NJ DMV NJ DMV Insurance Requirements 2

Question 1

What is the NJ surcharge for driving without insurance, imposed by the Motor Vehicle Commission?

Accepted Answer

$250 per year for 3 years

Answer

The NJ MVC imposes a $250 per year surcharge for 3 years (totaling $750) for conviction of driving without insurance.

Question 2

What is New Jersey's 'No-Fault' insurance system?

Accepted Answer

A system where your own insurer pays your medical bills regardless of who caused the accident

Answer

NJ's no-fault system requires your own insurer to pay your medical expenses after an accident regardless of who was at fault, through PIP coverage.

Question 3

In NJ, under the 'limitation on lawsuit' threshold, when can you sue another driver for non-economic damages?

Accepted Answer

Only when the injury meets a defined threshold of severity (e.g., death, dismemberment, significant disfigurement, or permanent injury)

Answer

Under NJ's verbal threshold (limitation on lawsuit), you may sue for non-economic damages only when the injury meets specific severity criteria such as permanent injury or significant disfigurement.

Question 4

How long does a NJ insurance company have to notify the MVC after canceling a driver's auto insurance?

Accepted Answer

5 days

Answer

New Jersey insurers are required to notify the MVC within 5 days of canceling an auto insurance policy.

Question 5

What is the minimum PIP (Personal Injury Protection) coverage amount required under a NJ Standard auto insurance policy?

Accepted Answer

$10,000

Answer

New Jersey requires a minimum of $15,000 in PIP coverage under the Standard auto insurance policy.

NJ DMV - New Jersey Department of Motor Vehicle Practice Test

NJ DMV - New Jersey Department of Motor Vehicle Practice Test

NJ DMV NJ DMV Insurance Requirements 2