The purpose of car insurance is to provide financial coverage to drivers
in the event that the policyholder is involved in a
collision. However, auto insurance is not a cover-all solution for every accident
situation. There are a wide variety of different policy options that are
available, which offer different forms of coverage to drivers. Some of
these types of coverage are required by law in some states, while others
are offered as a choice for drivers who are interested in added benefits.
Two of these types of coverage are
uninsured motorist insurance (UMI) and personal injury protection (PIP).
Personal Injury Protection
Following a car accident, benefits are paid to victims depending on state
laws about fault. Some states are “at fault” states, and require
proof of liability so the responsible party can pay for the victim’s
expenses, while other states follow “no fault” laws. In no
fault states, every person is responsible for paying their own expenses
(through insurance), so proving liability is not necessary.
In at fault states, a personal injury protection plan is a good “safety
net” in the event that you are found to be responsible for your
own injuries. With this policy, you can be sure that your own expenses
will be covered, even if you are liable for the other driver’s injuries.
Uninsured Motorist Insurance
Uninsured motorist insurance covers the medical expenses of people who
are injured in a car accident that was caused by a driver with little
or no auto insurance. This type of coverage is meant to provide supplementary
benefits if the insurance policy of the at-fault driver does not cover
the victim’s expenses. It is also useful in cases of hit and run
accidents, in which there is no party to attribute liability to.
In comparison to a PIP policy, uninsured motorist coverage is reserved
for these kind of “absentee” situations. Conversely, personal
injury protection plans are more all-encompassing and can help a policyholder
in most instances in which coverage is needed.
If you were injured in an auto accident, schedule a free consultation with
Gruenberg Kelly Della to discuss your case.
Send us a message or reach out via phone at 888.305.6372.