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The New Jersey auto insurance requirements stipulated by law are represented in the chart below under “Basic Policy” (though such minimal coverage is highly discouraged).
| The chart below compares the differences between the Standard and Basic policies and explains the amounts of coverage you may be able to purchase from an insurer. |
| Type of Coverage |
Standard Policy
|
Basic Policy
|
| Bodily Injury Liability
Coverage for claims and lawsuits by people injured as a result of an auto accident you cause |
As low as: $15,000 per person, $30,000 per accident
As high as: $250,000 per person, $500,000 per accident |
Coverage is not included but $10,000 coverage for all persons, per accident, is available as an option |
| Property Damage Liability
Coverage for claims and lawsuits by people whose property is damaged as a result of an auto accident you cause |
As low as: $5,000 per accident
As high as: $100,000 or more |
$5,000 per accident |
| Personal Injury Protection
Coverage for injuries sustained in an automobile accident by you or other persons covered under your policy |
As low as: $15,000 per person or accident
As high as: $250,000 or more
Up to $250,000 for certain injuries* regardless of of selected limit |
$15,000 per person, per accident
Up to $250,000 for certain injuries* |
| Uninsured/Underinsured Motorist Coverage
Coverage pays for property damage or bodily injury if you are in an accident caused by an uninsured motorist (a driver who does not have the minimum level of insurance required by law) or a driver who is insured, but who has less coverage than your underinsured motorist coverage |
Coverage is available up to amounts selected for liability coverage |
None |
| Collision
Coverage for damage to your vehicle as the result of a collision with another car or other object |
Available as an option |
Available as an option (from some insurers) |
| Comprehensive
Coverage for damage to your vehicle that is not a result of a collision, such as theft of your car, vandalism, flooding, fire or a broken windshield. Comprehensive coverage also pays if you collide with an animal. |
Available as an option |
Available as an option (from some insurers) |
| *permanent or significant brain injury, spinal cord injury or disfigurement or for medically necessary treatment of other permanent or significant injuries rendered at a trauma center or acute care hospital immediately following an accident and until the patient is stable, no longer requires critical care and can be transferred to another facility in the judgment of the physician. |
|
|
| The Right to Sue |
| The Basic Policy includes the Limited Right to Sue option (Limitation on Lawsuit option). |
Please note that these are minimums required by New Jersey state law, not suggested coverage amounts. The simple fact is, each state’s minimum requirements are typically inadequate to sufficiently cover your costs should you be involved in a major accident. The shortfall will have to be made up out of your own pocket. Obviously, having to pay this difference could easily destroy one financially. Therefore, it is highly recommended to get much higher coverage amounts. Consult pages elsewhere on this site for recommendations in this regard.
New Jersey Auto Insurance Requirements – More Information
For more information regarding auto insurance requirements in New Jersey, contact the state’s insurance regulatory agency:
NEW JERSEY – DEPARTMENT OF INSURANCE
P.O. Box 325
Trenton, NJ 08625 United States
Phone: 609-292-5360; 800-446-7467
FAX: 609-292-5865
Web: http://www.njdobi.org
Description: Steven M. Goldman, Commissioner of Banking & Insurance
Note that this information, like all information provided on this site, is provided for as a general guide and is for reference purposes only and should in no way be considered legal advice. Contact the appropriate regulatory agency for the state in question for definitive answers that apply to that state.
