Do I Need PIP, Personal Injury Protection, or Not?

Personal injury protection, or PIP, provides coverage for you and your passengers in the event of an auto accident, regardless of who is at fault. The protection is controversial among some drivers - especially considering that many states, such as Texas, mandate PIP coverage as a part of state minimum auto insurance. Other states do not mandate PIP coverage, but instead require you to notify your insurance company in writing of your waiver of PIP coverage on your policy. If you have a choice between obtaining or denying PIP coverage, you should base much of your decision in your driving habits and your current health insurance coverage.

Most health insurance policies will provide benefits for you and other family members on your policy if you suffer injuries in an auto accident. Though you may have to pay a deductible, your health insurance should provide benefits for your medical expenses. However, if you have minimal coverage or no health insurance at all, PIP could ensure you aren't left with a mound of medical bills that could force you to file for bankruptcy following an accident. Even if you and you passenger's have adequate health coverage through a health insurance policy, the extra money from PIP can help you pay for your lost wages and payment for services for the upkeep of your home should you become incapable of doing so yourself.

If you frequently drive with other passengers, such as in a carpool for work or your child's school, PIP coverage will help ensure that other passengers receive adequate health coverage and recompense for any time off work due to an accident. If, however, you drive mostly alone or with other immediate family members on your health insurance policy, PIP may not be financially advantageous for you.

If you decide that PIP would be beneficial for you or if your state requires PIP coverage, rest assured that the coverage is affordable. Personal injury protection usually costs just a few dollars a month for between $10,000 and $30,000 worth of coverage.