On Thursday the auto insurance reform package was given final approval by a unanimous vote in the Assembly. The bill, which insurers hope will help repair their fractured marketplace, now goes to Gov. Jim McGreevey, who is expected to sign it in the next couple of weeks.

"Right now, New Jersey drivers are finding it hard to find auto insurance at any price. This represents a victory for the consumers," said Ms. Bakke.

The bill contains a number of provisions that would make it easier for insurers to offer auto insurance in the Garden State.

One provision is designed to phase out the current "take all comers" rule, and another would streamline the rate review process for rate increases. The measure would also scale back the rule requiring insurers to return excess funds to policyholders if the insurer averages more than a six-percent profit over three years.

Other provisions, aimed at helping the state's drivers, include requiring carriers to notify policyholders within 10 days of asking the state for a rate increase. Furthermore, agents must give drivers three coverage options with different price ranges.

Commissioner Bakke said New Jersey has more regulations than any other state regarding auto insurance. Commenting on the implementation phase for various provisions in the bill, she said some measures--such as the requirement to notify policyholders within 10 days of asking the state for a rate increase--could be implemented quickly.

However, "some of the other more technical, regulatory changes will take a bit longer," she said.

Richard Stokes, Northeast region government affairs representative for Alliance of American Insurers added, "We think this is a very good piece of legislation not only for insurers also for insureds here in New Jersey."

Mr. Stokes noted that the auto insurance reform was one of the issues Gov. McGreevey had campaigned on while running for the governor's office. "It's been a process that has taken a year and a half," he said.

He added that he expects the bill to help improve the stability of the state's auto insurance market, making the state more attractive to insurers.

Still, he foresees some potential roadblocks ahead. For example, the burden will now fall on the state's insurance department to implement the bill's concepts in a manner that will solve the state's current availability crisis. "How this bill is going to be implemented is something we are going to look at," he said.