In “no-fault” states, PIP car insurance is designed to cover medical expenses and lost wages incurred by a policyholder involved in a car accident, regardless of who was at fault.
How does PIP insurance work?
If you live in a no-fault state, you are required to add PIP coverage to your car insurance policy. In the event of an accident, you would file a claim with your own insurance company, regardless of who caused the accident.
Your PIP coverage will pay for medical expenses like hospital bills, doctor visits, and physical therapy, as well as lost wages if you are unable to work due to injuries sustained in the accident.
Limits and requirements
Each state sets its own limits and requirements for PIP coverage. Some states require a minimum amount of coverage, while others allow drivers to choose their own coverage limits.
PIP insurance will only cover expenses up to the specified limit of your policy. If your medical bills exceed this limit, you may be responsible for paying the remaining costs.
It may not cover certain types of injuries or treatments, such as elective procedures or alternative therapies. Review your policy to understand any exclusions that may apply.