In New Jersey, it doesn’t matter whether you have been informed of your rights to elect to the full tort or zero threshold option on your car insurance.    In fact, the only thing the insurance agent or insurance company has to do is to offer you the minimum insurance policy that conforms to New Jersey Motor Vehicle Insurance Law.  

Currently in New Jersey, the minimum auto insurance policy or the basic policy gives the following coverage:

$0.00 for liability coverage (if you injure someone) $0.00 for Uninsured Motorist Coverage (if someone injures you and does not have insurance)$0.00 for Underinsured Motorist Coverage (if someone injures you and does not have enough insurance)$5,000 for property damage$15,000 for medical bills per person per accident (PIP) or up to $250,000 for medical bills for a serious injuryThat is it!   New Jersey law does not require its citizens to drive with liability coverage.   So, anyone can hit you, injure you, and have no insurance (and probably no personal assets) to compensate you for your injuries!  Bad law?That is why it is important that you make use of our free Saile & Saile LLP auto insurance review.   It is extremely important that you choose full tort or zero threshold and have adequate liability, underinsured, and uninsured motorist coverage.  As we discussed in an earlier blog entry, you have the right to choose full tort or limited tort auto insurance policy.    In the earlier blog entry we discussed the differences.     But what happens if the insurance company or insurance agent doesn’t tell you about the full tort or zero threshold option?Nothing! The auto insurance companies have lobbied the NJ legislature to make a law to protect them from lawsuits for misrepresentation and fraud.  As long as they offer you a basic automobile insurance policy they are protected.

Most of my NJ clients have never heard or the full/limited tort or zero/verbal threshold distinction until after their accident.   Unfortunately at this point it is too late to choose the better auto policy. 

Many lawyers, including myself believe that insurance companies and insurance agents do not usually tell you and inform you about the full tort or zero threshold option because the insurance companies make more money with limited tort or verbal threshold policies.   Most limited tort or verbal threshold insurance claims are not taken to court or are thrown out of court by a judge or jury due to this bad law.

Pennsylvania protects its citizens with a better and fairer law.  Pennsylvania drivers must sign a waiver form to show that they have been informed of the full tort/limited tort distinction and have made an informed choice.

We have attached the NJ law that limits the liability of an automobile insurance company or an automobile insurance agent here:

NJ Auto Insurance Immunity Law.pdf  

The author, Michael L. Saile, Jr., Esq. of Saile & Saile LLP, Attorneys-at-Law focuses his practice on fighting for plaintiffs’ personal injury victim’s rights in both Pennsylvania and New Jersey.  We handle all serious injuries, car accidents (both limited and full tort), wrongful death, slip & fall downs, construction accidents, Septa, NJ Transit, and other cases other cases. We are located just outside of Philadelphia in lower Bucks County.  Please visit our personal injury only website at www.pa-nj-injurylawyer.com for more injury information.