The consequences of an auto accident often result in far more than just a damaged vehicle. Lost wages, medical bills, and other unexpected expenses can add up quickly. The average car insurance policy will only cover so much—until you have to foot the rest of the bill. This is where Personal Injury Protection, also known as PIP coverage comes in.
Herrmann Law Group founder Karl Herrmann created the concept of PIP in 1968, while he was the Washington State Insurance Commissioner. Karl realized that auto insurance often wasn’t enough to cover the medical expenses and lost wages for victims.
Car Accident Costs by the Numbers
According to a report by the National Highway Traffic Safety Administration (NHTSA), the average car crash victim typically pays more than 25 percent of costs after their insurance runs out. This averages out to about $28,000 per person in lost wages, medical, and other expenses that insurance policies don’t cover. In situations where the victim suffers severe medical injuries, the out-of-pocket cost can increase to $100,000 or more.
What is PIP?
Personal Injury Protection is a type of coverage that you can add onto your auto insurance policy. In the event of an auto accident, it will cover loss of wages, service loss, medical expenses and funeral expenses.
PIP will cover you and whomever is in the car with you—regardless of who is at fault in the accident. However, it’s important to note that there are some situations where PIP will not cover you. If you’re involved in an off-road or recreational accident, PIP coverage will likely not apply.
Benefits of Having PIP
When it comes to auto accidents, one of the most frustrating aspects is the length of time that insurance companies take to investigate, pay out settlements, and file lawsuits. PIP helps speed up the process by eliminating the blame assessment requirement. If the incident is covered under the PIP policy, lost income and medical payments will be paid out quickly.
Having PIP coverage also provides peace of mind—especially if you have teenage drivers under your policy. Considering how costly medical expenses are nowadays, the extra few dollars for PIP coverage is well worth it. The amount of PIP coverage offered differs from insurance carrier to insurance carrier, so it’s best to call your insurance company to learn more.
Auto Accident Attorneys in Tacoma & Seattle, WA
The humanitarian values that Karl Herrmann founded our law firm on guide us today in helping our clients seek restitution and justice for the injuries they sustained. If you have any questions that weren’t addressed in this article, or would like to learn more about PIP coverage and how it pertains to your Washington auto accident case, give us a call for a free legal consultation with one of our experienced injury attorneys