What is PIP Insurance?
Personal Injury Protection (PIP) coverage is the portion of a car insurance policy that provides medical expenses and work loss coverage for you and your passengers after a car accident, regardless of fault. PIP coverage is often a requirement in "No-Fault" states, as it covers your injuries, no matter who caused the accident.

- State law requires it.
- You commonly drive with passengers in your vehicle who could hold you responsible for their medical expenses if they were injured in an accident.
- You don’t have a great health insurance plan. A robust health insurance plan makes high PIP limits less necessary. If in doubt, check with your healthcare provider.
What does PIP cover?
Personal injury protection insurance is a “no-fault” coverage that covers the cost of injuries to you and your passengers. PIP is intended to reduce the likelihood of lawsuits after a collision. Even if you are at fault in an auto accident, medical expenses — medical and surgical treatment, ambulance fees and medication — for you and your passengers will be covered up to the policy’s limit.
Personal injury protection coverage replaces the standard bodily injury liability portion of an insurance policy. PIP can also be used to recover lost wages, rehabilitation services and more.
PIP insurance covers:
- Medical bills
- Surgical fees
- Ambulance fees
- Lost wages
- Rehabilitation services
- Funeral expenses
- Death benefit
- Essential services (lawn care, etc...)

PIP coverage limits
PIP benefits and coverage vary depending on the location of the insurance policy. In Florida, PIP insurance will typically cover 80% of medical bills and 60% of lost wages, up to $10,000. In other states, PIP coverage levels can be much higher or much lower.
Drivers in Michigan, however, have much higher PIP limits. This is one of the main reasons car insurance is expensive in Michigan.
Average PIP insurance costs
The cost of PIP insurance depends on factors such as coverage level, age, type of vehicle, your auto insurance company, and location. The data below is reflective of a 30-year-old male driver with no accident, good credit, and the owner of a 2016 Honda Civic.
State | Avg. Annual Premium | Avg. PIP Premium |
---|---|---|
Delaware | $2,117 | $232 |
Florida | $2,923 | $400 |
Hawaii | $1,409 | $89 |
Kansas | $1,791 | $54 |
Kentucky | $2,567 | $175 |
Massachusetts | $1,418 | $55 |
Michigan | $2,176 | $428 |
Minnesota | $1,707 | $200 |
New Jersey | $2,043 | $336 |
New York | $2,171 | $236 |
North Dakota | $1,555 | $97 |
Oregon | $1,509 | $124 |
Pennsylvania | $1,777 | $78 |
Utah | $1,617 | $54 |
What PIP doesn't cover
Because PIP does not provide coverage for physical damage to the insured driver's vehicle, it does not provide coverage after an at-fault accident.
Find below a list of other exclusions.
PIP does not cover:
- Property damage liability insurance: Damages the insured causes to another person's property (including vehicle damages).
- Collision coverage: The damage to the insured's vehicle in an at-fault accident.
Comprehensive coverage: The damage to the insured's vehicle caused in a non-collision incident. - Uninsured/underinsured motorist coverage: This coverage can be applied to property or bodily injury protection. While it's possible to purchase uninsured property damage coverage to protect a vehicle if the at-fault party does not have insurance, PIP provides the coverage necessary for uninsured bodily injury coverage.
- Expenses beyond the policy's coverage limits.
What is a no-fault state?
When accidents occur in a no-fault state, both parties file claims with their individual insurance providers regardless of who is at fault in the accident. No-fault and personal injury protection states go hand in hand— PIP is the coverage that pays for you and your passengers medical expenses and loss of income following an accident, and is a section of auto insurance found in no-fault states.
A handful of states are considered no-fault and require PIP insurance; Kentucky, New Jersey and Pennsylvania are “choice no-fault,” meaning drivers can choose whether they are held to the no-fault system. While 21 states offer some level of personal injury protection (PIP) coverage, only 13 states require it:
- Delaware
- Florida
- Hawaii
- Kansas
- Massachusetts
- Michigan
- Minnesota
- New Jersey
- New York
- North Dakota
- Oregon
- Pennsylvania
- Utah
PIP requirements by state
Find below the required amounts of PIP coverage in various U.S. states.

Limit: $15,000 per person
Delaware PIP insurance will cover up to $15,000 for any single person's injuries and will pay a total of $30,000 per accident. This coverage also includes up to $5,000 for funeral expenses.

Limit: $10,000 per person
PIP coverage in Florida covers 80% of your medical and disability expenses up to $10,000. It will also pay up to $5,000 in death benefits in certain circumstances.

Limit: varies
PIP coverage in Kansas covers the following:
- $4,500 medical expense per person
- $900 per month income loss for one year
- $25 per day at-home services
- $4,500 rehabilitation expense per person
- $2,000 funeral expense per person

Limit: $8,000 per person/per accident
Massachusetts personal injury protection is the primary payer for the first $2,000 in medical expenses. Afterward, the driver's personal healthcare coverage kicks in with PIP coverage acting as the secondary payer.

Limit: varies
Michigan recently enacted laws changing their PIP requirements in an effort to bring down car insurance rates. PIP coverage is still required (in almost all cases), but is now available in the following amounts:
- Unlimited PIP coverage
- $500,000
- $250,000
- $50,000 (lowest option available for Medicaid recipients)
- Opt-out (only drivers with a qualifying health insurance plan that covers car accident injuries)

Limits: $40,000 per person/per accident
Minnesota personal injury coverage limits are higher than in most states. The $40,000 limit breaks down as such:
- $20,000 for hospital/medical expenses
- $20,000 for non-medical expenses

Limit: $15,000 PIP coverage per person
New Jersey personal injury protection covers up to $15,000 in medical expenses per accident. Further add-ons to PIP coverage include:
- Income continuation
- Essential services (house cleaning, lawn care, etc...)
- Death benefit
- Funeral expenses

Limit: $50,000 per person
New York PIP coverage also includes a $2,000 death benefit in addition to the $50,000 in coverage for medical expenses.

Limit: $30,000 per person
In addition to medical expenses, North Dakota personal injury protection also covers lost wages and funeral expenses.

Limit: $15,000 per person
Additionally, Oregon PIP insurance covers loss of wages up to $3,000 per month, essential services, childcare, and a death benefit of up to $5,000.

Limits: $5,000 per person
Those injured may sue the at-fault driver, but the injuries suffered must be severe.

Limit: $3,000
Those injured may sue the at-fault driver in cases of severe injury or if medical expenses are in excess of $3,000. Further benefits include:
- Lost wages coverage (Up to 85% or $250/week)
- Essential services
- $1,500 for funeral expenses
- $3,000 death benefit
States where PIP coverage is optional
The following states offer personal injury protection, but it is not required of all drivers. This coverage must often be waived in writing.
Find the PIP insurance you need quickly and easily!
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- What is the NAIC?
- Subrogation in Insurance: What to Know
- Umbrella Insurance
- What is Standard vs. Non-Standard Insurance?
- Car Insurance Renewals
- What is Permissive Use Car Insurance?
About The Zebra
The Zebra is not an insurance company. We publish data-backed, expert-reviewed resources to help consumers make more informed insurance decisions.
- The Zebra’s insurance content is written and reviewed for accuracy by licensed insurance agents.
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