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