If you reside in a state where personal injury prevention (PIP) is optional, it’s a good idea to look through your personal health insurance and figure out which medical bills are covered as well as to what extent in the case of an accident. Your health insurance provider will apprise you regarding policy limitations and help you determine whether PIP coverage can offer extra protection when it comes to accident-related injuries.
Nevertheless, you may face a significant financial loss without personal injury protection insurance if you are involved in a car accident. Generally, Personal injury protection insurance, also known as PIP insurance, is intended to pay medical costs, lost wages, and other related expenses after an accident.
All car owners with PIP Insurance coverage on their insurance policies should be aware that PIP covers those necessary and reasonable costs for medical treatment and specific other costs accrued up to three years after an auto injury accident. These costs can entail hospital fees, the cost of prosthetic devices, ambulance service fees, dental procedure charges, insurance costs, medical services, surgical fees, professional healthcare expenses, and x-ray costs.
This comprehensive PIP insurance guide will help you know all ins and outs of PIP coverage. So, without further ado, let’s commence.
What Is Personal Injury Protection Insurance?
First, let’s know what exactly personal injury protection coverage is, so basically, it is an extension of auto insurance that covers medical expenses. After a car accident, PIP coverage covers hospital bills and rehabilitative costs.
Personal Injury Protection is a sort of no-fault insurance. You’re insured regardless of who is responsible for the accident and injury. When you have PIP protection, your coverage follows you. And if you aren’t driving, then you are covered. For instance, whether you’re a passenger in someone else’s car or if you’re hit by a car while riding a bike or walking.
Another significant advantage of PIP is that it compensates for lost wages due to an accident. If you are injured and cannot work, this insurance will help you avoid a financial crisis.
What Does Personal Injury Protection Insurance Cover?
Just like with other kinds of car insurance, what your PIP insurance covers relies on the amount you pay for. What’s more? How much your PIP premium is going to cost relies on aspects such as the type of coverage you crave, your age, and the model and make of your vehicle.
Your PIP premium can cover the expenses mentioned below, depending on what you choose and what is available in your state. Keep in mind that the amount of coverage available varies by state.
- Medical bills
After a crash, hospital bills can build up so quickly. However, PIP insurance coverage will assist you by covering your medical treatment cost up to the limits of your coverage. It would also pay the medical costs of those listed on your insurance policy.
You don’t even need to be in a car or behind the wheel to be eligible for this coverage. If you’ve been hit by a vehicle while walking or riding your bike, your PIP coverage may also apply.
2. Lost wages
If you are unable to work because of an injury resulting from a car crash incident, you may not have enough income you require to cover your bills and have meals on the table while recovering. PIP insurance can compensate for your missed wages during this period.
3. Rehab costs
If you require to have a physical rehabilitation after an auto accident, PIP coverage may offer compensation that covers you from having to pay for physical therapy out of pocket.
4. Household services
In case you have been incapacitated due to a car accident, you may require assistance with household chores and yard work. If you’re a parent, in this case, you will even need childcare assistance. PIP may provide perks that help cover the costs associated with these services.
5. Death benefit
PIP coverage may offer a death advantage for your family if you die in a car accident. Your family members can use this payout for medical and funeral costs.
How Much Personal Injury Protection Insurance Coverage Should I Purchase?
This could be the question that comes to your mind. So, the amount varies from state to state. States that mandate PIP coverage has set minimums that must meet to remain in compliance with the law. The cost of PIP coverage will range from $1,500 to hundreds of thousands of dollars.
A general rule of thumb is buying more than the basic minimums, but it doesn’t mean you have to purchase the maximum amount available. Consult the insurance provider if you’re unsure how much you should purchase. They’ll have a clear understanding of what constitutes a normal and safe amount in your area.
If you carry medical insurance, you can file a claim with your health insurer before claiming PIP coverage. PIP is for more than just hospital bills, so the health care provider can pay a percentage of those costs before PIP coverage is used.
How Do I File A Personal Injury Protection Insurance Claim?
In case you were driving at the moment of the accident, regardless of who was at fault, you would file your PIP claim with your insurance company. And in case you were a passenger in a car involved in an accident, you would file a car insurance lawsuit with the driver’s insurance, even if the driver didn’t cause the collision.
States like New York have imposed deadlines for filing PIP lawsuits to deter theft. Always double-check the state’s laws. If you’ve been in an accident, making a PIP claim as soon as possible is important.
What Kind Of Extended Coverage Do I Get Through Personal Injury Protection Insurance?
PIP insurance is a form of auto insurance available in regions with no-fault or add-on insurance regulations. If you’ve been left with large hospital bills due to a car crash, this coverage may assist you in defraying your expenses. PIP also has incentives that can help compensate for some of the higher costs you can incur as a result of a collision, in addition to medical expenses.
There are minimum coverage standards in states where PIP is available. Keep in mind that, with rising hospital rates, the bare minimum coverage might not be sufficient to cover the expenses after an injury. If you have the opportunity, purchasing PIP coverage exceeding the state minimum might be a good choice.
What Is Personal Injury On Car Insurance?
Personal accident cover is a component of an auto insurance policy, which compensates you or your family members for injuries or demise as a result of a car accident. If an auto accident is not your fault, then an at-fault person’s insurance firm will pay out for any personal injury claims.
Here are some of the traits that come under personal accident cover:
- Permanent total disability cover
- Permanent partial disability cover
- Temporary total disability cover
- Death cover
- Accident hospitalization cover
How Much Should I Ask For A Personal Injury Settlement?
A good rule of thumb aims for 75 percent to 100 percent more than you’d be happy for, in fact.
For instance, make your first demand for $3,000 or $4,000 if you believe your assertion is worth between $1,500 and $2,000. Create an initial demand of $8,000 or $10,000 if you believe your claim is worth $4,000 or $5,000.
Does Car Insurance Pay Personal Injury Protection Insurance?
Personal injury protection car insurance, also known as PIP coverage or no-fault insurance, pays for hospital bills no matter who is at fault. It can often include lost wages, too. PIP may be an optional insurance plan or a mandatory scheme add-on on your auto insurance policy, relying on the state where you reside.
How To Make A Personal Injury Protection Claim?
Are you wondering how to claim your auto insurance personal injury protection plan? If yes, here are the steps to pursue to make a personal injury protection claim:
- First and foremost, seek medical attention for yourself or anybody else who has been injured. That can include calling an ambulance and police officers to the accident scene.
- You will then formulate medical reports by going to a hospital or the doctor’s surgery. This is important in order to support your claim. Make sure to keep a record of all of the travel receipts, as well as all other expenditures.
- Get in touch with your insurance provider as soon as possible in order to report the auto accident and commence your claim.
- If another driver’s negligence caused the accident, you could file a lawsuit against their insurance company. If another party is not at fault, you’ll have to file a lawsuit against your own personal injury insurance cover.
Since each auto accident is unique, the time it takes for an insurance claim to payout differs.
If you are not glad about their response, we recommend taking your case to the Financial Ombudsman. However, you must first wait eight weeks for your insurance company to respond. And that’s a straightforward process to make a personal injury protection claim.
Tips For Maximizing Compensation In Your Personal Injury Protection Case
Once you conclude to make a personal injury claim, you would like to do everything with which your potential compensation can increase. You can make a full recovery by ensuring that you have adequate compensation in order to do so. This makes it a crucial part of making a full recovery.
After you get injured, the things you do are of utmost importance, and there are several steps to take to get the most out of your claim. If a person has an understanding of various aspects of their injury case that are in their control, then they can help themselves get the maximum amount possible. Here are ten ways listed through which you can maximize your compensation in your personal injury case.
- Preserve the proof
Every case gets settled by taking into consideration various pieces of evidence presented in front of the jury. In fact, the other party also will provide you a fair settlement amount only if you have got some strong evidence. This means it is necessary to preserve the evidence with everything you have. The strong will be your evidence; the higher will be your chances of winning your case.
Try collecting photos of the accident scene and also your immediate injuries if possible. Collect names and contact numbers of people who are willing to become a witness for you. If you file a complaint with the police, get yourself a copy as soon as possible. The lawyer fighting for you will follow up with this information to prepare the case.
2. Avail medical treatment
If you cannot click pictures of your injuries, then try getting admitted to any hospitals nearby for the treatment of your injuries and ask the hospital authorities to put your injuries in documents. That will be solid proof. Also, you can ask them to take pictures of your injuries before treating them. The doctors will then document the injuries and prepare a treatment plan for you. These documents later will force the party at fault to show up and offer a higher settlement.
If your injuries are not that deep after an accident, even then, you should get yourself medical treatment. The treatment plan which is recommended by the doctor you should follow carefully, and you should also ask the doctor if your body requires any physical therapy. Sometimes, the injuries seem minor on the outwards but can actually have long-term negative effects on your health.
3. Value your insurance claim completely
Presumptions after an accident like you only have one type of damage should be avoided at all costs. You might not even be aware of all the types of damages your body has gone through in the accident. One can claim compensation for damages caused to the regular body functions and even for the emotional damages caused. It would help if you claimed these to cover your out-of-pocket losses.
4. Have patience
It is a common practice by many people. They tend to hurry for the claim money in their hands just after their accident, which is not right. When we hurry to get our claims, we might only settle for what is required in the short term. Once you free the party at fault with a small and urgent settlement, then you will have to pay for all those damages from your own pocket that shows up later in the long term.
To get the maximum settlement amount for your case, try working with your auto insurance personal injury protection attorney for an expert opinion.
4. Explicate why the offer is insufficient
When the other party offers a settlement amount, and you do not find it appropriate, prepare yourself with reasons and evidence to explain to the other party and the jury why that amount is inadequate for you. This can be done by showing the documents from the hospital, which will strengthen your point.
When you reject a settlement offer, you make a point in front of the party at fault that you will not settle for anything less and that you are willing to go an extra mile to get a fair settlement amount.
5. Do not overlook future damages.
A personal injury causes damages to the overall body. Some can be seen immediately, and some can only be seen in the long term. Some injuries might not show up even till the time of your case going for trial. Here it becomes crucial that you take notice of the future damages before you evaluate a settlement amount.
You can include the costs of future damages in your claim. Most of the time, it is future damages that make up most of the settlement amount. To make it evident, work with your health care professionals and make it count in your claim.
6. Build your case
When you methodically maximize your claim, the other party gets pressured to offer you a fair settlement amount. This only happens if the other party sees you work with your attorney to get the maximum evidence to go to the trial and win the case. If, on the other hand, the other party senses that you are not working that hard to get an adequate claim, then they are most likely to settle your claim with a small amount.
7. File your case as soon as possible
You cannot risk the time slipping out of your hands as your injury has time limits. Hence, it becomes important to file your case as soon as possible. Once the statute of limitations expires, then you will get nothing in the name of the claim.
8. Stay off socials
Whenever you get involved in any such case, you must know that everything you say will be held against you in court. This also applies to social media. If you are trying to explain a devastating injury case in the court, but your Facebook handle tells a different story, then your case is done with the discussion.
9. Make a good impression.
It is always good to portray the best side of you in the court, as the jury will decide based on what they see and hear at the trial. Showing good mannerism like politeness and respect towards the other party will help get the jury sympathetic towards your case.
The important thing to keep in mind is that a qualified PIP insurance coverage attorney can assist you in determining what has to be done in order to help increase your compensation. At every phase, your attorney can help build your PIP case and interact with the other part to pursue a reasonable settlement. If your PIP case enters the trial, then your lawyer will stand behind you to present you and your case in the best possible way. The legal procedure takes time and patience, but your lawyer can assist you in navigating the complexities and hassles and follow a course of action resulting in the maximum compensation possible for your personal injury protection car insurance case.
Is Personal Injury Protection Insurance Necessary?
If you live in one of the states that require it, certainly you’ll have to buy PIP coverage. But, if you don’t, how will you know if PIP coverage is required?
- First and foremost, take a close look at your health insurance. Do you really have a policy with high deductibles, high co-pays, or generally stingy coverage? Then PIP will come in handy if you end up with enormous hospital costs resulting from the accident. Some jurisdictions have a system in place that combines the PIP with health insurance coverage to pay your bills. For example, you can pick PIP as your primary insurance and only have your health insurance cover the rest.
- After that, think about your financial situation. If you have a job that doesn’t offer paid sick leave or short-term medical insurance? Do you earn a living from paycheck to paycheck? If this is the scenario, you may need to add PIP to accommodate your missed earnings.
- Consider your family as well. If you have children, auto insurance personal injury protection could be a wise choice because it covers the whole family. It’s also a smart idea to get it if someone in your family doesn’t have health insurance or if you or your family members often get around by bike.
Can I Claim Personal Injury On My Own Insurance?
Can you make a personal injury claim on your own auto insurance? It is a very common question. And the short answer is No – this does not generally form a component of your own auto insurance policy. Nevertheless, a personal injury claim would be made against the at-fault party (another driver) or their insurer.
What Is the Difference Between Bodily Injury And Personal Injury?
The distinction between bodily injury and personal injury is where you might experience each one in the legal context. In criminal court cases, the term “bodily injury” refers to injuries sustained by somebody who has been the prey of an assault or another crime. Personal injury is often used in civil court cases to pay out any costs suffered as a result of an accident or accidental death.
However, in the world of insurance, both terms can come into the picture with each other.
Well, bodily injury insurance generally covers the cost of the individual who did not cause the auto accident and afterward suffered injuries. Auto insurance personal injury protection is generally an extension of car insurance that covers financial damages.
Each kind of case may present distinct standards for proof and liability. The state where an injury occurs can have various consequences for these terms.
Is Personal Injury Protection Insurance Mandatory?
The minimum personal injury protection car insurance determines by your state’s auto liability insurance laws. Car liability insurance regulations are divided into four sections, each of which differs from state to state.
1. No-fault: In no-fault states, PIP is necessary. And if another driver was at fault in the crash, your own insurance provider covers your claim under the no-fault system. There are restrictions on a person’s right to sue under these laws.
2. Tort liability: With tort liability, your claim is paid by the insurance company of the driver who caused the crash, and there are no restrictions on your right to sue.
3. Choice no-fault: With choice no-fault, drivers can opt between no-fault and tort liability.
4. Add-on: With no-fault insurance, add-on insurance laws require your claim to be paid by your own insurance provider, even though another driver caused the crash. However, unlike no-fault insurance, these laws do not put limits on a person’s right to sue.
Only a few states have auto insurance personal injury protection. If your state has a law where PIP is mandatory, you’ll need to get this kind of car insurance if you want to drive, even if your existing health insurance offers protection similar to what’s provided by PIP.
PIP is mandated by law in Puerto Rico and the no-fault states that are
- Arkansas
- Delaware
- Florida
- Hawaii
- Kansas
- Kentucky
- Maryland
- Massachusetts
- Michigan
- Minnesota
- New Jersey
- New York
- North Dakota
- Oregon
- Pennsylvania
- Texas
- Utah
PIP coverage is not mandatory in some states. PIP could be worth exploring if you live in one of these states because it may help pay for accident-related costs not covered by your health insurance. However, keep in mind that adding this extra coverage to your auto insurance policy will increase your premium.
- New Hampshire
- South Dakota
- Virginia
- Washington
- Wisconsin
When Should I Use Personal Injury Protection Insurance?
PIP coverage is often a necessity in states that pursue a “No-Fault” system, and it pays out your injuries, regardless of who caused the crash. If: State law demands it, you should think about PIP. You usually travel by people in your car who may keep you accountable for their medical bills if they were involved in an accident.
Is Personal Injury Protection Insurance Required?
The short answer is, ‘It depends on where you live.’ PIP is often referred to as “no-fault protection,” and it will protect the losses regardless of who is at fault in the crash. In no-fault states, drivers are also forced to have PIP insurance.
No-fault states are referred to as such because, in these states, your insurer covers all car collision-related costs, regardless of whether the driver is at fault – unless a certain monetary requirement is met. The requirement ranges from state to state, but it is basically the minimum cost you would have to pay for medical expenses before taking court action against another driver.
Should I Have Personal Injury Protection Insurance?
If you live in a state that demands PIP coverage, yes, you should have PIP coverage. But what if you live in a state that does not require PIP coverage? And, before making a decision, consider the following factors:
- What robust is your auto insurance? PIP insurance coverage is intended to complement your auto insurance to shield you and your passengers in the case of a crash. PIP may be unnecessary if you already have an excellent insurance policy along with lots of injury liability coverage.
- What type of health insurance you have? If you don’t have PIP coverage, your health insurance will cover any injuries you suffer in a car accident. Depending on your health insurance policy’s details, this may or may not be something you want.
- How frequently do you travel with passengers? PIP coverage will protect all of the passengers in the car following a wreck. If you don’t have that, passengers can be entitled to keep you liable for their injury if you’re in a car accident.
- What is your risk appetite? This is the most significant aspect of any insurance discussion. Although you wish never to be involved in a car accident, the fact is that they do occur, and they can be expensive. What’s more? There is no guarantee that the other party (if they are at fault) will have ample coverage to cover your damage. In such cases, having PIP coverage can be very beneficial.
Personal Injury Protection Insurance Vs. Medical Payments Coverage
Medical payments coverage is a form of auto insurance policy that will help you pay for medical costs incurred due to a crash. It is similar in several respects to PIP: it pays bills associated with appointments to the dentist, hospital stays, surgery, x-rays, and specialist nursing.
However, unlike personal injury protection, medical coverage usually does not cover anything like lost wages, household services, or recovery costs, and there is no death benefit. You’d need to buy a PIP policy to get that kind of coverage.
Medical payments coverage, unlike PIP, is never required — in states where it is available, it is still voluntary. Medical payment coverage will not be needed in states where PIP coverage is available. You will normally have the option of buying either PIP or medical payments coverage, but not both, depending on the state’s laws.
Finding And Comparing Personal Injury Protection Insurance Quotes
Working with a trustworthy independent insurance agent will make sure that you get the right coverage from a wide range of plans and options out there. Comparing various insurance plans is beneficial to you, so is the independent insurance agent you will hire.
Can You Represent Yourself In A Personal Injury Claim?
In a personal injury protection car insurance case, the law and the judge will authorize you to defend yourself. This is known as appearing pro se, or on your own behalf, in legal terms. However, there are certain circumstances in which you cannot defend yourself in court, such as:
- Suing for a corporation
- Filing a class-action lawsuit
- Suing on behalf of your child
When you represent yourself in a personal injury protection car insurance case, you will file, handle, and steer the case on your own behalf. Filing without an attorney may be dangerous because you would be foregoing the chance to get legal advice and assistance.
How To Select The Right Amount Of Personal Injury Protection Insurance?
Here are some tips for choosing the right amount of PIP insurance:
1.Consider your health insurance: Do you need to require PIP, If you already have health insurance? If you have excellent health insurance, you should choose a lower level of PIP coverage. If you know you’re still well-covered by your health benefits, this might be a smart way to save money. This is true if you have a low health insurance deductible.
2.Consider your health insurance deductible: If you don’t have health insurance or are on a high-deductible plan and reside in a state where PIP is optional, buy the minimum amount of coverage. There is no deductible in most PIP states.
3.Know which type of insurance pays first: PIP insurance coverage usually comes before your medical insurance when it comes to paying out claims. In most states, once you’re involved in a car crash, your PIP coverage will be in the primary position and over whatever health plans you have.
4.Add PIP if you don’t have life insurance: If you’re in a fatal car crash, adding PIP to your policy could help your family payout for unexpected costs.
5.Consider your lost wages: Can you afford to lose time if you’re involved in a car crash? If you don’t have PIP, you should try adding it or increasing your limits so it covers lost income (up to a specific amount and length of time).
What Happens If I Don’t Have Personal Injury Protection Coverage?
If this no-fault coverage is not mandatory in your region and you choose to opt-out, you may need coverage such as medical payments on your insurance if you are at-fault in an accident or the at-fault party cannot payout for your injury. Otherwise, you may end up paying for your medical expenses out of pocket.
An auto insurance personal injury protection plan could be unwanted if you have ample health coverage and your state does not mandate it.
When Can You Use Personal Injury Protection insurance?
In case you’re not at fault and the other driver’s insurance and injured, bodily benefits don’t cover any of your medical bills. Your underinsured motorist coverage kicks in to cover the rest. If that doesn’t work, you can use PIP or MedPay. Your health coverage will kick in after that.
What Doesn’t Personal Injury Protection Insurance Cover?
Auto insurance personal injury protection doesn’t pay for damages to your car or the other party’s vehicle. It also excludes coverage for the property loss. If any car, for example, hits the mailbox and does harm, their personal damage insurance policy will protect it. Your collision or comprehensive insurance will pay for the harm you do to someone else’s house.
There are certainly other cases in which PIP insurance is not applicable. PIP insurance, for example, would not protect you if the vehicle is being used for ridesharing at the time of the crash. You won’t be insured if you were involved in illegal activities at the time of the crash or if you caused an accident on purpose that resulted in injury.
How Does Personal Injury Protection Insurance Coverage Work?
If you have an auto-related injury, it’s normally best to use your PIP policy to pay for your hospital bills before looking at other options. Before relying on your health benefits, you must make a PIP claim if you live in a no-fault state where PIP insurance is required by statute. And if you don’t live in a no-fault state, bear in mind that PIP insurance coverage will have perks that health insurance doesn’t, such as income replacement and funeral expenses.
If you live in a no-fault jurisdiction, your own insurer will cover your costs before reaching a certain level (specified by your state). You will sue the other driver for any extra charges if you reach the threshold.
Personal injury insurance lawsuits must normally be filed within a certain deadline, so it’s important to inform the insurer after an accident. You shouldn’t, for example, file a lawsuit until the medical procedure is over. Submit the original medical bills for payment to your insurance company. You will file supplementary charges as the care progresses. After receiving immediate medical attention following an injury, you should need to obtain pre-approval for continuing, non-urgent treatment.
What Are The Benefits Of Personal Injury Protection Insurance coverage?
PIP insurance coverage pays out the resulting damages and lost wages up to a certain level even though you are the at-fault driver in a crash. In reality, PIP is widely referred to as “no-fault” compensation, so you will make a lawsuit irrespective of the fault you have in the crash.
Auto insurance personal injury protection will help you supplement your auto insurance claim by covering medical costs and lost earnings that are specifically related to the car accident. Your car insurance and life insurance policies are unable to offset these costs.
When Can PIP Benefits Be Denied?
PIP insurance benefits may be denied under most programs if:
- Your car is not insure
- You were injured while committing a crime.
- You contributed deliberately to your own injuries.
- You were operating a Vespa, Motorcycle, or scooter.
- You were using a stolen vehicle.
- You were intoxicated or affected by drugs while driving.
What Types of Expenses Does Personal Injury Protection Coverage Take Care Of?
Every insurance policy is a little different, but in most situations, personal injury protection car insurance benefits can compensate for losses such as medical costs and hospital bills. You will have to pay the damages that your health insurer would not cover for you in such an accident. It is important to read more about your state’s PIP coverage laws as they differ considerably. There is no requirement for PIP coverage in Colorado. However, it may be an important addition to their current car insurance coverage for many people, particularly if their current health insurance is not enough to cover you.
Some of the expenses that PIP insurance coverage can handle, depending on the laws of your state, can include:
- Child care costs associated with your need to stay in the hospital
- Loss of services.
- Income continuation
- Funeral expenses.
You can see that there are costs most health insurance providers won’t cover for cases related to medical costs. Yet, these are real expenses that you will need to manage if you’re in an auto accident.
