New Jersey governor Phil Murphy recently passed a lawthat erases rules that previously “slammed New Jersey auto accident victims with up to $250,000 in medical bills” for accidents that were not the victim’s fault. The law is designed to help those who purchase cheaper auto insurance plans that can leave them with insurmountable amounts of debt in the event of a car accident.
In addition to a comprehensive $250,000 personal injury protection plan that comes with most New Jersey car insurance policies, the state also permits a less expensive option that only covers up to $15,000 in personal injury protection. While this option can be a less costly month-to-month alternative, it can set drivers back tens of thousands of dollars even if they are not at fault for their accident.
The legal action has been inspired by the story of 27-year-old Josh Haines, a New Jersey resident who was saddled with tens of thousands of dollars in debt after a car accident he was involved in eight years ago. According to Josh, “’I’m left in the dark … this was eight years ago and it’s still setting me back.’” In 2011, Josh was driving from Camden County Community College when he was struck by a vehicle that was hydroplaning. His medical bills totaled $30,000, which is nearly double what his less-expensive insurance plan covered.