State Farm Mutual Automobile Insurance Company, Plaintiff-Respondent and Cross-Appellant, and Allstate Insurance…

Summary

The Supreme Court of New Jersey held that the Fair Automobile Insurance Reform Act of 1990 is facially constitutional. The Act’s prohibitions on direct passthrough of assessments and surtaxes do not constitute a taking, violate substantive due process, impair contracts, or amount to a bill of attainder. The Court reversed the Chancery Division’s judgment in part and modified it. Justice Garibaldi, concurring, warned that the statute may still be vulnerable to as‑applied challenges.