New Jerseyans take Ubers and Lyfts across the Hudson every day: to Manhattan offices, Brooklyn dinners and Kennedy or LaGuardia airports. A crash on the New York side changes the rules on insurance, injury thresholds, fault and deadlines. Here are the differences that matter most.

Three different sets of insurance rules

  • Rides in New Jersey: during an active ride, at least $1,500,000 in liability coverage and $1,500,000 in UM/UIM coverage (N.J.S.A. 39:5H-10).
  • Rides beginning in New York State outside New York City: New York's rideshare law applies, requiring at least $1,250,000 in liability coverage during a trip (N.Y. Insurance Law § 3455). According to New York's Department of Financial Services, this applies when the pickup is in New York State outside the city, even if the drop-off is in New Jersey.
  • Rides beginning in New York City: New York's rideshare law doesn't apply. Uber and Lyft vehicles picking up in the city are licensed as for-hire vehicles by the Taxi and Limousine Commission (TLC), which sets its own insurance minimums. Those can be much lower than New Jersey's $1.5 million.

Rides from New Jersey into New York may raise questions about which state's requirements apply. The answer depends on the policy and where the ride started. New Jersey's coverage periods.

Medical bills: no-fault in both states

Both states have no-fault systems, but they differ. New York's mandatory no-fault benefit is $50,000 in basic economic loss (N.Y. Insurance Law § 5102(a)), and New York no-fault claims generally require a written application within 30 days of the accident. New Jersey residents with New Jersey auto policies usually have PIP that follows them into other states. Report quickly to every insurer that may be involved. New Jersey PIP explained.

Pain and suffering: different thresholds

  • New Jersey: the verbal threshold depends on the injured person's policy choice, and in cases arising from a prearranged ride in New Jersey, the rideshare company and driver can't assert it (N.J.S.A. 39:5H-10(j)). New Jersey's verbal threshold.
  • New York: anyone suing over a car crash covered by no-fault must prove a "serious injury" as defined by statute, such as a fracture, significant disfigurement, permanent loss of use, or an injury that prevents normal activities for 90 of the first 180 days (N.Y. Insurance Law §§ 5102(d), 5104(a)).

Which state's threshold applies when a New Jersey resident is hurt in New York can itself be disputed.

Fault and deadlines

  • Fault: New Jersey bars recovery if you are more than 50% at fault (N.J.S.A. 2A:15-5.1). New York uses pure comparative fault, which reduces an award by your share but doesn't bar it (N.Y. CPLR 1411). New Jersey's rule.
  • Deadline: New Jersey generally allows two years (N.J.S.A. 2A:14-2). New York generally allows three years for personal injury (N.Y. CPLR 214(5)), but claims against New York City or other public entities require a notice of claim within 90 days.

Where to sue

A crash in New York can sometimes be brought in New Jersey courts, and sometimes must be brought in New York, depending on where the defendants are and can be sued. That choice affects which rules apply and which lawyers can appear. Claims against Uber or Lyft themselves may also be subject to arbitration. Rideshare arbitration explained.

Practical steps

  1. Note exactly where the ride started and the crash happened.
  2. Screenshot the trip and save the receipt.
  3. Get a police report from the local precinct or agency that responded.
  4. Report to your New Jersey insurer and file any New York no-fault application quickly.

See our Uber and Lyft accidents page.