Car insurance is mandatory in New Jersey. Whether you're buying a new insurance policy or renewing your current policy, you have to make a lot of decisions about the coverage you need and the amount you can afford. The standard car insurance policy offers different coverage options and the opportunity to purchase additional protection. The standard policy is the type of policy most New Jersey drivers choose.
The basic policy usually costs significantly less than a standard policy, but offers limited benefits. It's not for everyone, but it offers enough coverage to meet the minimum insurance requirements of New Jersey law. The basic policy could be an option for those who have few family responsibilities and few assets to protect (including income from a job). For the standard policy, you must choose the rights you will have if you are injured in a car accident.
If you have any questions about the standard policy, your agent, insurance company, or DOBI can help. This information is not an insurance policy, does not refer to any specific insurance policy, and does not modify any provision, limitation, or exclusion that is expressly stated in any insurance policy. All insurance products are governed by the terms of the applicable insurance policy, and all related decisions (such as coverage approval, premiums, fees and charges) and policy obligations are the sole responsibility of the insurance insurer. Bankrate explains what's happening with New Jersey's car insurance requirements and how these changes will affect New Jersey drivers.
MoneyGeek also ranked the best auto insurance companies in New Jersey for those who want solid service and affordable rates. That's why it's also important to know how much car insurance you need, so as not to jeopardize your personal assets in the event of an accident. The main reason car insurance is mandatory in almost every state is because of your personal liability (liability) if you cause an accident. While all drivers must meet the minimum state insurance requirements, the rental company you choose will likely have a different set of insurance requirements when you rent a car.
Personal injury protection, called PIP, is insurance that financially covers injuries caused by a car accident regardless of who is at fault. Some consumers may have no choice but to choose to give up insurance altogether, which would benefit no one and could increase the uninsured rate in New Jersey, which is currently the lowest in the country, at 3.1 percent. Driving without insurance is a serious offense in New Jersey and can result in fines, penalties and prison sentences.