The New Jersey Department of Banking and Insurance has recently proposed regulations and proposed repeals of existing regulations which effectively will combine the Commercial Automobile Insurance Plan (CAIP) pursuant to N.J.S.A. 17:29D-1, and the Personal Automobile Insurance Plan (PAIP) to create one new plan referred to as the New Jersey Automobile Insurance Plan (AIP). In doing so, the New Jersey Department of Banking and Insurance (NJDOBI) follows the overwhelming majority of states that also have combined plans and regulations for both private passenger and commercial markets.  The proposed merger of the CAIP and PAIP plans in New Jersey would bring New Jersey in line with other state plans.  The proposed repeals and new regulatory proposals continue the requirements of N.J.S.A. 17:29D-1 for the provision and apportionment of insurance coverage.  Proposed N.J.A.C. 11:3-1.4 would merge the Governing Committee requirements of N.J.A.C. 11:3-1.4 and 2.5, making one 18-member Governing Committee.  One additional public member has been added and three additional insurer members have been added to ensure that broad representation of the insurance industry is maintained on the AIP Governing Committee.  Other provisions of the repealed law which have been deemed obsolete by the N.JDOBI have been proposed for deletion.

A 60-day comment period has been provided in the Notice of Proposal.  Comments may be emailed to:

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