When car insurance rates rise, drivers naturally seek more affordable options. However, switching insurers has created a problem for some New Jersey motorists. They report needing to prove their coverage after being wrongly flagged for lacking insurance, evidenced by pending registration suspension notices.
In June, a group of 18 car insurance companies applied to the state for rate increases, averaging 7%. Additionally, nine insurers proposed double-digit increases, citing higher collision repair expenses and a rise in vehicle thefts. This prompted many drivers to shop around for better deals, which may unfortunately be contributing to the current issue.