New Jersey's law specifies that uninsured and drunk drivers, as well as motorists who intentionally commit other crimes, may not file lawsuits for economic or non-economic damages.

N.J.S.A.39:6A-4.5a denies a “cause of action for recovery of economics or non-economic loss” to the driver of an uninsured vehicle injured in an automobile accident. It does not note whether property damage claims are barred, under the definition of “economic damage” here.

We have read through many cases that were tried in NJ courts with various decisions by the judges. It is not clear from either the law or the law suit outcomes whether the statute is meant for only damages related to injuries sustained in a car accident or other economic damages such as the damage to your uninsured vehicle.

One case law states that a vehicle owner injured while operating an uninsured automobile, who is required by statute to maintain PIP coverage but who fails to do so, is barred from seeking recovery for economic damage that would have been covered by PIP and cites N.J.S.A. 6A-4.5.Thus they show this law pertains to injuries and not property damage.

NJSA 39:6A-4.5in full states

39:6A-4.5 Loss of right to sue for failure to insure, for DWI, for intentional acts.

a. Any person who, at the time of an automobile accident resulting in injuries to that person, is required but fails to maintain medical expense benefits coverage mandated by section 4 of P.L.1972, c.70 (C.39:6A-4), section 4 of P.L.1998, c.21 (C.39:6A-3.1) or section 45 of P.L.2003, c.89 (C.39:6A-3.3) shall have no cause of action for recovery of economic or noneconomic loss sustained as a result of an accident while operating an uninsured automobile.

b. Any person who is convicted of, or pleads guilty to, operating a motor vehicle in violation of R.S.39:4-50, section 2 of P.L.1981, c.512 (C.39:4-50.4a), or a similar statute from any other jurisdiction, in connection with an accident, shall have no cause of action for recovery of economic or noneconomic loss sustained as a result of the accident.

c. Any person acting with specific intent of causing injury to himself or others in the operation or use of an automobile shall have no cause of action for recovery of economic or noneconomic loss sustained as a result of an accident arising from such conduct.

While we may take away from this NJ law that only you cannot claim for economic or noneconomic loss due to an injury when you are in an accident and uninsured, since you should have had PIP coverages of your own to cover injuries, we are not legal experts and thus cannot say if property damage coverages may also be limited.

We contacted the New Jersey Insurance Regulator to see if they could clarify the law for us and thus if they knew if property damage was limited. We also asked if this law was lifted if the person damaging you was convicted of a DUI (like the Louisiana No Pay No Play law does as you mentioned).The NJ Department of Banking and Insurance (DOBI) responded by saying that they are unable to provide interpretations of New Jersey laws or regulations (this is left to the courts).

The NJ DOBI did state that if you would like them to investigate this matter with the insurance company involved then you, the affected individual, can file a formal request for assistance by either visiting their website. So it would appear that they believe you could file a claim for your property damage with the at-fault party's insurance company and if it is denied they could then investigate the situation to see if the insurer would be required to pay for the claim or not.

The DOBI noted that if you file a request for assistance, please advise them to include the policy or claim number as well as any documentation pertinent to the case, including the claim denial letter if you receive one.

If you were cited for driving without insurance you will be facing penalties for this violation of New Jersey law. A citation for this violation of the New Jersey law may result in fines, community service, license suspension and surcharges according to the NJ Motor Vehicle Commission.

Once you are able to get a car to replace your totaled out vehicle be sure to place at least the minimum NJ car insurance on it. To get New Jersey auto insurance that you can afford, click here.