A traffic jam is one of the most significant social issues of our time. Numerous solutions have been developed to reduce traffic jams. Among them, vehicle-to-vehicle (V2V) communication-based approaches recently attracted remarkable interest from industry and academia. V2V communication enables vehicles to collect previously unobtainable high-fidelity traffic information such as individual vehicles’ speed, destinations, and maneuvers. Using the rich traffic data, vehicles are capable of making rapid and accurate assessment of traffic conditions leading to dynamic speed adjustment, lane change, and alternative route selection to prevent and alleviate traffic congestion. This chapter presents a comprehensive review of state-of-the-art V2V communication-based solutions for reducing traffic jams by categorizing them based on the key components: traffic information dissemination, traffic jam detection/classification, and traffic jam reduction.