New Jersey’s roadways are some of the busiest in the nation, which makes car accidents a common occurrence—especially in cities like Newark, Trenton, and along the New Jersey Turnpike. Whether you were injured in a fender bender or a serious crash, it’s important to understand your legal rights under New Jersey’s unique car accident laws. This guide outlines how fault is determined, how insurance works, and how general personal injury laws apply to crash victims.
New Jersey Is a No-Fault State With a Choice
New Jersey is a no-fault state, meaning drivers generally turn to their own insurance first to cover medical expenses after an accident—regardless of who caused the crash. However, New Jersey offers a “choice no-fault” system where drivers can choose between:
- Limited Right to Sue (Basic Policy): Lower premiums but limited ability to sue for pain and suffering unless the injury is severe.
- Unlimited Right to Sue (Standard Policy): Higher premiums but allows you to sue for pain and suffering regardless of injury severity.
This choice can significantly impact how much compensation you may be entitled to after a crash.
Comparative Negligence in New Jersey
New Jersey follows a modified comparative negligence rule with a 51% bar. If you’re 50% or less at fault for the crash, you can still recover damages, but your compensation will be reduced by your share of the blame. If you’re 51% or more at fault, you cannot recover anything.
For example, if you’re found 30% at fault for a $100,000 injury claim, you would still receive $70,000.
Auto Insurance Requirements in New Jersey
New Jersey drivers are required to carry at least a Basic Policy, which includes:
- $15,000 per person, per accident for Personal Injury Protection (PIP)
- $5,000 per accident for property damage liability
A Standard Policy offers more protection and higher coverage limits. Uninsured and underinsured motorist coverage is available under the Standard Policy and is highly recommended.
Statute of Limitations for Car Accident Claims
In New Jersey, you have two years from the date of the car accident to file a personal injury lawsuit. This applies whether you’re filing for medical expenses, pain and suffering, or wrongful death.
If the claim involves a public entity (such as a government vehicle), you may need to file a notice of claim within 90 days of the crash.
Reporting Car Accidents in New Jersey
You are required to report a car accident to police if:
- Someone was injured or killed
- There was more than $500 in property damage
You must also submit a written report to the New Jersey Motor Vehicle Commission within 10 days if the police do not file one themselves. Failing to report may result in fines or license suspension.
Personal Injury Law in New Jersey
In addition to car accident laws, New Jersey allows individuals to file personal injury claims when they’ve been harmed due to someone else’s negligence. This includes:
- Slip and fall accidents
- Truck and motorcycle crashes
- Product liability
- Dog bites
- Medical malpractice
You may be eligible for damages such as medical bills, lost income, loss of future earning ability, pain and suffering, and emotional distress. In most cases, New Jersey does not cap personal injury damages.
Types of Compensation Available
Victims of car accidents in New Jersey may be entitled to the following:
- Medical bills, including surgery and rehabilitation
- Lost wages and future income loss
- Pain and suffering (based on your insurance policy)
- Property damage repair or replacement
- Mental anguish or emotional trauma
The compensation you receive will depend on your injuries, the extent of your coverage, and your level of fault.
What If the At-Fault Driver Has No Insurance?
If the other driver is uninsured or underinsured, and you have UM/UIM coverage through a Standard Policy, you can file a claim with your own insurer. This coverage can help pay for your medical expenses, lost wages, and pain and suffering when the other driver doesn’t have enough insurance to cover your losses.
Can Passengers File Injury Claims?
Yes. Passengers injured in car accidents can file claims against the driver of the vehicle they were riding in, the driver of another vehicle, or both. They may also be covered under the car owner’s PIP insurance for medical expenses. Passengers rarely share fault, so their claims are typically straightforward.
Do You Need a Lawyer After a Car Accident?
Car accident cases in New Jersey can become complicated due to the state’s no-fault system and policy options. A personal injury lawyer can help you determine the best course of action, deal with insurance companies, and seek full compensation for your injuries. Most lawyers offer free consultations and only get paid if they win your case.