TRENTON, N.J., October 29 – New Jersey Manufacturers Insurance Company announced it would return a record breaking special dividend of $132 million to 405,000 auto insurance policyholders this year, and State Farm announced a dividend of $60 million to 300,000 eligible auto policyholders.

NJM president and CEO Anthony G. Dickson said this would be the largest special dividend the company has paid in its 94-year history.

He said qualified policyholders would receive dividend checks averaging $327 each when the mailings occur from November 19 through December 12. Dickson said that with dividends, the net cost of a NJM car insurance policy was just $812 a car. Dickson noted that NJM has not increased overall rates since 1996, and he said overall rates had been decreased four times in the past 10 years despite escalating medical costs and occasional volatile market conditions.

Dickson also announced that the NJM board of directors has approved a 15 percent regular dividend for workers compensation policies.

For State Farm, the dividend payments average about $185 per policy. Carla Temple, vice president, agency for State Farm Indemnity, said that the company has lowered its auto rates an average of 32 percent during the last four years.

Weve increased our advertising presence, were writing more business, and are pleased to be back as a leader in the New Jersey market, Temple said.