What does personal injury protection cover?

PIP is intended to cover any injuries you sustain in a crash, regardless of who is at fault, and it also includes other benefits. PIP may help pay for the following, depending on your state:

• Medical bills and expenses that arise from a car crash.
• Lost wages if you are unable to work due to an accident-related injury.
• Services you can no longer perform because of an accident, such as house cleaning or child care.
• Funeral costs if an injury sustained from an accident leads to death.
• A small death benefit paid out in cash.

Your PIP policy may include an insurance deductible, which is an amount you must pay toward the cost of a claim. Your deductible is usually deducted from your payout by your insurance company.

PIP typically covers the policyholder and family members in the household, passengers in the vehicle, and others who have permission to drive the car. Your PIP may also cover you if you are injured while riding in someone else's car, or if you are injured as a pedestrian or cyclist by a vehicle.

How PIP relates to no-fault insurance

Personal injury protection is also known as "no-fault insurance." The name alludes to states that have "no-fault" laws, such as Florida, Michigan, and New York. These laws make it illegal for injured drivers to sue at-fault drivers following an accident unless their injuries are severe or their medical expenses exceed their state's minimum requirement to sue.

PIP coverage is required by law in "no-fault" states for all drivers.

Personal injury protection by state

PIP is available in 17 states and Washington, D.C. PIP is required in twelve states, and it is available as an optional add-on to your policy in a few others.

Personal injury protection is required in 12 states

Drivers in 12 states are required to purchase a certain amount of PIP, which varies by state. Use the table below to determine which states require personal injury protection and what the bare minimum is.

PIP is optional or can be waived in 5 states, plus Washington, D.C.

Personal injury protection is available as an optional add-on in five states, plus Washington, D.C., or drivers can waive it in writing. See the table below for information on how these states handle PIP coverage.

Is personal injury protection the same as MedPay?

While medical payments coverage, also known as MedPay, pays for medical expenses incurred as a result of a car accident regardless of fault, it does not provide the additional financial benefits that PIP does, such as covering lost wages, funeral costs, child care, or housecleaning costs.

MedPay is also an optional coverage. In some states, such as Florida and Massachusetts, insurers can provide both PIP and MedPay.

How does PIP relate to liability insurance?

If you are injured in an accident, personal injury protection will pay for your medical care regardless of who is at fault. When you are at fault in an accident, liability car insurance pays for any injuries or property damage you cause to others. Liability insurance does not cover your injuries or property damage. PIP is required in a few states, but auto liability insurance is required in the vast majority of them.

PIP is a type of auto insurance coverage, whereas liability insurance can be found on many different types of insurance policies, such as auto, homeowners, renters, and condo insurance.