Personal Injury Protection Vs Medical Insurance
Posted February 12th, 2021 by Anthony Carbone.
The aftermath of an accident can be so overwhelming and debilitating that you may lack the energy to consider which insurance cover to turn to. Should you turn to your insurer or work with a Jersey City Personal Injury Attorney to prove the other party was at fault? In this post, we review the difference between personal injury protection vs medical insurance.
Personal Injury Protection (PIP)
Drivers in no-fault states are required to carry personal injury protection (PIP) insurance covers. PIP is a type of auto insurance policy that pays for the driver’s own medical treatment when they get into an accident. Unlike auto liability insurance, PIP benefits are awarded regardless of who was at fault for the accident. It pays for the following expenses related to the crash:
- Medical costs, such as ambulance costs, diagnostic tests, treatment, hospital stays
- Aftercare services
- Lost income
- Childcare and household expenses
- Survivor’s loss
- Funeral expenses
It is vital to note that PIP does not cover the pain and suffering caused by the accident, although you can sue the other driver for these losses if your injuries reach a certain threshold. If you live in a fault state, PIP will also not cover the other party’s losses.
PIP Vs. Health Insurance
Health insurance and PIP coverage are always compared for their benefits and potential blind spots. In most cases, PIP comes out on top because it covers lost income, which health insurance does not. Most PIP plans also don’t carry a deductible, unlike health insurance where you may need to pay for some expenses out of pocket before your coverage kicks in.
If a member of your household was present in the vehicle during the accident, your PIP policy might also cover their medical expenses as long as they qualify for resident relative status. Health insurance only offers this option if the person in the vehicle is mentioned in your coverage.
Generally, it is also easier to benefit from your PIP policy than it is with health insurance since it does not include delayed payouts. All you need is an active policy and a PIP claim number, which your doctor will use to bill your medical expenses.
Which Is Better?
Typically, you will begin your claims process by filing a claim with your PIP insurance provider. Your coverage will pay for your medical expenses and lost income at a certain percentage until those benefits are exhausted then your health insurance will kick in.
PIP is designed to protect you from the downsides of health insurance such as delayed policy payouts. You can receive medical treatment immediately after your accident, and all you need to do is provide your doctor with your PIP claim number.
Additionally, PIP coverage does not require you to establish liability, unless you wish to pursue general compensatory damages, such as emotional distress.
Talk to a Jersey City Personal Injury Attorney
The best person to answer any questions you may have on personal injury protection vs medical insurance is an attorney who is experienced in your state’s laws. If you have been injured in New Jersey or would like to talk to an attorney, contact Anthony Carbone, an expert Jersey City Personal Injury Attorney, at 201-733-2230 to set up a free consultation.