NJ| The New Jersey Department of Banking and Insurance Bulletin No. 25-06 informs all admitted and surplus lines insurers, self-insureds, and risk retention groups about impending increases to the state’s minimum auto insurance coverage requirements under P.L.2022, c.87. The increase will occur in two phases, with the final phase taking effect on January 1, 2026, raising bodily injury liability limits and requiring insurers to update rates, forms, and provide specific notifications to policyholders. The Bulletin outlines compliance deadlines for rate and form filings, ensures awareness of the legislative changes, and clarifies the Department’s expectations for timely updates and policyholder communication.
Main Points:
- The Act increases minimum automobile insurance liability coverage in two phases, culminating in coverage requirements of $35,000 per person and $70,000 per accident for bodily injury, and $25,000 for property damage as of January 1, 2026.
- Insurers must update rate filings (by September 1, 2025, for private passenger and by January 30, 2026, for commercial insurers) and policy forms, coverage selection forms, and provide revised Buyer’s Guides reflecting new minimums.
- Insurers are required to notify policyholders of increased limits at renewal and are permitted to raise limits without obtaining a new signed coverage selection form; all compliance questions are directed to the Office of Property and Casualty Insurance.