N.J. Stat. § 40A:10-4: Liability for failure to insure

Any local unit, other than one providing insurance coverage under Article 3 of this chapter, failing to provide the insurance coverage as provided in N.J.S. 40A:10-3 shall be liable for payment of any judgment recovered in a court of competent jurisdiction against any operator of a motor vehicle, equipment or apparatus within the limits of the amount required for insurance coverage under N.J.S. 40A:10-3 for damages resulting in personal injury or death or damage to property caused by the authorized operation or use of such motor vehicles, equipment or apparatus.

L.1979, c. 230, s. 1, eff. Oct. 15, 1979.