New Jersey requires all motor vehicles to be insured. You and your parents should check with your family’s insurance company to make sure you are fully covered.

Planning ahead: How Can I Help Keep Teen Driver Auto Insurance Costs Down?

  • Keep your grades up. Most insurers offer lower auto insurance rates for students with a “B” or higher grade average.
  • Investigate discounts. Many insurers offer discounts for teen drivers who complete driver’s education or defensive driving courses.
  • Don’t get your own car yet. If you won’t be the main driver for any of your family’s vehicles and can be classified as an occasional driver of one car, you could save your family hundreds of dollars in auto insurance.
  • Practice, practice, practice. Now is the time to drive a lot with your parents under different conditions, so you’ll have fewer surprises (and potential crashes) when you’re driving solo.
  • Partner with your parents. Research shows that teen drivers with more involved parents get fewer tickets and engage in less risky driving. Avoiding tickets and crashes will help keep your auto insurance rates down. Completing a parent-teen driving agreement with your parents can help.

Car Insurance Requirements in New Jersey

All New Jersey registered vehicles must be covered by an automobile liability insurance policy that insures against loss resulting from liability for bodily injury, death and property damage where coverage amounts shall be at least:

  1. $15,000 for injury or death of one person in any one accident;
  2. $30,000 on account of injury or death of more than one person in any one accident; and
  3. $5,000 for property damage in any one accident.

Please visit the New Jersey Department of Banking and Insurance for detailed information on automobile insurance.

Learn more about car insurance available through AAA.

  • AAA StartSmart – A series of newsletters that address the challenges teens face when learning to drive.