NJPAIP State High Risk Car Insurance and PIP Medical Options

Selecting Your NJ Health Insurer for NJ PIP Option on your NJPAIP car insurance policy.

You may be able to save considerable money and get much higher coverage limits on auto insurance by opting to have your health coverage provide benefits for injuries from an automobile accident. Please consider the factors below to see if this option is right for you.
NJPAIP Car Insurance helps drivers with Group Medical buy an affordable policy with the official state of NJ auto plan
Does your health coverage cover injuries from automobile accidents? Call them and ask them, they are required to tell you.

Get help with NJPAIP Car Insurance rates and all of your coverage options (856) 863-5654 PAIP Certified Producers.
NJPAIP Car Insurance Quotes with Group Medical Coverage in New Jersey.

Health coverage may be issued by an insurance company, an HMO or a self-funded plan. Since self-funded plans and plans issued out of state may exclude coverage for injuries resulting from auto accidents, you should make sure that your health coverage will provide benefits for automobile accident injuries. If you are covered by any of the insurers or HMO listed here, you may be eligible for this cost-saving option. Other insurers and self-funded plans might also cover automobile accident injuries. Contact your employee benefits department to determine if your health coverage provides benefits for automobile accident injuries.

What limits and deductibles apply?

Your health carrier will provide benefits for injuries from auto accidents subject to the deductibles, coinsurance, copayments and benefit maximums (if any) of your health plan. If your health plan covers your spouse or family, these cost-sharing features will also apply to them. In short, your health carrier will provide benefits for injuries from auto accidents in the same manner that it covers injuries from other causes.

What about expenses not covered by my health care plan?

Your automobile insurer will pay for necessary expenses not covered by your health care plan, including the deductible, coinsurance, co payment and amounts above the benefit maximum of your health plan, and will also pay for passengers and others not covered by your health care plan. However, this payment will be reduced by the deductible, benefit maximums and other cost-sharing provisions of your PIP coverage.

What if I lose my health coverage?

If you are in an accident and your health coverage is no longer in effect, your auto insurer will pay PIP medical benefits. However, you will be required to pay an additional $750 deductible.

How do I choose the health coverage option?

This is done by selecting the “health insurer for PIP option” on the Coverage Selection Form provided when you apply for or renew your auto insurance. You will need to know the name and policy number of your health care plan to answer that question on the Coverage Selection Form.

About the NJ Auto Insurance No-Fault PIP Insurance Arbitration Program
The National Arbitration Forum administers arbitrations for No-Fault Insurance Personal Injury Protection (PIP) disputes under New Jersey’s Automobile Insurance Cost Reduction Act of 1998 (AICRA). AICRA requires that all automobile insurers provide any party with a dispute concerning personal injury protection benefits the option of submitting the dispute to binding arbitration. The National Arbitration Forum has been the appointed administrator for the New Jersey No-Fault Insurance PIP Arbitration Program since January 2004, when the New Jersey Department of Banking and Insurance awarded National Arbitration Forum the contract. Additional information about this program is available at the National Arbitration Forum’s Web site at http://www.arb-forum.com/nj/.

N.J.S.A. 39:6A-5

g. Personal injury protection coverage benefits pursuant to section 4 of P.L.1972, c.

70 (C.39:6A-4) and medical expense benefits pursuant to section 4 of P.L.1998, c.21

(C.39:6A-3.1) shall be overdue if not paid within 60 days after the insurer is furnished

written notice of the fact of a covered loss and of the amount of same. If such written

notice is not furnished to the insurer as to the entire claim, any partial amount supported

by written notice is overdue if not paid within 60 days after such written notice is

furnished to the insurer. Any part or all of the remainder of the claim that is subsequently

supported by written notice is overdue if not paid within 60 days after such written notice

is furnished to the insurer; provided, however, that any payment shall not be deemed

overdue where, within 60 days of receipt of notice of the claim, the insurer notifies the

claimant or his representative in writing of the denial of the claim or the need for

additional time, not to exceed 45 days, to investigate the claim, and states the reasons

therefor. The written notice stating the need for additional time to investigate the claim

shall set forth the number of the insurance policy against which the claim is made, the

claim number, the address of the office handling the claim and a telephone number,

which is toll free or can be called collect, or is within the claimant’s area code. Written

notice to the organization administering dispute resolution pursuant to sections 24 and 25

of P.L.1998, c.21 (C.39:6A-5.1, 39:6A-5.2) shall satisfy the notice request for additional

time to investigate a claim pursuant to this subsection. For the purpose of determining

interest charges in the event the injured party prevails in a subsequent proceeding where

an insurer has elected a 45-day extension pursuant to this subsection, payment shall be

considered overdue at the expiration of the 45-day period or, if the injured person was

required to provide additional information to the insurer, within 10 business days

following receipt by the insurer of all the information requested by it, whichever is later.

For the purpose of calculating the extent to which any benefits are overdue, payment

shall be treated as being made on the date a draft or other valid instrument which is

equivalent to payment was placed in the United States mail in a properly addressed,

postpaid envelope, or, if not so posted, on the date of delivery.

h. All overdue payments shall bear interest at the percentage of interest prescribed in the

Rules Governing the Courts of the State of New Jersey for judgments, awards and orders

for the payment of money.

i. All automobile insurers and the Unsatisfied Claim and Judgment Fund shall provide

any claimant with the option of submitting a dispute under this section to dispute

resolution pursuant to sections 24 and 25 of P.L.1998, c.21 (C.39:6A-5.1, 39:6A-5.2).

How are points or accidents charged on NJPAIP Car Insurance?

The NJ PAIP eligibility points you may have may be all moving violations or a combination of Insurance Points and NJ MVC Points.

NJPAIP Car Insurance helps drivers with points keep an active policy with the official state of NJ auto plan

They are added together for your total NJ PAIP eligibility points.

For example, an at fault accident is 5 NJ insurance points for 3 years. Add that with a DUI, refusal to take a breathalyzer test, driving suspended or driving without auto insurance in New Jersey, which are 9 insurance points for 3 years from the conviction date in court and you have 14 insurance points that will be added to your moving violations points to determine your total points for your NJPAIP quote.


Get help with NJPAIP rates and all of your coverage options (856) 863-5654 PAIP Certified Producers.
NJPAIP Quotes for those with driving while suspended in New Jersey.

What do I do if my NJ insurer cancels or refuses to renew my policy?

Even “good” drivers can find themselves in the position of being dropped by their current carrier.

Reasons for cancellation of your policy range from a couple of moving violations, or if someone in your household is a high risk and fails to maintain an inforce insurance policy, or you have multiple accidents, or other serious violations that make you a high risk auto insurance risk to insurers.

Regardless of the reason you were dropped or cancelled by your insurer, you need to act immediately to get another policy. Under no circumstance should you drive your vehicle without knowing one hundred percent that you have current insurance. If you do find yourself in the NJ assigned risk residual market pool or the NJ High Risk Auto Insurance Plan, the price may be higher but it may be your only alternative in maintaining your freedom to drive.

Most insurance companies rate a driver with no points for three years as a good or preferred risk. But there are a few things you can do to cut high NJ risk auto insurance costs now! Consider driving an older car and dropping collision and comprehensive coverage’s. If you can accept the risk, carry lower amounts of other standard coverage’s. Get multiple car insurance quotes and compare the market to see all that is available to you.

Get help with NJ-PAIP state of NJ high risk car insurance plan rates and all of your coverage options from PAIP Certified Producers.
Car Insurance Quotes

What are the typical payment options for NJPAIP State High Risk Car Insurance?

If I buy a NJPAIP Car Insurance policy, how do I pay the premiums and how are they calculated?

Thirty percent down and five installment payments over the first 9 months of the policy. The installments shall be due on the 45th, 90th, 150th, 210th, and 270th day from the policy effective date.

The first NJPAIP NJ High Risk Car Insurance Plan installment bill shall reflect the current annual premium minus the deposit and annual installment charge to arrive at the outstanding balance. Twenty percent of the balance should be identified as the installment amount. The due date for the first installment will be 45 days after the inception of the policy. The remaining installments will be billed according to the intervals stipulated above. An installment bill will be released to the applicant with a copy to the producer according to the above time intervals until the outstanding balance is eliminated. Each installment bill shall display the amount due.

Another option is to use a Premium Finance Company that would pay your policy for the entire year and you make equal monthly payments to the premium finance company. This options usually has a much lower down payment.


Get help with NJ-PAIP NJ High Risk Auto Insurance rates and all of your coverage options from NJPAIP Certified Producers.
NJPAIP Car Insurance Quotes

What is NJ high risk car insurance known as NJ PAIP Mean?

NJPAIP is Assigned Risk or NJ High Risk Car Insurance state controlled mechanism for NJ drivers with points or accidents that make them “High Risk”.

NJPAIP policies will not rate a person for education, credit score or being a homeowner or not.

MID TERM Non Pay Cancellations may also qualify as a “NJPAIP High Risk”.
Established October 1, 1992 pursuant to N.J.S.A. 17:29D-1 and implemented by N.J.A.C. 11:3-2.1, NJ PAIP is the residual market mechanism for New Jersey personal car insurance risks not eligible for coverage in the New Jersey voluntary car Insurance marketplace.

In short, it means that for the immediate future you are not a desirable customer for preferred car insurance companies that like to write policies for those who hardly ever have a claim or a ticket for moving violations.

NJPAIP policies will not rate a person for education, credit score or being a homeowner or not.

Get a free rate quote which will not be cancelled unless your do not pay or do not answer any underwriting requests from your assigned companies.

Learn about lowering coverage costs through the NJPAIP state plan

What steps can I take to reduce my NJ Car Insurance rates?

NJ Insurers often discount their policy rates in order to encourage better driving practices and the use of available safety and security precautions. Depending on the NJ insurance company, you can often lower your rates from 5 to 55 percent.  Sometimes the investment you make in your safe vehicle is worth the discount, and sometimes it’s simply worth peace of mind.

For example, the purchase of anti-lock brakes gives a discount from nearly every NJ insurer, but the discount probably will not pay for the brakes which cost several hundred dollars during the normal life of your car. Anti-lock brakes are touted as a valuable life saving valuable feature and deserves serious consideration when your or your families safety is a top concern.

Get help with NJ-PAIP rates and all of your coverage options from NJPAIP Certified Producers. get your NJPAIP quote started right now and get insured.
NJPAIP Car Insurance Quotes

When you buy New Jersey car insurance be careful not to violate any vehicle lease or finance agreement that may specify in writing the insurance coverage’s that you must have such as 100/300,000/50,00 and $500 Deductible for comprehensive and collision coverage’s.

How does adding drivers to my NJ Insurance policy affect my rates?

The more people that drive your car on a regular basis, the greater the chances of your vehicle being in an accident and being damaged.
Teenagers (young drivers) are especially costly to insure because they are the least experienced drivers.

Do Drivers Education classes get a Good Student discount?

A good approved driver’s education course can help ease the burden of high NJ insurance costs since it teaches the teenager sound defensive driving techniques. If your teenagers high school does not offer drivers education, try to find one offered by another NJ school or a private firm in the area. After all, the cost could be much cheaper than the extra cost of your insurance. Many insurers offer “good student” driver discounts. Save the certificate of completion as you will want to submit it with your NJ insurance application.

An adult’s driving experience may also affect your rates significantly. Don’t assume that each and every adult you know has been driving since age 16 or 17 or is a highly competent driver with a clean NJ driving history or NJ insurance record. Again, taking a state approved defensive driving course is a good way for all adults to prove they are also responsible drivers, thus lowering their insurance risk and their New Jersey PAIP insurance premium rates.