What type of insurance is required for every vehicle registered in New Jersey?

What type of insurance is required for every vehicle registered in New Jersey?

• A. Comprehensive
• B. Liability
• C. Collision
• D. Uninsured Motorist

Answer: (B)

In New Jersey, every vehicle that is registered must have liability insurance, which is the correct choice. Liability insurance provides financial protection to the policyholder in the event that they are found at fault in an accident that causes injury to others or damages to their property. This type of insurance covers the costs associated with these damages, ensuring that victims can be compensated. The requirement for liability insurance is in place to protect both drivers and the public. It ensures that drivers can cover any damages they might cause to others, promoting responsible driving practices. While comprehensive and collision coverage are also types of insurance policies that provide additional protection, they are not required by law for all registered vehicles in New Jersey. Comprehensive insurance covers damage to the vehicle from non-collision events like theft or natural disasters, while collision insurance covers damage to the vehicle from collisions regardless of fault. Uninsured Motorist coverage protects policyholders against accidents with drivers who do not have insurance but is not mandatory for all vehicles in the state. Thus, liability insurance is essential for compliance with New Jersey's laws regarding vehicle registration and helps ensure a safer driving environment for everyone on the road.

In New Jersey, every vehicle that is registered must have liability insurance, which is the correct choice. Liability insurance provides financial protection to the policyholder in the event that they are found at fault in an accident that causes injury to others or damages to their property. This type of insurance covers the costs associated with these damages, ensuring that victims can be compensated.

The requirement for liability insurance is in place to protect both drivers and the public. It ensures that drivers can cover any damages they might cause to others, promoting responsible driving practices.

While comprehensive and collision coverage are also types of insurance policies that provide additional protection, they are not required by law for all registered vehicles in New Jersey. Comprehensive insurance covers damage to the vehicle from non-collision events like theft or natural disasters, while collision insurance covers damage to the vehicle from collisions regardless of fault. Uninsured Motorist coverage protects policyholders against accidents with drivers who do not have insurance but is not mandatory for all vehicles in the state.

Thus, liability insurance is essential for compliance with New Jersey's laws regarding vehicle registration and helps ensure a safer driving environment for everyone on the road.