Definition of Personal Injury Protection

Personal injury protection coverage is required in some states.

There are a range of coverages available for purchase in the auto insurance market. One such coverage is PIP--personal injury protection--which differs from medical payments (med pay) or bodily injury coverage types.

Coverage

PIP covers expenses related to a vehicle accident including medical bills, funeral expenses and possibly lost wages.

Purpose

The purpose of PIP is to cover anyone injured in the insured's vehicle regardless of whether the insured is at fault.

Who's Covered

The insured, authorized drivers and pedestrians struck by the vehicle are covered under PIP. The insured and his family members are also eligible for PIP coverage if injured while riding in someone else's vehicle or if struck as a pedestrian by another vehicle.

Different Types

There are different types of PIP coverage: Full PIP Primary and Medical Only Primary are for those that don't have a primary health insurance policy. Full Health PIP Primary and Medical Only Health Primary coverage are for those that have a primary health insurance policy.

Who Should Purchase PIP

Those without a primary health insurance carrier, those who travel with passengers in their vehicle or those who carpool should consider purchasing PIP. Some health-insurance policies will not cover medical expenses incurred as a result of an auto accident. In some states, especially no-fault states, PIP is a requirement.

References

• InvestorWords: Personal Injury Protection
• CarInsurance: Personal Injury Protection