What Exactly Is PIP And Is It Required In New York?
PIP stands for Personal Injury Protection, and in New York, every driver is required to have it. The purpose of this is to ensure that there is medical coverage available for injured parties in a car accident, regardless of who is at fault. New York requires drivers to have at least fifty thousand dollars’ worth of PIP. This insurance can cover a variety of expenses, such as ambulance transport, emergency room care, x-rays, doctor follow-ups, physical therapy, orthopedic care, surgery, dental care, and more. It can even cover psychological therapy if the accident resulted in trauma.
If I’ve Been Involved In An Accident With Someone Who Has Little To No Insurance, Do I Have Any Chance Of Financial Recovery?
The minimal requirement for PIP coverage in New York is fifty thousand dollars. Although this amount meets the state requirement, it will not always be enough to cover all expenses associated with the accident. The PIP coverage will be applied towards all medical expenses but will be used towards your economic losses, such as time missed from work. If the injuries are extensive enough to require surgery, the bills will quickly add up, and the time missed from work may increase. It is very likely that fifty thousand dollars will not be nearly enough to cover all of the bills and economic loss. Therefore, I always recommend drivers obtain an insurance policy that covers more than the minimum requirement. Additional coverage is called OBEL (Optional Basic Economic Loss), and really doesn’t cost very much money. Sometimes it can cost as little as an additional thirty dollars a month, and if you ever find yourself in a situation where you need it, it would be money very well spent.
In a situation where the other driver is at fault and has low or no insurance, your own insurance would apply uninsured motorist coverage, which in New York, is $25,000. However, if the injuries are extensive, that amount would not be enough to cover all your expenses, which is why it is always a smart and responsible idea to have as much coverage as possible. It is imperative to get enough insurance coverage as soon as you obtain insurance because once an accident occurs, you are stuck with the coverages you have at that moment. There is always the option of suing the at-fault driver, but if they do not have any assets or savings, it would be extremely difficult for you to recover monetary damages, even if the judgement is in your favor.