Greetings...welcome to my new blog page, where I hope to keep you advised of recent developments in the law and how they can affect you.
$1-A- DAY INSURANCE POLICIES (SPECIAL INSURANCE POLICIES): Yes, citizens of this state (NJ) can get insurance policies for $1.00 a day if they are Medicaid eligible. Those policies will only provide emergency medical coverage and liability coverage for property damage. Should someone make a claim against that person for a bodily injury claim, there will be no coverage available, making the insured personally liable. Persons injured as a result of the negligence of a person covered under a $1-A-Day policy must present claims for "Underinsured Motorists Benefits" to their own automobile insurance carrier.
BASIC INSURANCE POLICIES: Insurance companies are now permitted to offer a virtual buffet of insurance options related to medical, liability and uninsured/underinsured motorists coverage these days. Most of these options limit coverage in exchange for reduced premiums. Basic policies offer limited medical payment (Personal Injury Protection-PIP) coverage with significantly higher deductibles. They also offer limited amounts of liability coverage and, more importantly, offer an option of no liability coverage whatsoever. A person carrying this type of coverage, assuming they have selected the no liability option, would have no insurance to cover a bodily injury claim.
Please be careful in selecting coverages for your automobile insurance. Saving a few dollars may cost thousands in the long run. Please call our office and we will gladly assist you with any questions you might have.