It is a norm that people ensure that they buy auto insurance for their owned cars and personal insurance for personal injuries. Little do they enquire about the various things covered under this policy. Every driver, in most of the states of the United States, needs to have himself insured. Thus, it makes one mandatory to purchase an insurance policy for them.
Although Bodily Injury Liability and Medical Payment allow you to claim accident injury claim, Personal injury protection (PIP) is the most suitable one. PIP enables the drivers to claim damages not only for him but also for his passengers. So it is more wise to indulge in PIP and get maximum benefits, god forbid one has to claim for his injuries in a car accident.
Mandatory or Otherwise
It is also called as No-fault insurance in some states. It is a mandatory legal requirement. In some states, the agents include PIP in the insurance, as it may be compulsory. Also the amount payable is also fixed by the government. The states like Arkansas, Florida, Hawaii, New York, New Jersey to name a few who have mandatory PIP coverage
PIP insurance limit
This is a sum assured to be paid by the car insurance company in case of accident. An amount ranging from $1500.00 to $250,000.00 depending on the injury and state is paid, varying from state to state. As a matter of fact in Michigan, where PIP is termed as no-fault insurance, pays an unlimited medical as well as rehabilitation benefits.
Tips to Buy
If you are a resident of a state where Personal Insurance Protection is mandatory, then you should fix the amount to the least that you can claim. You should also review the current car insurance that you hold, to know if personal injuries are included. This makes you relax as you won’t need any additional insurance. But if it is otherwise you need to include PIP in your car insurance
If you drive regularly with non-immediate family members and those who are uninsured or underinsured, you may have to purchase a high amount PIP. This will provide you and your passengers with blanket medical coverage within limits. You will need a high amount PIP if you are young and have limited health insurance. That inversely means that if you are middle aged or older, with extensive health coverage, then you won’t require high amounts of PIP
So be wise to choose your Personal Injury Protection plans and get the maximum benefits.