New Jersey’s no-fault insurance system requires drivers to carry Personal Injury Protection (PIP) coverage, which pays for medical expenses regardless of who is at fault in an accident. This system aims to streamline claims and reduce litigation by allowing policyholders to receive prompt medical treatment without waiting for fault determination. In New Jersey, drivers can choose between a “Basic” or “Standard” policy, with varying levels of PIP coverage. The no-fault system limits the right to sue for pain and suffering unless the injury meets certain thresholds, such as significant disfigurement or permanent injury. Understanding these options and limitations is crucial for New Jersey drivers to ensure adequate protection and compliance with state laws.