What is Personal Injury Protection (PIP) and why should you purchase it.

PIP stands for Personal Injury Protection

This coverage is regulated in the Texas Insurance Code, Sections 1952.151 thru 1952.161.

Section 1952.153 requires that the minimum for PIP coverage be $2500. There is not a maximum required by law. A maximum is left to the discretion of the insurance company. In Texas PIP coverage is mandatory unless the named insured rejects the coverage in writing.

PIP provides coverage to policyholders, members of the policyholder’s household, authorized drivers and passengers.

PIP Coverage includes:

Medical Expenses – These may include medical and surgical treatment; dental and optometric treatment; ambulance and nursing services; necessary medications, medical supplies, and prosthetic devices.

Lost Wages – If you or your passengers are unable to work due to accident-related injuries, PIP helps you recover your lost wages.
Substitute Services – Should you or your regular passengers need help performing household or other tasks due to accident-related injuries, PIP also helps pay for such substitute services.

Funeral Expenses – If a covered individual dies from accident-related injuries, PIP helps pay for related funeral expense.

Why should you purchase PIP?

People who don’t have health insurance that would adequately cover the expenses listed above. People who carpool or frequently drive with passengers. PIP benefits are payable without regard to the fault of a person seeking coverage. PIP is payable without regards to whether or not there is other insurance to cover the loss. In other words, it allows you for a “double recovery”.

If I use my PIP coverage does it affect my premiums?

Filing your first claim from an at-fault accident no longer guarantees that your rate will go up. Some insurers offer an “accident forgiveness” benefit, for which they’ll go easy on your first claim. Ask your insurer whether it offers such a service and whether you qualify. Also, filing under your Personal Injury Protection or other no-fault provisions of your policy will not increase your premiums, contrary to popular belief. If you’re a good driver with a clean record, you’ll pay less for car insurance than others. This can make a considerable difference. If you’re a “high-risk” driver laden with tickets and/or accidents, you can expect to pay at least 15% more than a good driver on average. If your policy costs you $1,500, that’s an extra $225 per year. Having a good credit score can also help your chances of getting a good deal.

If you were injured in a car accident or have any questions concerning your accident, contact our Dallas personal injury lawyers. At the Law Offices of Robert Alvarez Law, our goal is to protect you and your loved ones before the incident and protect your rights after the incident. For more information, call our office at 469-466-2555 to schedule a free case evaluation.

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