Personal Injury Protection (PIP), also known as “no-fault” insurance, is a key component of a New Jersey Personal Auto Insurance Policy. PIP provides coverage for medical expenses, lost wages, essential services, and funeral expenses if you or a family member are hurt in a car accident. You are also covered as a passenger in someone else’s car, or as a pedestrian or cyclist. However, you are not covered by PIP if your car is in use for a ride-sharing service, or if you are operating your vehicle while intoxicated or under the influence of controlled substances.
PIP Coverage/ No-Fault Insurance in New Jersey
Under the no-fault car insurance system in New Jersey, your own car insurance is responsible for covering expenses for your medical treatment and various other out-of-pocket expenses, regardless of who is at fault in the accident. In New Jersey, the minimum requirement of PIP coverage is $15,000, but it can go up to $250,000. The standard deductible is $750, but it may be increased or decreased to reduce your premium or your retention.
Wage Replacement & Essential Services
You may also choose to purchase “Additional” or “Extra” PIP Options, which can provide weekly income continuation, re-imbursement for essential services, funeral expense benefits, and death benefits. If you become injured in an accident and cannot work due to accident-related injuries, an Additional PIP option can help you replace some or all of your lost wages. It can also re-imburse you for services you might normally do yourself, such as laundry, lawn maintenance or cleaning your home. Additional PIP options with specific weekly and annual benefit amounts can be elected when choosing your NJ Personal Auto Policy.
Eligibility For Benefits
In order to receive benefits, the claimant must be able to prove legal causation, such as permanent or bodily injury. Medical expenses paid for by PIP must be deemed “medically necessary,” not just convenient for the injured party.
How to File a PIP Claim
Once you are safe and have received immediate treatment, it is important to notify your insurance company as soon as possible following the accident. You will need to file a PIP application to notify them of your injuries, the time and date of your accident, and the medical care you've already received. If needed, an experienced New Jersey auto accident lawyer can assist in the process of proving your eligibility and extent of your losses, so you may be compensated appropriately.
At Danskin Insurance Agency, we understand you and where you drive. We know everyone’s auto coverage needs are different, at Danskin we have the experience to help you get the best coverage for you and your family. Get your Danskin quote right now – it’s fast, easy and free!