Best cheap homeowners insurance in Jersey City

Best cheap home insurance companies in Jersey City

There are lots of New Jersey home insurance companies, but some are more affordable than others. According to rate data from Quadrant Information Services, the cheapest companies in Jersey City include NJM, USAA and Chubb. As part of Bankrate’s review, our insurance editorial team gave each insurer a Bankrate Score out of five points, which reflects criteria like coverage options, affordability, financial strength and J.D. Power customer satisfaction scores.

Here are the best cheap home insurance companies in Jersey City, based on our research.

*USAA does not officially qualify for J.D. Power ranking due to eligibility restrictions

NJM

NJM may be a good option for homeowners looking for low rates and lots of discount opportunities. The company offers potential savings for bundling home and auto policies, having a backup or portable generator, not smoking and installing storm shutters and hurricane glass. NJM may also be a good option for older homeowners as it offers a discount for those over 65 years old, as well as an endorsement for assisted living care coverage. Other endorsements include fungi coverage, rot and bacteria coverage, supplemental loss assessment and credit card coverage. Homeowners looking for digital policy management may not find what they’re looking for with NJM though, as it doesn’t offer many digital tools or a mobile app.

Learn more: NJM insurance review

USAA

USAA consistently receives high scores for customer satisfaction from J.D. Power. It also has some of the most affordable premiums in Jersey City. However, only active duty military members, veterans and their eligible family members can get coverage from USAA. USAA includes replacement cost coverage in its standard homeowners policy, plus deductible-free uniform coverage for active-duty military members. The carrier also has other types of homeowners insurance protection available, such as home-sharing coverage, earthquake coverage and flood insurance. USAA offers some discounts but may not have as many opportunities as other providers on this list.

Learn more: USAA insurance review

Chubb

Chubb specializes in insuring high-value homes. Standard home insurance policies from Chubb include extended replacement cost coverage, risk consulting and a cash settlement option if you have a claim. Plus, Chubb may help you find temporary housing and pay the difference in expenses if your home is damaged in a covered loss and you have to temporarily relocate. Although Chubb has below-average premiums in Jersey City, it does not offer as many discounts as other providers we reviewed. The only advertised ways to save are to bundle home and auto or home and valuable articles insurance policies.

Learn more: Chubb insurance review

Travelers

Travelers offers a wide selection of coverage options and discounts for Jersey City homeowners. You can customize your policy with endorsements like scheduled personal property coverage, contents replacement cost coverage, water backup coverage, green home coverage and identity fraud protection. Discounts include savings for having a LEED-certified home, being a new home buyer, having no prior insurance losses and more. However, Travelers is rated near the bottom of J.D. Power’s 2022 Home Insurance Study, which may indicate that some policyholders are not satisfied with the company.

Learn more: Travelers insurance review

Preferred Mutual

Although Preferred Mutual is the priciest on our list of the best cheap home insurance companies in Jersey City, its average annual premium is still below the citywide average rate. Preferred Mutual might be another good choice for homeowners with high-value homes or those with above-ground swimming pools. Preferred Mutual was not rated by J.D. Power, but it earned an A rating from AM Best for financial strength, which indicates that the company has a strong history of paying out claims. However, if you want to visit an agent in an office, you will have to make the drive up to North Bergen or Secaucus.

Home insurance coverage options in New Jersey

Jersey City typically experiences several weather-related events each year that may impact your home insurance. While standard home insurance policies provide comprehensive coverage, there are some losses that may not be covered. To fill gaps in your coverage, you might consider purchasing endorsements for more protection. Here are some popular add-ons that Jersey City homeowners may benefit from:

• Flood insurance: Flood damage is not covered by standard home insurance policies. Because many New Jersey homes are at risk of flooding due to severe storms and hurricanes, having a separate flood insurance policy may be helpful for additional financial protection in the event of a covered peril.
• Water backup insurance: Water backup insurance, also called sewer backup coverage, is an endorsement that provides coverage if water backs up into your home through sewer pipes or drains. It may also cover certain water damage issues, like mold.
• Identity theft insurance: Identity theft insurance may pay for identity restoration services if your identity is stolen. For example, this policy might cover credit monitoring for a certain period of time or assistance with canceling credit cards and other personal accounts.

Home insurance discounts in Jersey City

Many New Jersey home insurance companies offer discounts to help homeowners save money on their policies. Most insurance carriers let you combine discounts for additional savings. Here are some common home insurance discounts you may find:

• Bundling and multi-policy discounts: When you purchase more than one policy with the same provider, you may earn a multi-policy discount. The most common type of bundle, and the one that typically yields the most savings, is a home and auto bundle.
• Claims-free discounts: If you have not filed a home insurance claim in a given period of time (typically three to five years), your insurance company may give you a discount on your premium.
• Safety discounts: If your home is equipped with safety features, like smoke detectors or a home security system, you could qualify for a discount.

Home insurance discounts may significantly reduce your premium, especially if you qualify for multiple. It may be worthwhile to check with your insurance provider when your policy renews to make sure you are taking advantage of all the discounts you are eligible for.

Frequently asked questions

Methodology

Bankrate utilizes Quadrant Information Services to analyze 2023 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on 40-year-old male and female homeowners with a clean claim history, good credit and the following coverage limits:

• Coverage A, Dwelling: $250,000
• Coverage B, Other Structures: $25,000
• Coverage C, Personal Property: $125,000
• Coverage D, Loss of Use: $50,000
• Coverage E, Liability: $300,000
• Coverage F, Medical Payments: $1,000

The homeowners also have a $1,000 deductible and a separate wind and hail deductible (if required).

These are sample rates and should be used for comparative purposes only. Your quotes will differ.