When people talk about car insurance, they often think about liability coverage. If someone causes a crash in Florida, they should have property damage liability coverage. That special insurance can help pay to repair the vehicle of the other party involved in the collision.
However, crashes don’t just damage vehicles and other assets. They can also injure vehicle occupants, cyclists and pedestrians. Those with injuries caused by a collision likely need a different type of insurance coverage. They may use personal injury protection (PIP) coverage to pay for injury-related expenses.
What exactly is PIP coverage concerning Florida car insurance policies?
PIP coverage is no-fault medical protection
Liability coverage leaves those involved in a crash dependent on the insurance carried by someone else. PIP coverage, on the other hand, protects the policyholder and the people in their vehicle. It is a type of no-fault coverage, which means it will pay for medical care regardless of who caused the crash. The law in Florida requires that every car insurance policy include at least $10,000 of PIP coverage. If a driver or anyone in their vehicle gets hurt in a crash, they can use their PIP coverage to pay for up to 80% of the medical expenses generated.
What if the injuries cost more than PIP pays?
The average car crash injury may only trigger a few thousand dollars in care costs. People may need to have a bone set or receive a few stitches to close up a wound. Other times, people may require surgery or a long stay in the hospital. That can very easily cost more than $10,000.
In that situation, those with injuries have to look at the circumstances carefully. If the other driver was at fault for the crash, they may be able to use liability insurance. Drivers typically need to carry property damage liability coverage, but they can choose to add bodily injury liability coverage to their policies as well.
If that coverage is available, then injured people can file a claim against the insurance policy of the other motorist to cover medical expenses and sometimes even lost wages. If the other driver does not have bodily injury liability coverage or if that combined with PIP coverage is insufficient, then it may be necessary to contemplate filing a personal injury lawsuit.
Understanding the types of insurance available after a crash can help people optimize how much of their losses they can cover before it may become necessary to take legal action against an at-fault party.