1. Introduction: Why the Tort Threshold Matters
If you’ve been injured in a car accident in New Jersey, one of the most important legal issues you may face is whether your right to sue is limited by the tort threshold. Also known as the “limitation on lawsuit option”, this rule can significantly affect your ability to recover damages for pain and suffering.
New Jersey is a no-fault auto insurance state, meaning that your own insurance (PIP coverage) typically pays for your medical bills regardless of fault. However, the tort threshold determines whether you can sue the at-fault driver for non-economic damages like pain, suffering, or emotional distress.
2. The Two Options: “Limitation on Lawsuit” vs. “No Limitation on Lawsuit”
When you purchase auto insurance in New Jersey, you choose between:
- Limitation on Lawsuit Option (Tort Threshold)
This is the default, lower-cost option. You can only sue for pain and suffering if your injury falls into one of six legally defined categories (see below). - No Limitation on Lawsuit Option (No Tort Threshold)
This option is more expensive but gives you the unrestricted right to sue for pain and suffering, regardless of the severity of your injuries.
Choosing the tort threshold saves money on premiums but can limit your legal options after an accident.
3. Injuries That Overcome the Tort Threshold
To sue under the limitation on lawsuit option, your injury must fit one of these six categories defined under N.J.S.A. 39:6A-8(a):
- Death
- Dismemberment
- Significant disfigurement or significant scarring
- Displaced fractures
- Loss of a fetus
- Permanent injury (i.e., a body part or organ has not healed to function normally and will not heal with further medical treatment)
Example: A herniated disc that results in permanent nerve damage may qualify as a “permanent injury” if certified by a physician with objective medical evidence.
4. Proving a “Permanent Injury”
In many cases, whether a plaintiff can sue comes down to proving that the injury is permanent. New Jersey law requires:
- A physician’s certification based on objective medical evidence (e.g., MRI, X-ray).
- A showing that the injury will not heal to normal function.
- Documentation must be provided within 60 days of the defendant’s answer to the complaint.
This requirement is strictly enforced, so working with an experienced personal injury attorney can make or break your case.
5. Common Misconceptions
- “I can’t sue if I have the tort threshold.”
❌ Not true. You can sue if your injury meets one of the six categories. - “Whiplash or soft-tissue injuries always qualify.”
❌ Not necessarily. Soft-tissue injuries must meet the permanent injury standard with medical proof. - “The tort threshold applies to all claims.”
❌ No. It applies to pain and suffering claims from auto accidents — not medical expenses or lost wages.
6. Why Legal Representation Matters
Understanding and navigating the tort threshold can be complicated. A skilled attorney can:
- Evaluate whether your injury qualifies,
- Work with medical professionals to document permanency, and
- Maximize your recovery under New Jersey law.
Insurance companies often try to minimize claims based on the threshold. Having a strong advocate can make a substantial difference in your outcome.
7. Conclusion: Protecting Your Right to Compensation
If you’ve been injured in a car accident in New Jersey, the tort threshold may affect your case — but it doesn’t necessarily stop you from recovering damages. Understanding your legal rights and acting quickly can help preserve your claim.
�� Call to Action: If you have questions about your specific situation, consult with a New Jersey personal injury attorney to review your rights under the tort threshold.
