Looks like you have stock sway bar links. You need to buy longer ones or some adjustable quick disconnects to rotate the bar up and avoid contact with the coil. Tighten the upper and lower link bolts nice and snug. You should inspect the sway bar bushings too while you're at it. Good luck. HTH
after what size of lift should you get new / longer links?
NAXJA Member #2619
1995 Jeep Sport Cherokee 4x4 with an Auto and 4.0L
B&M Transmission Cooler and Autometer Tranny Temp Gauge, Ruff Stuff Diff Cover on D30.
Taraflex 1.5" BB (rear shackle only), HD Quadratec leaf springs, RE 3.5" front springs, OME Long shocks, JKS Adjustable Track Bar from K.O.R.
Daystar Control Arm Bushings, Bushwhacker Flairs, Rhino lining along bottom trim, AGR PS pump with Cooler & Filter.
Bored TB, APN Manifold, New Downpipe, Magnaflow High Flow Cat, Flowmaster Super 44.
Dual Oil Relocation Kit running two K&N301 size filters, Autometer Digital Cobalt Oil Temp and Oil Pressure Gauge.
Just get some longer endlinks. If you plan on wheeling the Jeep much, invest in some quick disconnects from JKS or Rubicon Express. If you're the DIY type and are willing to trade some ease of use for cost, you can convert your stock endlinks into disconnects and lengthen then at the same time -- http://jeepin.com/features/discons
Jason West - Jeepin.com | JeepinOutfitters.com '16 JKUR Hard Rock, RE/Synergy 3.5", 37" GY MTR/Ks '95 XJ, RE 5.5", 35" MT/Rs, D30 w/hubs & ARB, D44 w/Detroit, 4.56s, C4x4 bumpers, etc, etc. '00 TJ, SOLD, wife's, RE 4.5" long-arm, 35" MT/Rs, D30+OX, D44+ARB, 4.88s, full cage, winch, C4x4 & Jeeperman bumpers, etc, etc.