Car Insurance for a Backup Vehicle in NJ
I’ve recently started a new job that provides me with a company vehicle and a gas card. The contract allows me to use the vehicle for both work and personal travel, but I must cover the gas costs for any personal trips that exceed 200 miles from my home.
While many of my colleagues, who have been with the company for over a decade and have spouses with their own vehicles, have decided to sell their personal cars, I’m not quite ready to part with mine. As someone new to the company without a spouse who has an extra vehicle, I feel it’s wise to keep my car for now.
However, I’m concerned about the high insurance costs for a vehicle I’ll barely use. What are some affordable insurance options for someone in my situation living in New Jersey? Any advice would be greatly appreciated!
In your situation, it’s understandable that you want to keep your vehicle while minimizing insurance costs. Here are a few options you might consider for affordable car insurance in NJ for your backup car:
Consider a “Storage” or “Comprehensive” Policy: If you’re not planning to drive your vehicle frequently, you may want to consider a comprehensive policy or a car storage insurance policy, which typically covers risks such as theft, vandalism, or natural disasters while the car is not in use. This type of insurance can be more affordable than a full coverage policy.
Explore Minimum Liability Coverage: If you do plan to drive your vehicle occasionally, look into the minimum liability coverage required by New Jersey. While this won’t cover damage to your own vehicle, it can be a cost-effective option for rare usage.
Discounts for Low Mileage: Some insurers offer discounts for low mileage. Make sure to inform your provider that you will be using the vehicle infrequently, as this may lower your premiums.
Compare Quotes: Shop around and compare quotes from different insurance providers. Many insurance companies offer online quotes, and you may find significant differences in prices for similar coverage.
Bundling Policies: If you have other insurance policies (like home or renter’s insurance), consider bundling them with the same provider, as this may give you a discount on your auto insurance.
Usage-Based Insurance: Some insurers offer pay-per-mile or usage-based policies that charge based on how much you drive. If you only use your vehicle occasionally, this could be a financially smart choice.
Consult a Local Agent: Sometimes, working with a local insurance agent can help you find the best possible rates and coverage tailored to your specific circumstances.
By exploring these options, you should be able to find a more affordable insurance solution that fits your needs while keeping your backup car safe and ready for use when needed.