New Jersey state is one of twelve states in the U.S. that follow a “no-fault” insurance system for car accidents. No-fault systems mean that if one were to suffer an injury in an auto accident, that individual is responsible for all medical expenses and losses. Residents in no-fault states are often required to purchase a special kind of health insurance, called Personal Injury Protection (PIP) insurance.

Anyone planning to drive a car in the Garden State should keep the following in mind.

Understand the local laws

New Jersey has the densest population in the United States, making driving more dangerous than other states with a higher chance of an automobile accident. Those planning on operating a car here need to understand the legal implications of a traffic collision and how a no-fault insurance system works.

Lawmakers designed no-fault systems as a response to courtrooms crowded with car accident cases. These policies aim to reduce car insurance rates, increase the fairness of reimbursement and relieve court schedules. With no-fault, drivers involved in an accident aren’t financially dependent on convincing a court to establish liability. Proving a case takes a backseat to healing injuries and repairing damages, arguably more important.

Personal Injury Protection insurance

No-fault states usually require their residents to buy PIP insurance policies, New Jersey included. PIP insurance plans cover any injuries one sustains, regardless of the cause, and within policy limits. Per claim, PIP insurance covers the costs of medical injuries, wages lost due to the injury, and funeral expenses if required. Providers distribute the money quickly as well, as there is no need to spend time in a courtroom establishing fault.

Bring any questions to a lawyer

Those involved in an auto accident may still wish to consult with legal counsel about additional options. At the very least, a local New Jersey lawyer can answer any additional legal questions one might have about their accident or how their insurance works.