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New Jersey auto insurance: backsliding in the courts?

For decades New Jersey was known for having one of the nation's worst and most expensive auto insurance environments, but it's been mending its reputation somewhat since Trenton lawmakers in 2003 enacted serious reforms and opened the system to competition. Now a 4-3 decision by the New Jersey Supreme Court could put the progress in jeopardy by opening the way for lawsuits for emotional distress by persons who see loved ones hurt, though they themselves do not suffer serious enough bodily injury to file claims against other drivers under the law. Though cases in that category may not be numerous, it's still advisable for the legislature to fix the hole in the law, say the editorialists of the Star-Ledger.

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Rafael Mangual
Project Manager,
Legal Policy

Manhattan Institute


Published by the Manhattan Institute

The Manhattan Insitute's Center for Legal Policy.