What is Personal Injury Protection (PIP)? 1

Melissa is a mother of 2, lives in Utah, and writes for a multitude of sites. She is currently the EIC of HarcourtHealth.com and writes about health, wellness, and business topics.

Personal Injury Protection or PIP covers your and your passengers’ medical expenses after an accident has occurred. Also, if you are unable to perform your work due to your injuries, this policy may also cover your lost wages. It is often referred to as “no-fault insurance” coverage because its essential all-inclusiveness pays out claims regardless of who is at fault in the accident.

How Much PIP Should Be Included In Your Car Insurance Policy?

You probably don’t need to spend a lot of money on a Personal Injury Protection policy. Why? Because you should be covered if you already have health and disability insurance through your employer. If that is your case, just buy the required minimum by your state.

What Does Personal Injury Protection Pay?

Personal injury protection pays the medical bills and rehabilitative costs both for you and for your passengers due to injuries sustained during a car accident. It also extends to occasions when you’re a passenger in someone else’s car, or if you’re hit by a car while walking about or riding a bicycle. This type of insurance differs from bodily injury liability insurance because PIP coverage pays for your own expenses, while liability insurance pays for the medical expenses of drivers and passengers in other cars when you are at fault for an accident.

Personal injury protection insurance may include some of the same coverage as your health insurance or Medical Payments policy. However, PIP coverage considers specifically automobile-related injuries, and these are oftentimes excluded from health insurance policies. Also, PIP insurance covers a number of additional expenses not covered by a Medical Payments insurance policy.

What Does PIP Cover?

This form of insurance covers both needed medical procedures and reasonable expenses related to rehabilitation during your recovery from an accident. The kinds of expenses covered may vary by state, but generally may include:

  • Hospital stays
  • Operations
  • Ongoing medical care
  • Lost wages, in cases when you are unable to work
  • Funeral expenses
  • Accidental death benefits

Some home care expenses are also covered, and these may include childcare or house cleaning if you’re unable to carry out those duties on your own.

Is It Difficult To File A PIP Claim?

A PIP claim works like that for any other type of insurance. It can be presented either online or by phone. PIP will help pay for medical expenses that rise immediately after the accident. But for continuing, non-urgent claims, you will be required to review or get pre-approval for any treatment plan with a medical professional selected by your insurance company or through an outsourced medical claims processor. Your car insurance firm can also approve limited reimbursements, or even send you to be examined by the medical specialist of their choice. Keep in mind that in Florida PIP coverage only covers 80% of your medical costs.

It’s imperative that you follow your car insurance company’s procedures and timelines. Ask your insurance agent about their PIP claim process requirements and keep a copy on hand in case you’re ever injured.

Florida is a no-fault state, with a tort threshold of $5,000 and a minimum PIP requirement of $10,000. Call a personal injury law firm in Fort Lauderdale to receive a free consultation today if you have any questions regarding the amount and type of coverage you need.