IN PLAIN ENGLISH

Personal injury protection (PIP) covers medical expenses for you and your passengers after an accident.

 

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.

You should consider PIP if:

  • 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. Comprehensive health insurance coverage renders PIP or medical car insurance less necessary. If in doubt, check with your healthcare provider.


What does PIP cover?

Personal injury protection insurance is a “no-fault” coverage. Meaning even if you are determined to be at fault in an auto accident, medical expenses (such as medical and surgical treatment, ambulance fees, and medication) for you and your passengers will be covered up to the policy’s limit. It replaces the standard bodily injury liability portion of your insurance policy. PIP can also be used to recover lost wages and rehabilitation services.

PIP insurance covers:

  • Medical bills
  • Surgical fees
  • Ambulance fees
  • Wost wages
  • Rehabilitation services

 

PIP defined: how much does it cover?

PIP benefits and coverage will vary depending on the state in which you reside. For instance, 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. It's important to be aware of how much PIP insurance you need. Ask an insurance agent or your insurance company for specifics.

If you live in Michigan, however, your PIP limits are actually unlimited. This is one of the main reasons why car insurance is so expensive in Michigan.

StateAvg PIP Premium6-Month Premium
Florida$198$920
Hawaii$51$481
Kansas$33$801
Kentucky$97$1,028
Massachusetts$39$646
Michigan$628$1,503
New Jersey$169$714
North Dakota$45$695
Minnesota$104$643
New York$129$695

 

Personal injury Protection in Kansas (PIP)
  • $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

 

 

What does PIP not cover?

Because PIP offers no coverage for any physical damage to your vehicle, you wouldn’t have any coverage after an at-fault accident.


PIP does not cover:

  • Property damage liability insurance: The damages you cause to other people’s property (including their vehicles)
  • Collision coverage: The damage to your vehicle after an at-fault accident
    Comprehensive coverage: The damage to your vehicle caused after a non-collision related incident
  • Uninsured/underinsured motorist coverage: this coverage can be applied to your property or bodily injury projection. While you can still purchase uninsured property damage coverage (which protects your vehicle if the at-fault party does not insurance or not enough insurance), PIP provides the coverage necessary for uninsured bodily injury coverage.


In which states is PIP insurance required?

Twelve states require some level of personal injury protection (PIP) coverage: Florida, Hawaii, Kansas, Kentucky, Massachusetts, Michigan, Minnesota, New Jersey, New York, North Dakota, Pennsylvania, and Utah.

states requiring no-fault car insurance

 

How much does PIP cost?

The cost of PIP insurance depends on factors such as coverage level, age, type of vehicle, your 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. Start shopping for your own auto insurance with us! We don't collect your phone number so it's impossible for us to spam you.

 

 

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Ava Lynch LinkedIn

Ava worked in the insurance industry as an agent for four-plus years. Currently providing insights and analysis as one of The Zebra’s resident property insurance experts, Ava has been featured in publications such as U.S. News & World Report, GasBuddy, and Yahoo! Finance.

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Recent Questions:

What company will issue me an SR-22 with 2 PIP claims?

I'm unaware of a specific company that will insure you with 2 PIP claims, but if you can't find an insurer, you can look into the Florida Automobile Joint Underwriting Association (FAJUA). They help people get insurance when they have no other options.

If two people are in an accident in a no fault state, who pays?

In Florida, you are required to have what's called personal injury protection (PIP). This coverage kicks in if you are injured in an accident.

Will my insurance decrease after my PIP claims expire?

A Personal Injury Protection (PIP) claim, will impact your rates for up to three years. Unfortunately, in Florida, there have been many fraudulent PIP claims that have caused the cost of insurance to rise, especially when you do have a PIP claim.

If I have an open claim on a totaled car, how do I handle the insurance?

There's a couple of things to think about. First, canceling the coverage on this vehicle will not cancel the claim. As long as the policy was active at the time of the accident (which it sounds like it was), you should be fine. Second, if your car is totaled, you can cancel your insurance if you are not getting another car in the near future.

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