What Personal Injury Protection Insurance Covers

If you have Personal Injury Protection insurance, also known as "PIP" coverage, then at least some of your costs or damages from an accident will be covered regardless of fault. The advantage of PIP is that instead of having to sue the other party (e.g. a driver who hit you), you can simply submit a claim to your own insurer.

When considering what coverage you have, remember that insurance is a contract--the exact coverage you have depends on the terms of your policy. That said, here are the typical damages or losses covered by PIP.

Medical Bills

Probably the main thing covered by PIP are medical costs, including doctor's fees, hospital or ambulance costs, medication, etc. PIP helps make sure you can afford the treatment you need.

Lost Wages

The next most important thing covered by PIP is lost wages: income you do not receive because you were too injured to work. The idea is that you should not be further injured by being unable to provide for yourself or your family.

Assistance

In many states, PIP will also cover assistance with household duties or chores which you cannot do on account of injuries. For example, PIP might cover an aide who cooks and cleans for you.

Funeral Expenses

Some PIP policies also provide death benefits. These are not life insurance--they are not intended (nor are they large enough) to take care of your dependents if you are killed. They will at least pay for funeral and related expenses, so your survivors don't have to go out-of-pocket for these costs.

Only Up to Policy Limits

Just to reiterate a point made above--insurance policies are contracts, and are limited by their terms. A key--perhaps THE key--term will be the policy limits: PIP coverage will only pay up to the stated policy limits.

What PIP Doesn't Cover

PIP does not cover property damage, such as to a car or personal belongings. It also does not cover pain and suffering.

How an Attorney Can Help

Even though you have PIP coverage, there are variety of circumstances in which you can and may wish to sue the other party: for property damage, for example; or pain and suffering; or medical expenses and lost wages exceeding policy limits. If you think you may have any claims like these, you should consult with an attorney.