You can add Personal Injury Protection (“PIP”) to your auto insurance policy. This coverage covers medical expenses, lost wages, and funeral expenses after an accident, regardless who was at fault.
Depending on the type of your auto policy and where you live, minimum PIP coverage usually pays $10,000 for “reasonable, necessary” medical bills, $10,000 for lost wages (up to $200 per week), $2000 for funeral expenses, and $5000 to cover loss of services. This is subject to a maximum $40 per day and $200 each week.
Housekeeping and yard maintenance are examples of household services that could be lost. Your insurance company may reimburse these costs if you are hurt and unable to perform the tasks.
48 out of 50 states require liability coverage. Although PIP is not required coverage, it is an important part of the coverage. If you are hurt in an accident, PIP is a huge benefit. PIP covers you regardless of fault. After an accident, you might be unable to work due to significant medical bills. These expenses can be covered by PIP.
Your health insurance may cover motor vehicle accidents, but not all treatments. You may be limited in your coverage, or it may not cover massage or chiropractic treatment.
PIP insurance, which is the main form of medical insurance after an accident, provides coverage. Most likely, your health insurance company would ask you to prove that there is no PIP coverage. In the absence of PIP coverage, they would only cover medical expenses. After the PIP coverage is exhausted, the policy would provide additional coverage for medical expenses.
Some states require that you waive PIP coverage because it is an essential type of coverage. In the absence of a signed waiver, auto insurance companies will need to retain a copy of your waiver. They may also have to pay PIP benefits.
Your auto insurance company may offer higher limits of PIP coverage. In Washington State, for example, the optional higher level of PIP coverage covers up to $35,000 for medical bills and $35,000 for lost wages. This is paid at a rate of up $700 per weekly after the accident. $2000 is paid to funeral expenses. $14,600 to cover loss of services. The maximum daily limit is $40.
In bicycle and pedestrian accident cases, PIP coverage might also be available. PIP coverage covers pedestrians and bicyclists who are injured by vehicles, regardless of fault. The injured person can use their parents’ or their PIP coverage to pay for medical bills, lost wages, and other damages if the driver who hits a pedestrian or bicyclist doesn’t have insurance.
Parents may also have PIP policies that cover children. If a child was riding a bike or walking when they were struck by a driver without PIP, their parents may be able cover them.
Some auto insurance companies offer med-pay coverage. This is different from PIP. This coverage is less comprehensive and covers only a specific amount of medical bills, usually $5,000. It does not cover any other losses.
