Many residents in New Jersey have heard people from out of state remark how we pay more for auto insurance than they do. There is an element of truth to that perception. Some people get “sticker shock” when they buy a new car, only to find out that now their insurance rates have increased substantially. Others often face much higher auto insurance premiums when a teenager in their household gets his or her driver’s license.
Sometimes people respond to the increase in rates by decreasing the amounts of their coverage in an attempt to lower their premium. This is not a wise decision.