Personal Injury Protection
Personal injury protection, also abbreviated as PIP, is usually included in most vehicle insurance-policies. It basically covers different types of expenses which are incurred in case of a road traffic accident, regardless-of whose fault it was. PIP insurance can be described as a “no fault” protection plan which a driver may at times be required to buy to complement compulsory-insurance coverage. PIP benefits normally cater for bills which are incurred as a result of a car accident where the PIP coverage was paid-for by one or more-of the parties involved. PIP insurance will pay benefits to a certain amount which is predetermined by both the policy and premium amount which was paid by the party insured. While the monetary-amount may be limited, value of PIP insurance-coverage is immeasurable.
PIP is designed to cover medical expenses of the party involved in a vehicle accident. It works-on the basis that this policy will pay for medical costs incurred by the policyholder. Unlike the vehicle insurance for costs of car damage, a PIP policy doesn’t pay costs of anyone else other than the policy-holder. PIP value is a specific set amount of the insurance coverage which can be used-to pay for the medical expenses and the personal bills which result from a car accident which is covered by PIP insurance.
PIP insurance coverage helps the injured get back-on their feet, and helps the medical community get paid for services rendered to accident victims & patients of PIP-covered injuries. The value-of PIP insurance is stated as an amount which can be used-to instantly pay for the expenses that are related to the vehicle accident. In most cases, this insurance coverage will protect the policyholder against high costs of medical treatment/services which result from a vehicle accident. The PIP-coverage is usually paid out, up-to the maximum, & the remainder goes back to regular coverage of vehicle insurance’s health portion-of the coverage. Having a high value PIP policy ensures that the medical and the personal bills that are related to an accident will get paid instantly. This will not only protect the policyholder, but in-the-end it will also protect the medical-profession from treating the patients who may not be able to pay-for their care.
PIP typically works on a no fault basis meaning that the person with the PIP insurance will immediately be covered for his/her injuries. The coverage doesn’t rely on other parties involved in the car accident being covered. The other party involved in the accident doesn’t have to be proven-at fault, and there’s no requirement/necessity for the policyholder to be proven innocent in the accident.
The PIP value however, has a limit. At times the medical expenses may go way beyond what the PIP can pay for. It’s not only important for one to have a PIP coverage whenever needed, but it may also be a benefit which the remainder-of the car insurance will not cater for. Since most car insurance policies normally predetermine what will be paid for, an extra PIP-benefit may save one from having to cater/pay for the medical expenses and the bills which aren’t covered by one’s health portion of vehicle insurance policy.