By: Matthew Tievsky
In Maryland, automobile insurers offer a form of insurance called "personal
injury protection," or PIP. You have the option of purchasing PIP
when you obtain your automobile insurance policy, and you have the option
of how much you want to purchase. Put simply, after an auto accident,
PIP automatically pays you money to satisfy your medical bills and lost
wages, up to the amount of coverage that you purchased ahead of time.
PIP gets paid out to you whether or not the auto accident was your fault. This means you get your PIP before you ever sue another driver and win
in court – or even if the accident was your own fault.
Assuming the accident was caused by another driver, PIP has another added
advantage. You can sue the other driver and obtain money for your medical
bills, lost wages, and other losses, and
still keep your PIP. Maryland law is very specific about this. Let's say you are hit by
another driver and incur $2,500 in medical bills. First your PIP will
pay you $2,500 (if you had a PIP policy to begin with). Then you can sue
the other driver and, if all goes well, obtain compensation for both your
medical bills and your pain in suffering. Your recovery in the lawsuit is
not affected by your PIP payments, and after you win your lawsuit, you still keep your
PIP payments. Thus PIP provides an extra layer of coverage for your losses
after an auto accident.
If you have any questions about how a lawsuit will affect your auto insurance,
or vice versa, you should contact a Maryland personal injury attorney
at Chaikin, Sherman, Cammarata & Siegel, P.C.