In this blog post, we'll be delving into what personal injury protection is and how it works.
Accidents are a part of life. We can try to prevent them, but sooner or later, we will experience one or more. This may range from minor accidents to more severe ones.
If you get into an accident, let's say a car accident, there's a high probability that you or other people in the car would get injured. Whether that be minor injuries or more major ones.
This is where personal injury protection or PIP comes in.
Personal injury protection can cover injuries to you and the passengers in the car, whether or not it was you or another driver who caused the accident.
What is Personal Injury Protection?
When you get into an accident, specifically a car accident, and get hurt, personal injury protection is what you can use to pay for your medical expenses. This is available regardless of who was at fault.
The expenses of the PIP must be related to the injury. So, this means that PIP does not cover property damage to your vehicle.
When you are at fault in a car accident, the at-fault driver’s liability coverage will cover the medical expenses.
On the other hand, when you are not at fault or in no-fault states, you will need PIP to cover your injuries.
Moreover, personal injury protection will also cover your damages and related charges if you’re hit by a vehicle while walking or riding your bike.
What Does Personal Injury Protection Cover?
Now, let's go further and understand what personal injury protection covers.
It's good to note that each state sets its own limit for when you can sue. Additionally, no-fault insurance laws usually require that you make smaller injury claims.
What does personal injury protection cover?
- Medical and hospital expenses
- Lost wages or salary
- Recovery costs
- House cleaning or child care services if you are unable to do this due to the accident
- Funeral expenses
- Survivor benefits
There is no liability lawsuit that you need to go through when claiming your personal injury protection. This is because PIP is in force whether or not you are at fault.
PIP Coverage Does Not Include These
Some states require PIP, while others don't.
If PIP is optional in your state, then you may opt to use your health insurance plan instead. But PIP has perks that some health insurances don't have. These include the reimbursement of salary lost due to your injury and services you can't continue to do, such as house cleaning or child care.
PIP coverage does not include these:
- No-fault insurance does not cover the damage to your car.
- It does not cover vehicle theft.
- Comprehensive coverage, on the other hand, can help pay to replace your car if it gets stolen. This is if you've added this to your insurance coverage.
- Does not cover damage to another person's property or vehicle.
- No-fault insurance excludes medical expenses that are outside of your coverage limits.
Related: Can I Get No-Injury Car Accident Compensation?
How to Set the Limits of Your PIP
Do you already have existing health coverage? If so, then you may just opt for the cheapest PIP to supplement your health insurance.
However, if you'd like the additional protection that PIP can provide, then you can increase your PIP limits based on your needs.
Knowing the inclusions of your PIP and how to use it is essential to be able to get its full benefits.
