New Jersey Manufacturers Auto Insurance Review
The NJM Auto Insurance Company grew out of the New Jersey Manufacturers Casualty Insurance Company, founded in 1913 under President Woodrow Wilson when he pledged to provide injured workers with medical insurance and partial wages.
This N.J. Manufacturers Auto insurance review looks at the opinions of independent consumer publications to see if and how the growth of the company has affected customer satisfaction.
In this review:
NJM Auto Insurance Coverage
It’s important to take into account the different types of coverages and policies offered by N.J. Manufacturing Auto.
Bodily Injury Liability:
Bodily injury liability coverage pays for injuries and death that may occur because of an accident caused by you or another person driving your car.
Property Damage Liability:
Property damage coverage reimburses others for damage to another vehicle or property, such as utility poles or fences, in an at-fault accident.
Collision coverage is optional and pays for damage to your car due to a collision with another vehicle or object in an accident that you cause. Collision policies also protect you from damage caused by driving incidents that aren’t accident-related, such as damage from potholes.
This policy option takes care of theft and damage due to a non-collision event, including most natural hazards.
NJM Car Insurance Claims Satisfaction
Once you open a policy with an NJM Auto representative, you probably won’t deal with the company again for quite some time, until you have a life event which causes you to add a teen driver, new car, additional car, or other drivers to the policy.
Other than that, and when they have the occasional billing question, the only time most drivers speak with NJM Auto representatives is during the claims process after an accident.
For this reason, N.J. Manufacturers Auto insurance reviews place a high level of importance on how the insurer communicates with customers who file a claim.
J.D. Power Company Ratings
Market research firms such as J.D. Power rank insurers based on an array of criteria, including the three key performance indicators employed by most claims process rating firms. These KPIs are communication, ease of service interaction, and timeliness of responses.
The J.D. Powers 2017 U.S. Auto Claims Satisfaction Study gave N.J. Manufacturers Auto insurance a 5 out of 5, or “among the best” in its claims support to clients.
Under the repair process and settlement, the company received a 5 out of 5.
In claims servicing, estimation process, and rental experience categories, it achieved a 4 out of 5 rating.
This puts the company on par with Amica Mutual and USAA in this category.
NJM Insurance Group Customer Ratings
When drivers search for auto insurance, one of the things they look for is how satisfied current customers are with their coverage.
All interactions with the company fall into this category, whether online, in person, or via direct mail.
How well the company manages complaints is vital to its customer experience, directly impacting how likely customers are to recommend the insurer to a friend or family member.
NJM is Top Rated for Customer Service
In the J.D. Power shopping study, N.J. Manufacturers Auto insurance reviews show a 5 out of 5 in every category, including Policy Offerings, Price, Billing Process, Interaction, and Claim.
The only other company to receive this rating was USAA insurance. It’s clear that this company cares about its customers, as evidenced by its reviews.
The State of New Jersey Department of Banking and Insurance provides an Auto Insurance Consumer Information Report (Complaint Ratios) that calculates complaint ratios based on the number of complaints originating in New Jersey, as well as the number of claims received.
In the 2017 study, N.J. Manufacturers Auto had one valid complaint out of 831,026 vehicles insured, for a complaint ratio of 0.0012, where the indexed average for the list is 1.0.
All companies with no complaints had fewer than 40,000 cars, making N.J. Manufacturer’s ratio all the more significant. The only company with more drivers was Geico with 1.2 million drivers, 36 complaints, and a complaint ratio of 0.8.
The National Association of Insurance Commission registered a private passenger complaint ratio of 0.03 with only 3 complaints filed against N.J. Manufacturers Auto (NAIC #12122) in 2017.
How Much Does NJM Auto Coverage Cost?
All car insurance companies set the prices of their policies by looking at many different factors, including the driver’s age, gender, driving history, and geographic location.
And, of course, insurers also consider the make and model of the car. In order to better understand how this works, let’s look at the following scenarios:
- Single Female (licensed 9 years): One car (Toyota Camry), one violation and one no-fault accident in the preceding three years, work driving use, approximately 12,000 miles per year, living in Miami-Dade County, Florida
- Single Male (licensed 9 to 15 years): One car (Toyota Camry), no violations, driving around 12,600 to15,000 miles a year, living in San Francisco County, California.
Although NJM Auto insurance is not listed in the Florida database, to get an idea of how prices change, here are the high, low, and median prices for standard coverage in scenario one:
- Low: United Services Automobile Association at $2,442
- Median: United Automobile Insurance Company at $4,112
- High: Direct General Auto Insurance at $9,036
Option two, which involves the single male residing in California, also doesn’t include NJ Manufacturers Auto.
However, to get an idea of how prices fluctuate according to changing variables, here are the high, low, and median prices for standard coverage:
- Low: Everest National at $1,428
- Median: Allstate at $3,727
- High: Viking at $9,385
NJM Insurance Financial Strength
Many consumers don’t think about how a company’s financial strength and stability can determine its ability to pay existing and new claims.
However, it’s a vital part of any auto insurance review. Without judging a company’s financial strength, there’s no way to make sure if an insurer has the ability to cover its current and possible outstanding obligations.
A good place to start is with the Insurance Information Institute, which provides important information on how to research N.J. Manufacturers Auto insurance with the five major ratings agencies, A.M Best, Moody’s, Standard & Poor’s, Fitch, and Kroll Bonding Agency.
A.M. Best provides NJ Manufacturers Auto insurance an A+, showing stability.
While Moody’s Investors Services no longer evaluates the company, it is possible to obtain financial statement information from the NAIC website and have an independent third party review them.
Is NJM Auto Insurance Right for You?
Use the above information to help you decide whether N.J. Manufacturers Auto insurance ratings increase your confidence in choosing it as your insurer.
Make sure to pay close attention to its nearest competitors and the top insurers in your market to get the best insurance for your vehicle.