PIP is offered. Like medical payments coverage, PIP helps with your medical bills. It also pays for your income loss while you recover from an accident. Keep in mind that states requiring PIP have minimum coverage limits, but those minimums don’t always cover everything you need. You can get over the minimum amount, but, of course, that will mean paying more upfront. The good news about PIP is that policyholders often get paid not only more quickly but also more fairly. Uninsuredmotorist (UM) coverage takes care of what the other driver’s insurance would’ve
WHAT IS A NO-FAULT STATE?
If you live in one of the dozen no-fault states, it means that it doesn’t matter who caused the accident — you file a claimwith your insurance company, which will pay your medical expenses, any lost earnings, and for pain and suffering caused by an accident. It also often means that your right to sue the other driver is limited and can only be done if the situation exceeds a severity of injury threshold. This thresholdmay be descriptive (verbal) or monetary. That said, every no-fault state works in a different way. Some use verbal thresholds, some usemonetary. Some states have choice no-fault law, which means drivers can keep the right to sue by refusing the threshold In add-on states, drivers get the same payment from their insurance company, regardless of fault, just like traditional no-fault states, although that kind of first-party coverage is often an option andmay not be as beneficial as in states where it’s required. Themajor difference is that in add-on states, there are no lawsuit limitations. If your state doesn’t have any lawsuit constraints, you’re in a tort liability state, also known as an at-fault state.
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