January 23, 2025 | Personal injury

When an accident occurs and people are injured, insurance plays an important role in ensuring that the injured get the medical treatment they need. Some states require drivers to have Personal Injury Protection Coverage as part of the car insurance coverage. This no-fault insurance coverage is designed to cover medical expenses when you’re injured in a car accident regardless of fault. Below, we take a closer look at PIP, how it works and its benefits.

What is PIP?

PIP (personal injury protection) is a type of auto insurance coverage. It is a no-fault coverage that covers medical expenses and other related costs for you and your passengers in the event of a car accident. Unlike other types of coverage, fault does not have to be established to access benefits. The goal of PIP is to provide those injured in car accidents with quick access to medical care. They don’t have to determine fault in order to access the funds they need.

PIP is not limited to covering medical expenses for only when you’re driving the vehicle. It can also cover medical expenses for other instances e.g. when you’re injured while riding in someone else’s car or while riding your bike.

In Nebraska, PIP is optional and not mandatory. In Nebraska, the party that causes the accident is responsible for paying for all damages including medical fees. Injured parties can therefore make a claim directly against the at-fault party’s insurance policy for damages resulting from the accident. Motorists in Nebraska have the option to include PIP coverage for extra protection.

What Does PIP Cover?

PIP features vary from state to state. In Nebraska, PIP is comprehensive in its coverage. It often goes beyond standard health insurance and overs coverage for:

• Medical expenses – This includes coverage for expenses such as hospital bills, surgery, medication, rehabilitation and even ongoing care such as physical therapy.
• Lost wages – If your injuries from the car accident are severe and prevent you from working, PIP can provide financial assistance by reimbursing a portion of your lost income.
• Funeral expenses – In fatal accidents, PIP provides coverage for funeral and burial costs.
• Substitute or home care services – If the injuries sustained prevent you from performing household tasks such as cleaning, PIP will provide coverage for substitute services such as hiring a cleaning crew or paying for laundry services.

The coverage provided by PIP is subject to the policy’s limits. It is therefore important for policy holders to familiarize themselves with the terms of the policies and understand the limits.

What PIP Doesn’t Cover

While PIP provides comprehensive cover, it has limitations. PIP typically does not cover:

• Property damage – this includes damage to vehicles and other property resulting from the accident. This type of damage ought to be covered by comprehensive or collision auto insurance.
• Non-medical damages – these may include damages such as emotional distress, post-traumatic stress, pain and suffering as well as other non-monetary damages.

Limitations for PIP coverage also vary depending on the policy. For example, some policies may not cover damages for accidents that occur outside the state or that affect pedestrians and cyclists.

Should You Get PIP Coverage – The Benefits

There are many benefits of including PIP coverage. This coverage offers greater protection in the event of an accident even for drivers with health insurance and comprehensive car insurance.

• Get quick access to benefits – because PIP insurance is a no-fault insurance, you don’t have to wait for fault determination to receive coverage. You can access the medical care you need as well as coverage for other expenses quickly.
• Get coverage for a wider range of costs – PIP offers comprehensive coverage. It covers a wide range of expenses from medical expenses to lost wages. This coverage offers better financial protection.
• Enjoy peace of mind – You will experience greater peace of mind when you know that your expenses will be covered regardless of who is at fault.
• Substitute for health insurance – PIP can act as a substitute for health insurance. It will cover medical expenses for you and your passengers even when you or your passengers do not have health insurance coverage.

Cons of PIP

While PIP offers many benefits, there are some cons of taking out this coverage.

• Increased premiums – Adding PIP coverage to your auto insurance policy will mean an increase in your premiums. This can mean a great financial burden and may not be affordable for some.
• Coverage limits – like other policies, PIP policies also have coverage limits. Your policy may not provide coverage for severe injuries or to meet long-term care needs. The restrictions will vary depending on the regulations in your state.

Conclusion

PIP coverage is a valuable component of auto insurance. It will provide you with faster access to the financial support you need after an accident. It is worth considering whether PIP is mandatory in your state or not.

If you’ve been injured in a car accident, don’t hesitate to contact High & Younes Attorneys, LLC. We’d be glad to guide you through the claims process.

What is Personal Injury Protection