How to File a Car Insurance Claim in New Jersey: Complete Guide (2026)

# How to File a Car Insurance Claim in New Jersey

> **KEY TAKEAWAYS:**
> – NJ is a **choice no-fault** state — your policy type affects your claims
> – File **PIP** ($15,000 minimum) with YOUR OWN insurer for medical/lost wages
> – **Property damage** is always fault-based
> – **Verbal Threshold** limits right to sue for pain/suffering
> – Statute of limitations: **2 years PI**, **6 years PD**

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## Understanding NJ’s Claim System

### PIP Claims (No-Fault)
File with your own insurer regardless of fault:
– **$15,000+ PIP** for medical expenses
– Lost income (Standard Policy only)
– Essential services (Standard Policy only)

### Fault-Based Claims
– **Property damage:** Always fault-based — file with at-fault driver
– **Pain and suffering:** Depends on threshold choice:
– **Verbal Threshold:** Only if injury is “serious” (fractures, permanent injury, etc.)
– **No Threshold:** Any injury

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## Step-by-Step Filing

### Step 1 — Report the Accident
File with NJ MVC within 10 days if $500+ damage or injuries.

### Step 2 — File PIP Claim
Contact your own insurer. PIP covers $15,000+ in medical expenses regardless of fault.

### Step 3 — File Property Damage Claim
File with the at-fault driver’s insurer. **Warning:** Basic Policy drivers may have no PD liability coverage.

### Step 4 — Assess Pain and Suffering Options
– **No Threshold holders:** File liability claim for any injury
– **Verbal Threshold holders:** Only if injury qualifies as “serious”
– **Basic Policy holders:** Very limited lawsuit rights

### Step 5 — Navigate the 51% Bar
For fault-based claims, NJ’s 51% bar applies. At 51%+ fault, you recover nothing.

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## Basic vs Standard Policy Impact

| Claim Type | Basic | Standard (Verbal) | Standard (No Threshold) |
|————|——-|——————-|————————|
| PIP (medical) | $15K | $15K+ | $15K+ |
| Lost wages | No | Yes | Yes |
| Property damage | Optional $10K | 35/70/25 | 35/70/25 |
| Pain/suffering | Very limited | Serious injury only | Any injury |

### If a Basic Policy Driver Hits You
They may have **no liability coverage**. Your UM/UIM coverage is your protection.

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## Frequently Asked Questions

### How does the Verbal Threshold work?
You can only sue for pain/suffering if your injury is “serious” — fractures, permanent injury, significant scarring, etc. Soft tissue injuries often do not qualify.

### What is the PD statute of limitations?
**6 years** — the longest among all 10 states on this site.

### What if the other driver has a Basic Policy?
They may lack liability coverage. Use your own UM/UIM and collision coverage.

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## Related Guides

– [What to Do After a Car Accident in New Jersey](/new-jersey/car-accident-guide/)
– [Do You Need a Lawyer After a Car Accident in New Jersey?](/new-jersey/do-i-need-a-lawyer/)
– [New Jersey Car Accident Laws](/new-jersey/car-accident-laws/)

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**DISCLAIMER:** This website is not a law firm and does not provide legal advice. This page provides general educational information only. Insurance requirements and coverage options vary. Contact your insurance provider or a licensed insurance agent for information specific to your policy. Always consult a licensed attorney in your state for advice specific to your situation. Last updated: March 2026.