MARYLAND PIP
(Maryland Personal Injury Protection)
Information on Maryland PIP coverage for persons involved in an automobile collision in the Maryland.
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MARYLAND PIP(Maryland Personal Injury Protection)Information on Maryland PIP coverage for persons involved in an automobile collision in the Maryland.
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Maryland PIP Overview Maryland PIP is the short name for Maryland Personal Injury Protection. It is insurance coverage that the insured purchases with an automobile insurance policy in the State of Maryland. PIP is only one of the many forms of coverage that are included with a policy of automobile insurance. PIP is used to pay medical bills and lost wages that accrue to individuals who are injured in a car accident. Benefits for medical bills and lost wages are available even if these bills or wages are paid by another source such as the other driver or your employer. This coverage extends only to those individuals who were in the vehicle that the PIP policy covers. PIP coverage is available to everyone in the vehicle at the time of the collision regardless of whose fault the accident was. There are exceptions to this statement and they are discussed in the section on availability and limits. Maryland PIP, for a Maryland resident will apply even if the accident occurs outside the State of Maryland. Maryland PIP is limited to the amount of coverage the policy carries. Generally the minimum is $2,500 per individual. This means that an individual making a Maryland PIP claim may recover up to $2,500 by submitting medical bills and/or a lost wage claim to the PIP insurance carrier. Of course, more may be recovered if the bills and/or wages exceed $2,500 and the policy of PIP insurance has a higher coverage amount. In addition, Maryland PIP only pays 85% of lost wages. Policies in Maryland are usually written in three amounts: $2,500, $5,000 and $10,000. Though Maryland PIP automatically starts as a part of every automobile policy in the State of Maryland, it can be waived by signing a waiver. PIP is a relatively inexpensive component of a policy and therefore any waiver should be carefully considered. Some people do waive PIP coverage because they reason that they have health insurance to pay for their bills. This is not a advisable reason to waive PIP because in addition to paying for your medical bills, PIP pays for lost wages as a result of your injury. Health insurance does not pay lost wages. Additionally PIP coverage pays for passenger medical costs, your health insurance will not pay your passengers medical costs. Won't the at fault driver pay for my medical bills? Yes, if you are not at fault, but PIP will also pay for your medical bills on top of whatever the at fault party's insurance company pays. This is a classic double recovery and is permitted under Maryland Law. PIP coverage can be denied if claims are not properly and timely filed with your insurance company. It is important to contact your insurance company after an accident has occurred and request that they send to you the PIP forms.
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