New Jersey is a No-Fault Insurance State. But, What Does That Mean?

If you get into a car accident in New Jersey, you’re probably a little confused as to how the system works. After all, you would think that if someone was driving erratically and had hit your car, then they are at fault and their insurance should pay. After all, that’s how it’s done in other states, right? Well, not exactly. New Jersey is one of only a handful of states that follows the no-fault insurance system. But what does that mean exactly?

For example, you’re driving to work one sunny morning when a driver rear-ends your car. The driver, who was texting and driving, is fine but you were thrown violently in your seat and hurt your spinal cord. The doctors tell you that you’re going to suffer from chronic pain for the rest of your life thanks to the accident. So, that driver is at fault and his insurance will be paying the bills, right?

According to our state’s car insurance laws, if you are injured in a car accident, the person who will be footing the bill is actually your own car insurance. The law states that no matter who is at fault for the accident, you are required to contact your own car insurance first to get compensation for your expenses. But what if the insurance doesn’t cover your bills? Well, there are other options.

In New Jersey, you have the option to buy personal injury protection insurance, better known as PIP insurance. This type of policy will cover you, your family, and certain passengers who travel with the driver. With PIP, it’s a guarantee that your expenses are covered, no matter if you’re found at fault or not. It’s to make sure that everyone receives coverage in case an auto accident occurs.

So after you get into an accident and you are injured, one of the first things you should do after receiving medical attention is to call your insurance company. But sometimes this can be a difficult process. That’s why it may be beneficial to speak with an experienced car accident lawyer to help you with your claim and to make sure your get the compensation that you deserve.

If you get into a car accident, don’t wait. Contact the Law Offices of Anthony Carbone now for a free consultation.