NJMVC Insurance and Registration 1 — Questions and Answers
Question 1: Is auto insurance mandatory in New Jersey?
- Yes, liability insurance is required for all registered vehicles (Correct answer)
- No, it is optional
- Only for commercial vehicles
- Only for vehicles less than 5 years old
Correct answer: Yes, liability insurance is required for all registered vehicles
New Jersey requires all registered vehicles to have auto insurance, including liability coverage for bodily injury and property damage, plus Personal Injury Protection (PIP).
Question 2: What happens if you are caught driving without insurance in New Jersey?
- License suspension, fines, and community service (Correct answer)
- A verbal warning
- A small fine only
- Nothing for the first offense
Correct answer: License suspension, fines, and community service
Driving without insurance in NJ carries severe penalties including license and registration suspension, fines of $300-$1000, community service, and possible vehicle impoundment.
Question 3: How often must vehicles be inspected in New Jersey?
- Every 2 years for new registrations, varying for others (Correct answer)
- Every year
- Every 6 months
- Only when sold
Correct answer: Every 2 years for new registrations, varying for others
NJ vehicle inspections are required at initial registration and at varying intervals. New passenger vehicles get their first inspection 5 years after the model year, then every 2 years.
Question 4: What is New Jersey's minimum liability insurance requirement?
- 15/30/5 (bodily injury per person/per accident/property damage in thousands) (Correct answer)
- 25/50/25
- 100/300/100
- No minimum is set
Correct answer: 15/30/5 (bodily injury per person/per accident/property damage in thousands)
NJ requires minimum liability coverage of $15,000 per person/$30,000 per accident for bodily injury and $5,000 for property damage, though higher limits are recommended.
Question 5: What is PIP coverage in New Jersey auto insurance?
- Personal Injury Protection covering medical expenses regardless of fault (Correct answer)
- Property Insurance Plan
- Premium Insurance Protection
- Private Investment Policy
Correct answer: Personal Injury Protection covering medical expenses regardless of fault
PIP (Personal Injury Protection) covers medical expenses for the policyholder and passengers regardless of who caused the accident, required as part of NJ's no-fault insurance system.
Question 6: Where can you register a vehicle in New Jersey?
- At an MVC agency or online through the MVC website (Correct answer)
- Only at a dealership
- At any police station
- Only by mail
Correct answer: At an MVC agency or online through the MVC website
Vehicle registration in NJ can be completed at Motor Vehicle Commission (MVC) agencies in person, or through the MVC website for certain transactions.
NJMVC Insurance and Registration 1
Is auto insurance mandatory in New Jersey?