PIP stands for personal injury protection. It is a type of insurance that is designed to cover medical expenses and work loss after a vehicle accident. It is often called “no-fault” insurance because it is required in every state that maintains “no-fault” accident laws. Personal injury protection typically covers the driver, passengers in the vehicle, pedestrians, and more.
Benefits of PIP
Utah is one of the states that requires drivers to obtain personal injury protection insurance. There are many benefits to using PIP coverage, whether your state requires it or not. Regardless of fault, personal injury protection insurance will cover medical expenses incurred after a car accident. It will also cover wage loss due to an inability to work. Some situations may allow for compensation of hired services, if you are unable to accomplish certain tasks on your own.
The extent of coverage varies from state to state. PIP is not a replacement for health insurance. It is an extension of vehicle insurance. Some states have laws that allow PIP coverage to work in conjunction with basic health insurance. Depending on the laws of your state, if your medical bill exceeds the monetary threshold of your PIP plan, you may be able to use your health insurance to cover the remaining balance.
The monetary threshold is the amount of money that PIP will cover. This will create limitations on if or when you may sue an at-fault driver. For this reason, it is important to familiarize yourself with your state’s insurance laws and your personal insurance plan.
PIP can help reduce many problems in the insurance process. It will allow you to receive immediate medical attention after an accident, before fault has even been determined. PIP coverage can help stop a car accident from de-railing your life.