded higher scores to insurance providers that have more online and mobile features to easily manage your policy and claims.
Reviewed by
Nashalie Addarich
Insurance EditorNasha Addarich is an editor at The Simple Dollar and a former attorney who specializes in home insurance, auto insurance, life insurance, and savings. She is a former contributing editor to Reviews.com.
