A3421

Establishes "Car Insurance Reduction Act"; modifies current law addressing requirements of automobile insurers for underwriting; rate calculations and reductions; and reporting requirements to State.

Introduced·1/13/26
Introduced Text

Establishes "Car Insurance Reduction Act" to modify underwriting rules and rate reductions for auto insurers in New Jersey.

The Car Insurance Reduction Act modifies current law for auto insurers in New Jersey by requiring insurers to establish premium rate reductions for safe driving behavior. Insurers may use telematics systems to determine eligibility for these reductions. The bill mandates that insurers provide detailed explanations of their rating plans to insureds, including whether factors unrelated to driving records were used. Insurers must also allow consumers to compare coverage options and estimated premiums on their websites.

Included in complete analysis

  • Overview
  • Core Provisions
  • Implementation
  • Impact
  • Legal Framework
  • Critical Issues

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Where it stands

Current
Financial Institutions and Insurance Committee
Next
Committee decision

Sponsors

D
1
0
Democratic CaucusRepublican Caucus

History

Jan 13

Assembly

Introduced, Referred to Assembly Financial Institutions and Insurance Committee