Populated regions like New Jersey see their fair share of car accidents. If you have been in a car accident, then you may be entitled to receive compensation if the accident happened due to another party’s fault. Here are some things you should know about car accident compensation settlements in New Jersey.
No-Fault Auto Insurance
New Jersey is among states upholding the “no-fault” insurance system. Under this system, you should turn first to your insurance provider to cover your medical expenses even if it is from an accident and due to another party’s negligence. The upside is that you save time processing the payment as the system allows providers to pay for the medical expenses very quickly. There won’t be out of pocket expenses or delayed reimbursements on your side. However, the system also limits your right to sue the other party for damages covering pain and suffering unless your injuries are of a specific gravity.
In New Jersey, there are two types of insurance policies known as Standard and Basic. The Standard Policy offers multiple coverage options including the chance to purchase added protection. The majority of people in New Jersey have this policy. The Basic Policy, on the other hand, is an option for people with only a few assets to protect or those having minimal family responsibilities.
For a Standard Policy, here are the details:
Bodily Injury Liability
- Minimum coverage is from $15,000 per individual to $30,000 per accident;
- Maximum coverage is $250,000 per individual to $500,000 per accident.
- Minimum coverage is $5,000 per accident;
- Maximum coverage is $100,000 or more.
Personal Injury Protection
- Minimum coverage is $15,000 per individual/accident;
- Maximum coverage is $250,000 or more.
There are two types of limitation to sue under the standard policy:
- Unlimited Right to Sue – you will have the right to sue the other party for any pain and suffering experienced due to the injury.
- Limited Right to Sue – you can only sue the other party for pain and suffering if you sustain permanent injuries.
For the Basic Policy, here are the coverage details:
- Bodily injury is not included but there is an option for $10,000 coverage for all individuals, per accident;
- Property damage – $5,000 per accident;
- Personal Injury Protection – $15,000 per individual, per accident and up to $250,000 for specific injuries.
As for the limitation on suing, you won’t be able to sue the other party for pain and suffering unless it resulted in permanent injuries. You need to consult with your lawyer on the applicable terms in your case as state laws may also change at any time.
Damages Cap and Time Limits
There might be a limit to the amount of damages that could be awarded for your case, otherwise known as the damages cap law. In New Jersey, punitive damages come with this damages cap. Additionally, there may be a limit or deadline to your case depending on your situation. For example, you have two years to file a claim for a car accident in New Jersey. After two years, it’s impossible to file a lawsuit against the other party.
In New Jersey, you can file for compensation so long as you are not more than 50% at fault. You won’t be allowed to recover any compensation if you are more than 50% at fault.
Consult a lawyer to evaluate your case correctly. He or she can advise you on the best course of action and what steps to take next. At Grossman, we have the right people to assist you in your personal injury settlement case. Contact us today.