New Jersey Car Insurance

State minimum insurance requirements in New Jersey

In New Jersey, the state minimum coverage requirements are as follows:

Liability

• Bodily Injury $15,000 per person
• Bodily Injury $30,000 per accident
• Property Damage $5,000 per accident

Uninsured/Underinsured Motorist

• Bodily Injury $15,000 per person
• Bodily Injury $30,000 per accident
• Property Damage $5,000

Personal Injury Protection

• $15,000 PIP coverage per person (Primary or Secondary to health coverage)

Right to Sue

• Limited or Unlimited

Optional coverage in New Jersey (varies by carrier):

• Additional PIP
• Extended Medical Benefits
• Funeral Expense Coverage
• Death Benefit Coverage
• Comprehensive Coverage
• Collision Coverage
• Rental Car Reimbursement
• Roadside Assistance/Towing and Labor

Liability coverage is legally required in New Jersey and pays for injury and lost wages that you cause to another driver or their passengers as well as damage to the other driver’s vehicle in the event that you are considered “at fault” in an accident. The coverage limits are determined by each individual state and normally split into three categories. In New Jersey, the minimum is listed as 15/30/5 and explained below:

$15,000 bodily injury coverage per person. This is the maximum dollar amount that pays for a single person that you injure in an auto accident.

$30,000 bodily injury coverage per accident. This is the maximum dollar amount that pays for all injuries that you cause in an accident if more than one person is hurt.

$5,000 property damage per accident. This is the maximum dollar amount that pays for damage that you cause in an accident.

Uninsured/Underinsured Motorist coverage is legally required in New Jersey and pays for injury and lost wages that you or your passengers may suffer in the event that you are hit by an uninsured/underinsured driver who is at fault. The coverage limits are determined by each individual state and normally split into two categories. In New Jersey, the minimum is listed as 15/30/5 and explained below:

$15,000 bodily injury coverage per person. This is the maximum dollar amount that pays for a single person injured in your vehicle by an uninsured/underinsured driver.

$30,000 bodily injury coverage per accident. This is the maximum dollar amount that pays for all injuries in your vehicle by an uninsured/underinsured driver if more than one person is hurt.

$5,000 property damage coverage per accident. This is the maximum dollar amount that pays for damage caused to your vehicle by an uninsured/underinsured driver.

Personal Injury Protection (PIP) in New Jersey can be coordinated with your health insurance or is offered as a stand-alone coverage for drivers that do not carry health insurance. It is important to check with your health insurance provider as to how or if they provide coverage for injuries resulting from auto accidents. Work loss, death benefit, and funeral expenses are not required but can be added to PIP to broaden coverage for you and your passengers. Minimum PIP coverage in New Jersey is listed below:

$15,000 per person. This is the total that pays out for injuries suffered by anyone in your vehicle, including the driver, regardless of fault. Limits can be increased to better suit your needs.

The lawsuit options in New Jersey determine a driver’s ability to sue for pain and suffering resulting from an accident. Choosing the “limited” option restricts the policyholder and their household members’ right to sue for pain and suffering in an accident to extreme circumstances like death, permanent disfigurement, or loss of a body part in return for a lower premium. Selecting the “unlimited” option allows the policyholder to sue for pain and suffering regardless of the severity of the injuries. This is generally a much more expensive option.