Personal Injury Protection

What Does Personal Injury Protection Mean?

Personal Injury Protection (PIP) is a type of no-fault auto insurance coverage that pays for healthcare expenses for the driver and their passengers after an accident, regardless of who is at fault. In some states, PIP coverage is legally required. If medical expenses exceed the PIP coverage limit, the individual’s health insurance may cover the remaining costs up to its policy limits.

Insuranceopedia Explains Personal Injury Protection

Personal Injury Protection (PIP) requirements vary by state, with PIP primarily available in no-fault states. PIP is one of the main types of car insurance that drivers combine, since it only handles injury-related costs and not damage to vehicles or property. Adequate coverage depends on each state’s minimum requirements, as well as the individual’s health insurance policy and financial situation. However, it’s important to note that PIP cannot replace liability coverage, which is mandatory in nearly all states. Since PIP only pays for your side of an accident, drivers still need to work out whether their liability car insurance is enough to cover what they might owe other people.

In addition to medical expenses, PIP may cover lost wages if the insured is unable to work due to accident-related injuries. It can also provide coverage for funeral expenses and child care, depending on the policy.