Personal Automobile Insurance
The policy parts
Part A liability, Part B medical payments, Part C uninsured/underinsured motorists, Part D physical damage (collision and other than collision), Part E duties after loss, Part F general provisions. Memorize the definition of your covered auto: listed autos, newly acquired autos (coverage for a replacement auto is broader than for an additional auto), trailers, and temporary substitute autos.
Key exclusions and traps
Intentional acts, racing, livery, vehicles used without a reasonable belief of permission, and business use of certain vehicles. New Jersey's initial permission rule is an important exception: once permission to use a vehicle is given, later misuse generally does not defeat coverage for third parties. Physical damage settles at ACV, not replacement cost.
New Jersey requirements
Minimum liability of 15/30/5 ($15,000 per person, $30,000 per accident, $5,000 property damage), PIP of at least $15,000 per person per accident, and uninsured motorist coverage equal to liability limits unless lower limits are selected in writing. New Jersey is a choice no-fault state: the buyer selects either the limitation-on-lawsuit (verbal) threshold or the no-limitation (zero) threshold, plus PIP deductibles and a medical expense co-payment option.
Worked example: a driver with 15/30/5 injures two people, each with $25,000 in damages. Each is capped at $15,000, and the $30,000 per-accident limit allows both to be paid in full; a third injured person would share only the remaining per-accident limit.