This bill amends existing motor vehicle liability insurance requirements in New Jersey by exempting farm tractors and traction equipment used for farm operations from certain commercial motor vehicle liability coverage mandates. Specifically, it establishes that owners of these farm vehicles, when registered, must maintain a minimum liability coverage of $300,000, rather than the higher $1.5 million required for standard commercial motor vehicles. This change aims to reduce the financial burden on farmers while still ensuring a level of liability protection.

Additionally, the bill clarifies the definition of "commercial motor vehicle" to exclude farm tractors and traction equipment from the higher coverage requirements, while still including them under the lower coverage limit. The legal language has been updated to reflect these changes, ensuring that the insurance requirements are tailored to the unique needs of agricultural operations. The bill is set to take effect immediately upon passage.

Statutes affected:
Introduced: 39:6B-1