Guide to New Jersey Auto Insurance Basics
In New Jersey, a no-fault system is what determines the outcome of auto accident claims. This means that no one is deemed at fault for the accident and each person's respective insurance company will pay for their own costs associated with the accident.
This does tend to mean your rates would be lower than the standard, tort-based system, in which fault is assigned. Nonetheless, an adequate level of insurance coverage is still very important. We can help you determine the right coverage level. Simply request a New Jersey auto insurance quote now. It's fast, free, and easy!
It's important to note: Just because the "no fault" system is in place does not prevent someone from suing you, which is why you'll still want adequate insurance coverage to protect you from costly lawsuits. Luckily, insurance companies provide coverage that will help pay for the costs of litigation.
Requirements for New Jersey auto insurance
The state of New Jersey stipulates minimum amounts of auto insurance coverage to ensure citizens are adequately protected in a financial sense, should they be involved in an accident:
- The minimum level of coverage required in New Jersey for liability protection is specified as 15/30/5, which is fairly low compared to many other states but reflects the no fault nature of the New Jersey system.
- With this level of coverage, you will be covered for $15,000 in bodily injury per person per accident, $30,000 in total bodily injury, and $5,000 in property damage.
- You will also need to carry $15,000 in personal injury protection coverage. It may be wise to go above the minimums and so work with us to determine this.
- Additionally, in New Jersey, you may choose to protect yourself from uninsured motorists. The Insurance Research Council found that 8% of New Jersey drivers are uninsured.
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