Need New Jersey Auto Insurance Quotes?

Purchasing auto insurance in New Jersey is an important matter and as such, it deserves significant thought and consideration. Several factors may affect your decision regarding the type and amount of auto insurance that you choose to purchase. Regulations regarding auto insurance vary from one state to the next. Be sure to consider the following facts, when considering the purchase of New Jersey auto insurance.

The state of New Jersey has a car insurance system that is somewhat different from other states. Liability insurance is required for all drivers. However, unlike in other states, there are two New Jersey car insurance types: standard auto insurance plan and basic auto insurance plan. The standard plan is required to have the following components: bodily injury liability, property damage liability, uninsured motorist coverage, underinsured motorist coverage and personal injury protection. The optional basic plan does not offer uninsured and underinsured motorist coverage.

There is another distinction between those two plans. According to the state of New Jersey laws, the state limits for the standard plan are 15/30/5: $15,000 coverage for bodily injury for any one person, $30,000 coverage for bodily injury for all persons injured and $5,000 coverage for property damage. The minimum limits for the optional basic plan are lower - 10/10/5. The basic New Jersey car insurance plan also includes the “Limited Right to Sue” restriction.

The proof of insurance is required to be present in the car at all times. Driving without insurance in New Jersey may result in a $300 fine, license suspension for one year, community service and vehicle impoundment. New Jersey Department of Banking and Insurance works with different insurance issues. According to the National Association of Insurance Commissioners, New Jersey residents usually have some of the highest insurance expenditures in the nation ($1,188.42 average insurance expenditure). However, the “Dollar-a-Day’’ state’s minimum auto insurance policy is offered for a price of $360 per year to low income residents enrolled in Medicaid.

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