# New Jersey Livery License for NEMT in 2027: The Town License, $1.5 Million Policy, and Driver Certification

Canonical URL: https://nemtguide.com/guides/new-jersey-livery-license/ · Updated 2026-10-02

An NJ livery license is the license to operate a limousine service that your home town's clerk issues once you file a $1.5 million liability policy. With it, you register each sedan or van that seats 14 or fewer on MVC limousine plates. Every driver must be at least 21 and certified by the MVC after a State Police fingerprint check before carrying a rider.

- A sedan or van that carries walking riders for pay on booked trips fits the definition of a limousine in N.J.S.A. 48:16-13 and needs a town license to operate.
- File a $1.5 million liability policy with the clerk of your home town, which may charge no more than $50 plus $10 for each vehicle.
- Register each vehicle on MVC limousine plates with the town license, an insurance certificate naming the MVC, and a power of attorney.
- Every driver must be 21 and certified by the MVC after a State Police fingerprint check, or you face a $500 penalty for each day.
- Wheelchair trips need a Department of Health mobility assistance vehicle license, not a livery license.

In New Jersey, a sedan or minivan that carries walking riders on booked trips for pay usually runs as a limousine, and the license it needs comes from your town, not the state. Below are that license, the plates, and the driver certification, in the order you get them. Wheelchair work needs a separate Department of Health license, and the company setup, broker, and other licenses are in the [New Jersey guide](https://nemtguide.com/states/new-jersey/).

## When a NEMT company needs a livery license

New Jersey's limousine law, N.J.S.A. 48:16-13, defines a limousine as any car used in the business of carrying passengers for hire on prearranged trips at a premium fare, on a dedicated, nonscheduled, charter basis that does not follow a regular route. It seats no more than 14 passengers, not counting the driver. The vehicle must be certified by its manufacturer, and by any second-stage builder, to meet federal motor vehicle safety standards, and it must carry the EPA's emission control label. The same section defines "limousine or livery service" as the business of carrying passengers for hire by limousine.

A booked NEMT ride in a sedan or minivan fits that definition. The revised bid for the next NJ FamilyCare broker contract (February 20, 2026) calls livery a curb-to-curb service for walking riders, where the driver helps the rider into and out of the vehicle but is not required to enter the home. Modivcare's New Jersey facility page uses the same level: Ambulatory/Livery, for a rider who walks alone or with a cane or walker. The bid's vehicle definition still points to the age and seating limits of N.J.A.C. 10:50-1.12, but the state repealed that rule on April 4, 2022, so ask the broker which vehicle years it accepts. See [livery vehicle](https://nemtguide.com/glossary/livery-vehicle/) for how other states use the term.

Three kinds of work fall outside a livery license:

- **Wheelchair riders.** They ride in a mobility assistance vehicle, licensed by the Department of Health under N.J.A.C. 8:40. Walking riders who need help door through door ride at the ambulatory MAV level, so ask Modivcare which license it wants for them.
- **Fixed routes.** The MVC says a limousine cannot run on a route. A for-hire vehicle on a route is a bus or a jitney.
- **Taxis.** A cab that picks up riders who hail it falls under a separate article of the same chapter, N.J.S.A. 48:16-1 to 48:16-12.

## Limousine or taxi: which license fits

The limousine license suits booked NEMT trips, because one license from your home town covers trips between towns anywhere in the state. A taxi needs consent from every town where it operates.

| Question | Limousine (livery) | Taxi |
|---|---|---|
| Who licenses you | Your home town's clerk | The governing body of each town where you operate |
| Where it is good | Trips between towns statewide | Inside the towns that consent |
| Insurance | $1.5 million, filed with your home town's clerk | $1.5 million, filed with each consenting town's clerk |
| MVC plates | Code 14, marked Limousine | Code 13, marked Taxicab |
| How riders book | Prearranged only | Riders may hail the cab |
| Driver check | MVC certification after State Police fingerprints | Criminal history check before the town consents |

Towns also decide by ordinance how many taxi licenses they issue (N.J.S.A. 48:16-2.1), and may sell them at public auction (N.J.S.A. 48:16-2.3).

## How to get an NJ livery license, step by step

### Step 1: Register your company and get an MVC entity number

Form your company and register with the Division of Revenue, and get a federal employer identification number from the IRS. The state guide covers the filings and fees, and our [LLC guide](https://nemtguide.com/guides/llc-for-nemt/) covers the choice of entity.

To title and register vehicles in the company's name, you then need the MVC's own Entity Identification Number (EIN), a 15-digit number formerly called the corporation code. It is not your IRS number. Apply on the MVC's EIN web application with proof of your federal number and your certificate of formation or incorporation. The MVC says to expect a letter or email within five business days, and the Business Licensing Services Bureau answers status calls at 609-292-6681 after three business days.

### Step 2: Buy the $1.5 million policy

N.J.S.A. 48:16-14 bars a limousine from any street until its owner files a liability policy of $1,500,000 for bodily injury or death with the clerk of the town where the business is based. The policy must come from an insurer licensed in New Jersey, stay in force for the full amount, and pay any final judgment for injuries from the ownership, maintenance, or use of the limousine. If your service runs in several towns, you still file only in your home town (N.J.S.A. 48:16-18).

Two more papers go with the policy:

- **A power of attorney.** You appoint the head of the MVC as your attorney to accept legal papers served under the policy (N.J.S.A. 48:16-16).
- **Proof in each vehicle.** Each car carries a notarized letter from the insurer, or a notarized certificate, showing its VIN and your limits, attached to the license (N.J.S.A. 48:16-17).

If you plan to drive Medicaid trips, buy to the broker's number. The February 2026 revised bid for the next broker contract, which the state sent back for award to Modivcare on August 20, 2026, asks every transportation provider for $2 million combined single limit auto coverage, general liability of $1 million per occurrence and $2 million aggregate, workers' compensation, and $1 million of employer's liability, with the State of New Jersey as an additional insured. For how these coverages fit together, see [NEMT insurance requirements](https://nemtguide.com/guides/nemt-insurance-requirements/).

### Step 3: Get the license to operate from your town

Once the policy is filed, the clerk of your home town issues the license to operate, in duplicate (N.J.S.A. 48:16-17). The fee may not exceed $50 for the service plus $10 for each limousine on the policy. The license lists your insurer, the policy number and expiration date, and every vehicle with its registration number. You file the duplicate with the MVC before you register any car as a limousine, and keep the original or a copy in each vehicle for police to inspect.

Your home town is the one with your principal place of business: your main place of business, where your cars are dispatched, or where your drivers report for duty. Under N.J.S.A. 48:16-22.3, no other town may require a license for your trips between towns. Another town may require its own license, for no more than $50 in total, only if you run point-to-point trips that start and end inside it (N.J.S.A. 48:16-18.1).

Clerks add their own checklists, so call yours before you apply. As of October 2026, the Town of Westfield asks for:

- A limousine business located in Westfield, an application, and $50 per license.
- An insurance certificate naming the town as additional insured and certificate holder, listing every vehicle.
- Your MVC entity number certificate.
- An MVC qualification letter for you and for each driver.
- A State Police criminal record check for the local ordinance, which costs $20.

### Step 4: Register each vehicle on limousine plates

The MVC registers limousines as Code 14, with plates marked Limousine. For every new registration, transfer, and renewal, its commercial vehicle page asks for:

1. The license to operate from your town.
2. An insurance certificate with the insurer's name, the policy number and expiration date, at least $1.5 million of liability, a description of every covered vehicle, and the MVC as certificate holder.
3. The power of attorney appointing the MVC's chief administrator for service of process.

Limousine plates cost $10 on top of the regular registration fee (N.J.S.A. 39:3-19.5). The MVC also says a carpool vehicle paid for its rides must be registered as a limousine, and a limousine must not be registered as a taxi. For online renewal, you upload the certificate, power of attorney, and town license.

### Step 5: Certify every driver with the MVC

No one may drive a limousine until they are 21 and the MVC has told you in writing that they qualify (N.J.S.A. 48:16-22.3a). Owners who drive need the check too, and so do drivers who live in another state. The steps, from the MVC's January 2024 advisory:

1. **File form LIMO-5** for each driver: the Limousine Driver or Rental Car Chauffeur Employer Certification Application. Mail it to the MVC Limo Application Unit, PO Box 169, Trenton, NJ 08666-0169, or fax it to 609-292-7504.
2. **Have the driver book fingerprints** with the state's vendor, online or at 1-877-503-5981, using service code 2F17SN and their driver's license number as the contributor case number. The driver pays the vendor's fee, as the law puts the cost of the check on the applicant.
3. **Wait for the letter.** The MVC checks the State Police results and mails a qualification or disqualification letter to you, not the driver. The advisory puts the whole process at about two weeks.
4. **Keep it in the car.** The driver carries the certification letter, and the MVC notes the qualification on the driving record for police.

A driver who already holds a commercial driver's license with a passenger endorsement skips the fingerprints, but you still file a LIMO-5 for them. A driver needs only one check, even when working for two companies, though each employer files its own LIMO-5. The State Police keep the prints on file, and the MVC tells you of any new disqualifying conviction if it has your current address.

A conviction for aggravated assault, arson, burglary, escape, extortion, homicide, kidnapping, robbery, aggravated sexual assault, sexual assault, or endangering the welfare of a child disqualifies a driver, as do certain weapons crimes and drug crimes beyond a disorderly persons offense. A certificate of rehabilitation lifts the bar. Letting an uncertified driver work carries a $500 penalty, and each day counts as a separate offense. The law also requires a drug test for each new driver, at the driver's own cost (N.J.S.A. 48:16-22.3b). Questions go to the Limo Application Unit at 609-292-7500, extension 5065, or mvclimoapplication@mvc.nj.gov. See [NEMT driver background checks](https://nemtguide.com/guides/nemt-driver-background-check/) for the wider picture.

A 2010 law will replace the employer letter with a chauffeur endorsement on each driver's license, which also needs proof the driver meets the federal medical standard for commercial drivers (N.J.S.A. 39:5G-2). It starts only once the MVC certifies that its computer system can track the endorsement. As of October 2026, the MVC's forms and pages still use the LIMO-5 letter.

## Keeping the license: insurance, inspections, and daily checks

Your insurer reports limousine policies canceled for nonpayment to the MVC every month. The MVC then notifies you, suspends the registration if it has no new proof of insurance within 30 days, and suspends your company's registration privileges if you neither show proof nor surrender the plates within 60 days (N.J.S.A. 48:16-14).

Each limousine needs this equipment (N.J.S.A. 48:16-22.1):

- A two-way communication system that reaches someone at least 100 miles away. A mobile phone counts.
- A removable first aid kit and a working fire extinguisher, both within easy reach.
- Sideboards, if the floor sits 10 inches or more above the ground.

Before the first pickup each day, the driver checks the tires, wipers, horn, windshields and windows, front and rear lights, fluid levels, brakes, and the communication system. A completed checklist you supply, with the date and time, is your proof (N.J.S.A. 48:16-22.2). Our [vehicle inspection checklist](https://nemtguide.com/templates/nemt-vehicle-inspection-checklist/) works for the daily check. Vehicles plated as limousines also need a safety and emissions inspection every year under the MVC's inspection rules (N.J.A.C. 13:20-7.2(b), as amended in 2016).

N.J.S.A. 39:5G-1 sets the fines. Running a limousine without the town license or without the $1.5 million policy in force carries a fine of $2,500 for a first offense and $5,000 after that. Running one without limousine plates or a current inspection carries $1,250, then $2,500.

## If your company is based outside New Jersey

Limousines registered in another state that pick up or drop off passengers in New Jersey must follow the same limousine law. An out-of-state owner may file the insurance and get the license to operate in any New Jersey town where it has a business address (N.J.S.A. 48:16-22.4).

Any limousine or other for-hire vehicle not registered in New Jersey that carries passengers to or from the state also owes an annual for-hire permit fee for October 1 through September 30: $250, or $100 if it serves only New Jersey airports (N.J.S.A. 39:3-19.6). The fee is due by October 1, or, if you start carrying passengers later in the year, at least 10 business days before you start. The permit stays displayed in the vehicle in New Jersey. Driving without it can bring a fine of up to $350 and impoundment, and not paying the fee is a separate violation with a fine of at least $350. For trips that cross state lines, see [out-of-state NEMT trips](https://nemtguide.com/guides/out-of-state-nemt-trips/).

## What it costs and how long it takes

The fees New Jersey sets are small. Insurance is the real cost, so get quotes for the $1.5 million policy, or the broker's $2 million, before you buy a car.

| Item | Cost | Paid to |
|---|---|---|
| License to operate | Up to $50, plus $10 per vehicle | Your town clerk |
| Limousine plates | $10 plus the regular registration fee | MVC |
| Driver fingerprints | The vendor's fee, paid by the driver | State fingerprint vendor |
| Driver drug test | The driver's cost | Testing lab |
| For-hire permit, out-of-state vehicles | $250 a year, or $100 airport only | MVC |

Plan on about a week for the MVC entity number and about two weeks per driver for certification, and file both early because a driver cannot start without the letter. Your clerk's own checks, such as Westfield's local criminal record check, add time. Once you are licensed, see [how to start an ambulatory transportation business](https://nemtguide.com/guides/start-an-ambulatory-transportation-business/) for finding riders, and [Modivcare in New Jersey](https://nemtguide.com/brokers/modivcare/new-jersey/) for joining the state's Medicaid broker.

## Frequently asked questions

### How much does an NJ livery license cost?

Your town may charge no more than $50 for the limousine service plus $10 for each limousine on the policy (N.J.S.A. 48:16-17). Limousine plates add $10 to each vehicle's regular registration fee (N.J.S.A. 39:3-19.5). The real cost is the $1.5 million liability policy. Each driver also pays the state fingerprint vendor's fee.

### Do I need a livery license in every town I drive in?

No. The town where your principal place of business sits licenses a limousine service that runs trips between towns, and state law bars every other town from requiring its own license for those trips (N.J.S.A. 48:16-22.3). A town may require a license, for no more than $50 in total, if you run point-to-point trips that start and end inside it (N.J.S.A. 48:16-18.1).

### Can a driver under 21 drive my livery sedan?

No. N.J.S.A. 48:16-22.3a bars anyone under 21 from driving a limousine, and the MVC must send you written notice that the driver is qualified first. The revised bid for the next NJ FamilyCare broker contract sets 18 as the minimum age for drivers, but that does not override the limousine law for a sedan on limousine plates.

### How long does MVC limousine driver certification take?

About two weeks once the driver is fingerprinted, according to the MVC's January 2024 advisory. You mail or fax form LIMO-5 first, then the driver books a fingerprint appointment with service code 2F17SN. The MVC mails the qualification letter to the employer only, and the driver may not carry riders until it arrives. The law allows no waivers or grace periods.

### Does a livery license cover wheelchair riders?

No. A rider who travels in a wheelchair rides in a mobility assistance vehicle, which needs a Department of Health license for the company and each vehicle under N.J.A.C. 8:40, and MVC plates starting with OM. Livery covers walking riders who go curb to curb. The New Jersey guide covers the mobility assistance vehicle license.

### Does the $1.5 million policy have to stay in force between rides?

Yes. N.J.S.A. 48:16-14 lets a limousine run only while the policy stays in force for the full $1,500,000, and it sets no lower limit for hours without a passenger. The bill that became P.L. 2017, c.27 first proposed lower limits for those hours, but that section was struck before it passed. If the policy is canceled, the MVC suspends the registration unless new proof arrives within 30 days.

### Do I charge sales tax on livery rides?

No. P.L. 2017, c.27, approved February 10, 2017, removed limousine rides from the sales tax, so charges for carrying people are exempt under N.J.S.A. 54:32B-8.11. Delivery charges are still taxable. Ask your tax preparer about anything else you sell alongside the ride.

## Official resources

- [NJ MVC: Commercial vehicle and registration information](https://www.nj.gov/mvc/vehicles/commvehinfo.htm)
- [NJ MVC: Requirements for limousine drivers](https://www.nj.gov/mvc/business/limorequir.htm)
- [NJ MVC: LIMO-5 employer certification application](https://www.nj.gov/mvc/pdf/business/LIMO-5.pdf)
- [NJ MVC: Limousine background check FAQ](https://www.nj.gov/mvc/business/limofaq.htm)
- [NJ MVC: Entity Identification Number for business vehicles](https://www.nj.gov/mvc/business/ein.htm)
- [Modivcare: New Jersey facility resources and levels of service](https://www.modivcare.com/facilities/nj/)