What is Personal Injury Protection? 

 September 28, 2013

By  LMW Attorneys

Being in an auto-accident is something that nobody expects to happen to them. However, instances of accidents are becoming increasingly common across the country, so you simply never know when it could happen to you.

Fortunately, having a comprehensive auto insurance policy in place can help to protect you from incurring large expenses following an accident. An important part of any car insurance policy is that of Personal Injury Protection, also commonly abbreviated as PIP.

Person Injury Protection refers to the amount that your insurance company will offer in order to cover medical and other expenses related to injuries sustained in the accident. This can include anything from bills following a hospital visit, necessary medical procedures, wages lost from missing work and other collateral costs related to injuries.

PIP coverage can also extend to any passengers that may have been in the policy-holder’s car at the time of the accident.

As you can imagine, having a high-level of PIP on one’s car insurance policy is extremely important. This is especially true in “no fault” states, which are states that require all drivers involved in an accident to cover their own medical expenses regardless of who was at fault for the accident.

In these states, PIP minimums are in place and you should check with your state government to find out what those exact minimums are to ensure that you meet them.

If you already have health insurance, then you may be able to save on your auto insurance by choosing a different level of Personal Injury Protection. In such situations, your medical insurance company will be billed first for your medical expenses and then your auto insurance company would be left to pick up the remainder.

Keep in mind that deductibles can still apply. Therefore, the lower the deductible you have in the event of an accident, the better off you will be and the less money you will have to pay out-of-pocket.

The specific level of PIP that you should purchase with your insurance policy can vary based on a number of factors. If you do not carry medical insurance, live in a “no fault” state or often drive with people who are uninsured, then you may want to purchase a higher amount.

You may also wish to consider speaking with your insurance agent to ensure that you are adequately covered in the event of an accident.