SOUTH JERSEY (KYW Newsradio) — New Jersey continued to see auto insurance rates skyrocket. A new report found that rates increased by more than 30% in the last two years.
As one of the most densely populated states, New Jersey naturally has more crashes and higher rates than most states. The New Jersey Monitor’s analysis found that rates increased by 30% over the last two years and state regulators continued to approve increases.
Christine O’Brien with the Insurance Council of New Jersey said some laws passed in Trenton to increase mandatory minimum coverage have also contributed to higher rates.
“And so when you increase the amount of insurance that one has to buy, that does correlate in a higher price for that coverage,” she said.
State Senator Jon Bramnick, who works as an attorney in his day job, said higher rates are the result of more crashes and the laws he supported were intended to protect consumers.
“This is a technique used by insurance companies to stop consumer-friendly legislation. And, I intend to continue to legislate on behalf of the consumer and not an insurance lobby,” he said.
Bramnick said he wants to see the insurance companies open their books so his team can see where cost savings may be possible.
Average rates for full coverage in New Jersey was about 20% higher than the national average. However, minimum coverage was nearly 70 percent higher in Jersey than it was nationally.
