Prohibits selection of health insurance coverage as primary under personal injury protection coverage.
Impact
The enactment of S2276 is expected to impact the insurance landscape significantly. By centralizing coverage options under PIP, the bill aims to streamline the procedures for insurers and insured parties. Stakeholders believe that this could lead to reductions in delayed payments and disputes regarding primary coverage. The bill also stipulates that an individual cannot claim benefits under more than one policy for the same accident, thereby preventing potential fraudulent claims that could arise from overlapping coverages.
Summary
Senate Bill S2276 aims to amend New Jersey's personal injury protection (PIP) laws concerning insurance coverage linked to automobile accidents. The bill's primary change is to eliminate the option for individuals to select their health insurance as the primary payer for medical expenses resulting from automobile accidents. Instead, it mandates that the PIP coverage of the named insured will be the primary coverage in any underlying insurance claims made in relation to personal injury. This legislative change seeks to create clarity in how claims are processed and paid during medical emergencies post-accident.
Contention
Debates surrounding S2276 highlight concerns from various stakeholders in the insurance and healthcare sectors. Opponents of the bill argue that restricting the option to select health insurance as primary coverage could limit policyholder choices and potentially increase their out-of-pocket costs. They stress that having health insurance as primary could be more financially advantageous for many families facing the aftermath of accidents. Proponents, on the other hand, assert that the simplification of primary coverage will expedite recovery times for injury claims and improve the efficiency of insurance companies in handling PIP claims.
Revises personal injury protection coverage for basic automobile insurance policies from $15,000 to $20,000 and requires $50,000 minimum personal injury protection coverage for standard automobile liability insurance policies.
Revises personal injury protection coverage for basic automobile insurance policies from $15,000 to $50,000 and requires $50,000 minimum personal injury protection coverage for standard automobile liability insurance policies.
Revises personal injury protection coverage for basic automobile insurance policies from $15,000 to $50,000 and requires $50,000 minimum personal injury protection coverage for standard automobile liability insurance policies.
Eliminates certain personal injury protection options available under standard automobile insurance policies; requires $250,000 of medical expense benefits under standard and basic automobile insurance policies.
Eliminates certain personal injury protection options available under standard automobile insurance policies; requires $250,000 of medical expense benefits under standard and basic automobile insurance policies.
Authorizes purchaser of automobile by private sale to operate automobile for three-day period following purchase without permanent registration or transfer of title.
Authorizes purchaser of automobile by private sale to operate automobile for three-day period following purchase without permanent registration or transfer of title.
Authorizes purchaser of automobile by private sale to operate automobile for three-day period following purchase without permanent registration or transfer of title.
Authorizes purchaser of automobile by private sale to operate automobile for three-day period following purchase without permanent registration or transfer of title.