NJM Insurance Review

NJM Insurance Company, also known as New Jersey Manufacturer, was founded in 1913. It is one of the largest insurance providers in the state of New Jersey for over a century. NJM provides insurance coverage  in New Jersey, Pennsylvania, and Connecticut.

NJM offers car, homeowners, and umbrella insurance.

NJM Car Insurance Coverages

NJM Insurance provides a number of car insurance coverages:


This coverage protects your car from the damage resulting from a collision with another vehicle or object. Generally, this is optional, unless you have leased or financed the car.


The insurance includes the coverage of damage or harm caused by burning, flooding, hailstorms, vandalism, broken windshields, and theft of your car. This is usually only recommended for new, high-end, or financed vehicles.

Personal injury protection (PIP)

This policy covers you from any accidental medical emergency. PIP covers the medical and hospital bills of you and the passengers in your car, regardless of who is responsible for the accident.

NJM will pay between $15,000 and $250,000 per incident or injury, depending on the limits you choose. In New Jersey and Pennsylvania, PIP is a necessary insurance coverage by law.

Body injury liability

In the case of an accident, this bodily injury liability  covers your injuries, damages, and court costs. It is also legally necessary in states to carry ample coverage in case of an accident. NJM offers up to $500,000 for bodily injury and property damage liability.

Property damage liability

This coverage takes care of the damage to somebody’s property in an incident, caused by your car. In some states, it is also mandatory to have property damage liability.

New car replacement

This insurance coverage pays to buy a vehicle with the same make, model, and year if you suffer a complete loss (total loss). Your car must be two years old or less at the time of the accident to utilize this coverage.

Loan gap coverage

When the car is totally lost or stolen, under gap coverage the insurance company will cover the accrued financial expenses other than the cost of the vehicle as interest on the loan. It is an optional add-on coverage to an existing plan.

Underinsured motorist (UIM)

This policy covers medical costs in the event that the other driver does not have enough liability insurance to cover the complete cost of the injuries sustained as the result of an accident.

Uninsured motorist (UM)

This coverage includes the damages and injuries of an incident caused by someone who has no liability insurance or a hit and run driver.

Medical payments

In the unfortunate cases of a severe accident, this coverage will pay for medical and funeral costs up to the extent of your coverage.

Transportation expenses

If your vehicle is damaged in an accident and is unable to start, your emergency transportation costs will be paid for by this cover. You can select a $20 or $30 regular limit or pay extra for up to $ 100 a day.

Towing and labor

NJM stands out for providing this service on all auto policies free of charge. Each time an insured car suffers a mechanical failure, flat tire, or lockout, the insurer pays up to $75.

Pet injury

If your pet gets injured in an accident. Under this policy, it offers your vet care for your pet if needed after a car accident injury. They provide emergency treatment and other expenses for your injured dog or cat.

NJM Discounts and Benefits

NJM offers attractive discounts for qualifying customers.

Home and auto bundle

To receive a discount, select NJM for your auto and home insurance, or tenants.

New car

When you are driving a car that is two years old or older, then you can avail of this discount.

Multi-car discount

Save money with NJM by having all of your vehicles covered.

Full coverage

By opting for both comprehensive and collision coverage, you can lower your total premium rate.

Anti-theft device discount

Is your car equipped with an anti-theft or vehicle recovery device? You’ll likely get a discount.

Telematics program

NJM offers software called SafeDrive that monitors your actions through an app and offers secure discounts. The app will score you based on a variety of factors: your braking, cornering, pace, acceleration, and whether you’re driving while your phone is distracted.

Driver training discount

This is eligible for drivers younger than 21 who complete 30 hours of instruction in the classroom and 6 hours of back-the-wheel training. Behind the wheel, the experience can also involve 3 driving hours in an accredited driving simulator and 12 hours in it.

Defensive driving

If you have completed a New Jersey Motor Vehicle Commission approved defensive driving course, you can earn a 5 percent discount for up to three years. Every three years you can retake the course, including online courses.

Mature driver improvement discount

Older drivers may apply for a discount in Pennsylvania or Connecticut if they complete an approved driver training course.

Good student discount

NJM may reward students  by reducing their premium if they  are a high school or college student with an average B or 3.0 GPA or higher

Payment discounts

Get incentives for paying your premium in full, either electronically or by paperless billing. The discount on paperless billing is not valid in New Jersey.


In addition to providing a tailored service and a long list of discounts, NJM pays its policyholders dividends at an average rate of 5 percent of the annual premium per year. Since 1918, NJM policyholders have been payed more than $6 billion in dividends.

Pros and Cons


  • Have a great network of local agents who are aware of local driving laws of their state
  • They provide drivers with bad credit some of the lowest rates


  • Operates in only 3 states
  • Lack of online services


NJM offers great plans and has good market standing, it is also ranked as one of the top three companies for its customer satisfaction in J.D. Power’s 2019 Auto Claims Satisfaction Study.