Importance of the New Jersey No Fault Law
New Jersey is a “No Fault” state. That means that when you’re involved in an accident, a motor vehicle accident, it’s your own insurance company that takes care of your medical expenses, regardless of whether or not you were at fault or not at fault in an accident. If you’re at fault, your insurance company is still going to pay your medical expenses and, often times, your lost income up to a certain point. Insurance companies may have the right to certify whether or not you’re entitled to some of these medical benefits, particularly expensive diagnostic exams like MRIs. But “No Fault,” in general, means that your insurance company pays. Many people don’t understand this concept because it seems to them that if someone else caused the accident, why the insurance company has to pay? And the answer to that is that’s just the way it is and it will more likely than that not affect your insurance rates in the future.