Who Has the Cheapest Newark Car Insurance Rates for Welfare Recipients?

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The words "bargain" and "auto insurance" really shouldn't be used in the same sentence, specifically when you are looking for the best price on coverage for welfare recipients. Because it's so expensive, let's start the ball rolling by going over some situations that impact insurance prices, and find out if we can help you take the bite out of the next policy you buy.

For drivers on welfare, one of the big criteria that are looked at to help calculate the amount you pay each year for auto insurance is where you call home in Newark. Larger areas will most likely pay more, whereas areas with less congestion receive better rates.

The information below shows the most expensive places in New Jersey for welfare recipients to purchase a policy in. Newark shows up at #1 with an annual rate of $2,572 for the average policy, which is approximately $214 each month.

How much is auto insurance in Newark, NJ?
Rank City Annual Rate
1 Newark $2,572
2 East Orange $2,571
3 Paterson $2,472
4 Elizabeth $2,470
5 West New York $2,431
6 Union City $2,378
7 Passaic $2,301
8 Clifton $2,299
9 Kearny $2,289
10 Hoboken $2,283
11 Jersey City $2,276
12 Bayonne $2,251
13 Linden $2,185
14 Camden $2,133
15 Perth Amboy $2,102
16 Fort Lee $2,081
17 Atlantic City $2,024
18 Hackensack $1,999
19 New Brunswick $1,932
20 Plainfield $1,918
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Rate information is approximated as the garaging address in Newark can change rates significantly.

The type of vehicle to be insured is a significant factor that determines the availability of the cheapest coverage for welfare recipients. Vehicles with high performance, a lack of safety features, or high incidents of liability claims will cost more to insure than more modest models.

The list below illustrates insurance costs for some of the most budget-friendly vehicles to buy insurance for.

Cheapest Vehicles to Insure in Newark, NJ
Make and Model Estimated Cost for Full Coverage
Honda CR-V EX 2WD $1,715
Honda Accord LX 4-Dr Sedan $1,880
Chevrolet Silverado LS Regular Cab 4WD $1,888
Ford F-150 XLT Super Cab 2WD $1,919
Ford Escape XLT 4WD $1,987
Chevrolet Impala LT $2,028
Toyota Prius $2,087
Hyundai Elantra SE Touring Station Wagon $2,093
Ford Explorer XLT AWD $2,099
Honda Odyssey Touring $2,176
Ford Edge SEL 2WD $2,179
Volkswagen Jetta S 4-Dr Sedan $2,220
Jeep Grand Cherokee Laredo 4WD $2,230
Toyota Tacoma Double Cab TRD Sport Package 4WD $2,264
Ford Focus SE 2-Dr Coupe $2,285
Toyota RAV4 Limited 2WD $2,288
Chevrolet Malibu Hybrid $2,293
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Price data assumes single male driver age 50, no speeding tickets, no at-fault accidents, $1,000 deductibles, and New Jersey minimum liability limits. Discounts applied include multi-vehicle, multi-policy, homeowner, safe-driver, and claim-free. Price estimates do not factor in specific location information which can increase or decrease auto insurance rates substantially.

Looking at the numbers, vehicles like the Honda CR-V, Honda Accord, Chevrolet Silverado, Ford F-150, and Ford Escape will be some of the cheapest vehicles to insure for drivers on welfare.

The illustration below highlights how deductible choice can influence insurance rates when getting quotes for cheap insurance for welfare recipients. The premium estimates are based on a single male driver, full coverage, and no discounts are factored in.

The data above shows that a 50-year-old driver could lower their policy premium by $474 a year by increasing from a $100 deductible up to a $500 deductible, or save $714 by selecting a $1,000 deductible. Even younger insureds, like the 20-year-old, could reduce their rates as much as $1,560 each year by choosing a higher deductible.

When choosing a higher deductible, it's a good idea to have enough spare savings to allow you to cover the extra out-of-pocket expense that is associated with using high deductibles.

Do you need full coverage?

Saving money on insurance is important to most people, and one of the quickest ways to pay lower rates for insurance for welfare recipients is to only buy liability insurance. The diagram below compares insurance costs with full physical damage coverage compared to only buying the minimum liability limits required in New Jersey. The information is based on no violations or claims, $1,000 deductibles, single marital status, and no discounts are taken into consideration.

If we average the cost for ages 20 through 70, physical damage coverage costs $2,681 per year over and above liability coverage. A very common question is if it's worth it to buy full coverage. There is no definitive rule of when to stop paying for physical damage coverage, but there is a guideline you can consider. If the yearly cost of comp and collision coverage is 10% or more of the replacement cost minus the deductible, then it could be time to drop full coverage.

How to get discounts on Newark auto insurance rates

Cheaper Newark, NJ insurance for drivers on welfareInsurance companies that offer coverage for welfare recipients may also provide policy discounts that could reduce prices by as much as 25% or more if you are eligible for them. The best insurance companies and a selection of discounts are included below.

The illustration below shows the comparison of yearly insurance costs with and without discounts applied to the rates. The rate quotes are based on a male driver, no claims or driving violations, New Jersey state minimum liability limits, comprehensive and collision coverage, and $500 deductibles. The first bar for each age group shows the price with no discounts. The lower bar shows the rates with passive restraint, multiple vehicle, homeowner, accident-free, anti-theft, and multiple policy discounts applied. When discounts are applied, theaverage amount saved on insurance for welfare recipients is 28% or $686.

If you aren't sure which coverage to buy and prefer to have professional advice when comparing insurance rates for welfare recipients, the insurance agencies below can most likely help you make a decision which auto insurance policy would work best for you. To find an auto insurance agency closest to you, click the button at the bottom or click here to compare rates now.

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