What is PIP (Personal Injury Protection)?

Personal Injury Protection (PIP) coverage and claims have to do with “no fault” car insurance.  What this means is that if you are injured in an auto, bicycle or pedestrian accident, your auto insurance provides a minimum of one year and $15,000 in no-fault medical coverage.  PIP insurance also provides wage loss coverage.  PIP should help pay your medical expenses if you are struck by a motor vehicle.

A PIP claim is one you make against your own insurer for payment of medical bills and lost earnings.  Your insurer will pay your medical bills and will reimburse you for some or all of your lost earnings up to the amount of your claim or $15,000, whichever is lower.  If your medical bills exceed the $15,000 then you are responsible for paying them.  If you have health insurance then they will pay your medical bills moving forward.  If you have Medicare or Medicaid programs then they will pay your bills.  Without any insurance, you will have to pay out of pocket for your further medical expenses.

It is important to cooperate with your insurer in a PIP claim. PIP laws may require you to give your insurer a recorded statement and will most likely require you to attend a medical examination with a physician selected by the PIP insurer.  The insurance company can terminate your PIP benefits if you do not cooperate.