In New Jersey, you need $5,000 in property damage liability insurance to drive legally, as well as $15,000 in personal injury protection (PIP) (up to $250,000 for certain injuries). Unlike most other states, New Jersey does not require every driver to carry bodily injury liability insurance.
Even though New Jersey’s no-fault system means that drivers file injury claims with their own policy, the at-fault driver can be sued if they cause an accident that results in death, dismemberment, significant disfigurement or scarring, or another serious injury. As a result, it’s a good idea to purchase bodily injury liability insurance, anyway, since it can help cover legal fees and other expenses if you cause a serious accident. And no matter what, you should be sure to fulfill the minimum New Jersey car insurance requirements to avoid facing consequences for driving without insurance.
Finally, drivers should also consider purchasing other types of car insurance in order to better protect themselves, given that liability insurance does not provide any coverage for the policyholder’s own injuries or property. For instance, collision insurance covers damage to the policyholder’s car regardless of fault. And comprehensive insurance pays if the policyholder’s vehicle is damaged by something besides an accident, like a natural disaster or vandalism.
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