How PIP (Personal Injury Protection) Works in a Boston Auto Accident

Even minor car accidents can be expensive. Just one night in a hospital can cost thousands of dollars. The cost of any surgery is likely to be tens of thousands of dollars. Many injuries prevent victims from earning a living. Without a paycheck, there’s no income to pay your bills. Even if you’re eligible to file a liability claim, it can take months or longer before there’s a settlement or a jury trial.

However, PIP coverage is required for all auto insurance policies for drivers in Boston and throughout Massachusetts. PIP insurance provides money for medical expenses, certain out of pocket expenses, and up to 75% of lost wages, up to the policy coverage amount which is a limit of $8,000. There’s no need to prove fault as long as you’re only looking to use PIP coverage.

What types of insurance must drivers have in Massachusetts?

Car owners must buy liability insurance to register their car.  The minimum car accident insurance requirements in Massachusetts are:

• Bodily injury to others. This insurance protects the owner of the car and any drivers of the car (if they have permission from the owner). Bodily injury insurance must cover at least $25,000 for one accident victim and $50,000 for more than one accident victim (in one accident). This amount pays anyone who is hurt due to the negligence of the driver.
• Personal injury protection (PIP). This coverage covers (regardless of fault) the driver’s medical costs and up to 75% of lost wages and replacement services – up to a limit of $8,000.
• Uninsured coverage. Car owners must buy uninsured driver coverage up to $25,000 per person and $50,000 for multiple persons (in one accident). UM covers the driver, passengers, and household members (who don’t have a similar Massachusetts policy) if a negligent driver causes them injuries and does not have insurance. These policies may also kick-in if you’re injured by a hit-and-run driver.
• Property damage to another person’s car. This coverage is for the damage to another person’s car if you (or anyone you allow to drive your car) is responsible for the damage. Damage includes the cost to fix a car or to replace a car if the damage can’t be fixed or if the other person’s car is totaled. The minimum property damage coverage is $30,000.

Car owners can buy as much coverage as they can afford (and the insurance company is willing to provide) for bodily injury coverage, uninsured coverage, and property damage coverage. Generally, the maximum amount of PIP coverage is $8,000.

When can I use my PIP insurance?

Generally, you (or someone that your PIP policy covers) can use your PIP policy as soon as there is any type of car accident, without the need to prove fault. You normally do not need to file a lawsuit. If you have questions, our Boston car accident lawyers can discuss your options.

Generally, your PIP automobile coverage is “considered Primary for the first $2,000 of claims.” After that, health insurance might apply. If relevant, you might need to file a claim against a negligent driver to recover the additional costs related to the accident.

Does PIP insurance affect my right to file a claim against a negligent driver?

In many cases, no. You can use your PIP benefits and still file a claim against everyone responsible for your car accident. In Massachusetts, claims for non-economic damages like pain and suffering require either $2,000 plus in reasonable medical expenses or a qualifying serious injury.

In qualifying cases, our Boston car accident lawyers demand that careless drivers and anyone else responsible for your injuries pay for all your current and future damages. These damages include:

• All your medical bills of every type by every medical provider
• Lost income, including wages, business income, benefits, and long-term disability compensation.
• All your daily physical pain and emotional suffering
• The full damage to your vehicle
• Any scarring and disfigurement
• The loss of bodily function
• The inability to enjoy life’s pleasures
• Loss of consortium (the enjoyment and comfort of your spouse).

If a close family member dies, we may file a wrongful death claim. The PIP benefits can be used to pay any outstanding medical bills and any funeral and burial costs up to $8,000. Wrongful death damages include the funeral and burial costs, the loss of financial support your family member would have provided, and the loss of personal support (love, comfort, society, and guidance) your family member would have provided.

Who can use PIP insurance besides an injured driver?

A car owner’s PIP Insurance covers the following people:

• The driver of the car – the owner of the car or anyone the owner allows to drive their car
• Anyone living in your household
• Any passengers in your car
• Any pedestrians
• Bicycle riders

The covered person does not have to prove someone else was at fault.

What additional coverages can car owners buy?

According to the Commonwealth of Massachusetts, additional insurance coverages include:

• Additional bodily injury coverage. This covers anyone hurt in an accident that you cause, including passengers traveling in your car. This also applies if you’re in an accident outside of Massachusetts.
• Umbrella insurance. This insurance covers any excess claims over and above the bodily insurance coverage.
• Underinsured coverage. This coverage protects you and passengers if the person who causes your accident has insurance but doesn’t have enough insurance coverage up to the policy limits.
• Comprehensive and collision coverage. Collision coverage pays for any damage to your car, regardless of fault. Comprehensive coverage pays for damage due to non-collision causes, such as fire, theft, vandalism, falling objects, or contact with a bird or animal.
• Other coverages. These include rental cars, towing costs, roadside help, and gap insurance.

Our Boston car accident lawyers can explain what insurance conditions and exceptions may apply.

Contact Santoro & Gray’s Boston office to learn more about PIP insurance and all your vehicle accident insurance coverage.