By Mariam S. Zein
A bill that could reshape how certain car accident cases are handled in New Jersey is no longer just a proposal. It’s moving forward.
After passing the State Senate last month, S3173 is now under review by the Assembly Judiciary Committee, indicating that the proposal is gaining momentum. But key voices, including the New Jersey State Bar Association, caution that the bill would affect the way a jury hears your case.
The bill requires defendants, including insurance companies named as defendants, to be properly identified throughout lawsuits involving uninsured and underinsured motorist (“UM and UIM”) claims. UM and UIM coverage comes into play in cases where you are injured in an accident and must seek compensation through your own auto insurance because the at-fault driver lacks sufficient coverage. This matters because national averages show that more than one in three drivers is either uninsured or underinsured, making UM and UIM claims a routine part of motor vehicle litigation. For many injured drivers, this is not a technical scenario. It is the only real path to recovery after a serious accident.
Traditionally, juries in UM and UIM trials are not informed that the defendant who would pay a judgment is an insurance company. Rather, the jury is instructed to focus on whether the conduct of the tortfeasor driver was or was not negligent, without mention of any insurance company identity. Introducing the name of an insurance company has the potential to shift the focus away from the facts of the accident and toward the specific insurance company that would ultimately pay the claim if liability is found and damages are awarded. While S3173 is intended to promote litigation transparency, many argue that the reality is more complicated. Changing what a jury is told could make outcomes less about the facts and more about juries’ perception of the insurance industry, its ability to pay judgments or the potential for judgments to affect insurance premium costs for the public. While these and other related topics are generally up for debate, none is germane to the specific questions a jury is called to decide in a motor vehicle trial.
For individuals pursuing UM and UIM claims, this proposed law change matters. These cases are often built around detailed evidence focused on how the accident occurred, the extent of the injuries, and the lasting impact on the client’s life. When additional factors enter the picture, even indirectly, they can influence how that evidence is received and weighed by a jury.
With the bill now pending before the Assembly Judiciary Committee, it is one step closer to becoming law. If it becomes law, it would shape how future uninsured and underinsured motorist cases are litigated and tried.
