New Jersey Defensive Driving, Defensive Driving in New Jersey

According to the New Jersey Department of Banking and Insurance (the insurance regulator for NJ), New Jersey law requires insurers to offer discounts for drivers who have completed a New Jersey Defensive Driving course approved by the New Jersey Motor Vehicle Commission.

Successful completion of an approved New Jersey defensive driving course renders licensees eligible for automobile insurance rate reduction pursuant to NJ Statutes 17:33B-45.1 and motor vehicle point reduction in accordance with N.J.S.A. 39:5-30.9.

Since January 1996, when N.J.S.A. 17:33B-45.1 was signed, New Jersey requires insurance premium discounts for drivers who successfully completed an approved New Jersey Defensive Driving course. It goes on to state that all insurance companies writing private passenger policies in New Jersey, would apply a minimum of five (5%) percent discount to the base rate for Bodily Injury Liability, Property Damage Liability, Personal Injury Protection and Collision coverages.

The rate reduction is available for three (3) years or until a driver accumulates four (4) motor vehicle points or loses his/her license. Defensive Drriving discounts apply to private passenger automobiles, with only one defensive driving discount per vehicle. If the policy insures two or more vehicles, the discount applies to the vehicle principally operated by the person who completes the course.

With some New Jersey insurance companies this discount is called an accident prevention discount and comes with certain other requirements so you would need to adhere to. To find out how much the discount would affect your rates or cause them to be reduced by you would need to speak to your insurance agent.

In 2007 the New Jersey Motor Vehicle Commission (MVC) proposed and adopted amendments and new rules relating to the addition of an online defensive driving school option to the already existing New Jersey defensive driving school regulatory scheme. The Commission’s amendments to N.J.A.C. 13:21-24 include requirements for defensive driving course providers to offer the same curriculum, quality and length of course as a traditional in-classroom course.

Additionally the defensive driving course providers would be required to administer a proficiency examination with a passage rate of at least 80 percent in order for a student motorist to successfully complete the course.

To review the full text of the New Jersey Defensive Driving insurance reduction bill, click here.