What Is Personal Injury Protection?

PIP is also known as no-fault insurance in some parts of America and is also compulsory auto insurance in some states and an optional add on in others. Depending on the state in which you reside, you might have to purchase this compulsory insurance to help pay for medical expenses should you ever be involved in a motor vehicle accident. 

If you should ever find yourself involved in a car accident, it would be extremely beneficial to have personal injury insurance in place to assist you with any medical expenses that could arise. There are a few essential things to know about personal injury protection. Should you ever need to utilize the insurance, you will need to understand this type of insurance’s fundamental aspects. 

What Exactly Is Personal Injury Protection (PIP)?

As previously mentioned, personal injury protection is also known as no-fault insurance. Personal injury protection is a car insurance plan covering all associated medical bills when a car accident has occurred. Currently, PIP insurance is mandatory in thirteen states.

In some cases, this insurance can also be used to cover lost wages. The insurance is often called no-fault insurance because regardless of who is at fault for an accident, the insurance will still pay out relevant claims. 

Personal injury protection isn’t selective of who it covers. The insurance covers the medical expenses for those injured policyholders and passengers regardless of if they have health insurance or not.

In some cases, a person’s PIP coverage will only cover a person’s injuries up to a specific limit. Once this limit is breached, health insurance will sometimes cover further medical expenses. Most policies have a per person maximum coverage amount, and often this will only include a certain number of people involved in the accident. 

As with most rules and regulations, auto insurance requirements differ from state to state. Personal injury protection is mostly available in no-fault states and is often compulsory. Suppose an accident should occur in a no-fault state, and the policyholder has been injured in a car accident. In that case, the PIP policy will pay the medical bills regardless of who the guilty party is that caused the car accident. 

It can be slightly challenging to understand the ins-and-outs of personal injury protection. It may be beneficial to consult a lawyer specializing in this field should you need to file a PIP claim or begin a personal injury lawsuit.

What Are the Benefits of PIP?

PIP was designed to provide easy and consistent access to benefits for injured parties who are insured. With a basic policy, a person who has only sustained minor injuries can avoid having to open a liability claim or file a lawsuit.

However, this is not always the case, and there are some instances where it would be best to seek legal counsel should you have to take legal action for injuries sustained in a car crash. In difficult personal injury cases, a lawyer can often help guide you on what actions you can take to speedily resolve a lawsuit that has resulted from a motor vehicle car accident. 

Specifically, in no-fault states, those who have PIP policies don’t have to file a lawsuit against another party to prove negligence for medical bills to be covered. However, note that a person can still choose to file a lawsuit. In states where it isn’t a no-fault state, it would be best for you to contact a lawyer specializing in such cases. 

Insurance premiums are often lower since personal injury protection statutes limit lawsuits and liability claims and lawsuits. This leads to policyholders saving money on litigation and claims costs. Again, this depends on many factors, and it might be best to seek an attorney’s counsel to determine the best course of action. 

PIP policyholders have a choice between affordability and comprehensive coverage options. 

PIP covers a range of expenses that could arise. Personal injury protection insurance could cover lost wages, medical bills, rehabilitation costs, and even death benefits. However, this is mostly dependent on the type of policy you choose, as not all policies cover all potential expenses. 

It would also be best to consider purchasing a PIP policy option that allows you to choose the unlimited right to sue. This option is often available in the standard policies.  

However, there is also the limited right to sue option, and in this instance, your injuries will determine if you have a right to sue should you be involved in a car accident and decide that you want to go the legal route. 

In essence, PIP is extremely beneficial insurance to have. It will undoubtedly give you the peace of mind you need when traveling daily from destination to destination. It is incredibly important to establish whether or not PIP is compulsory to have in your state. It would also be ideal to find out if you can add it as an add-on to your current auto insurance policy. Having personal injury protection will eliminate a lot of the potential hassle associated with car accident expenses. 

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