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Some Basics to Understand About Car Insurance Personal Injury Protection Benefits In New Jersey

January 5, 2023 John J. Scura III


In New Jersey, Personal injury protection (PIP) benefits are a critical part of car insurance with respect to medical treatment. PIP coverage, also known as no-fault coverage, helps to pay for medical costs and treatment and other critical costs, such as income continuation benefits, incurred because of a car accident, regardless of which driver or person was at fault. After an accident it is critical that you set up a PIP claim immediately with your car insurance company. Medical treatment is governed by the PIP fee schedules and a medical provider accepting PIP cannot charge more than the fee scheduled amounts.

In New Jersey, PIP insurance coverage is mandatory, and all drivers are required to have it. The minimum amount of PIP coverage required is $15,000. Car owners, however, may have higher levels of insurance under their PIP option. Our law firm always recommends taking out the maximum PIP coverage possible. $15,000 is far too low to cover the injuries incurred in most accidents. Having PIP coverage this low can be financially devastating. Furthermore, we have many instances where medical providers do not want to provide treatment once they learn that an injured person only has $15,000 in coverage.


PIP covers medical bills for reasonable and necessary treatment related to the accident. There is a deductible and co-pay of 20% up to the first $5,000 and then over that all medical expenses are covered up to your limit. Generally, you need medical pre-certification for treatment except in the first 10 days of the accident. During the first 10 days you do not need pre-certification.

A benefit of PIP coverage is that it pays for medical expenses and other related costs related to a car accident regardless of who was at fault. To be sure, this is helpful if the accident was your own fault or the other driver was uninsured, underinsured, or if the accident involved a hit and run (a person that hits you and leaves the scene of the accident). Another benefit of PIP coverage is that it may be extended to cover family members residing in the same household who are not listed expressly on the policy. Although it does not cover high amounts, other expenses, such as childcare, household cleaning services, funeral costs, and usually minimal income continuation benefits may be covered.

The terms of the policy do control so it is important to understand your coverage and read it in detail. Sometimes, health insurance is chosen as primary over the auto insurance under the PIP coverage. Our law firm does not recommend picking health insurance as primary.


Most people do not carry sufficient PIP coverage under their car insurance policy. We cannot emphasize enough that the $15,000 in minimal coverage is not enough. Our firm always offers to review your auto insurance policy for free as part of our service to the community. Having appropriate coverage is so vital to protect you and your family. If you were involved in an accident, please do not hesitate to contact one of our NJ attorneys for legal advice. Of course, also please reach out if you want one of our lawyers to review your auto coverage even if you were not in an accident.

Your PIP coverage along with your Underinsured and Uninsured Motorist Coverage under your car insurance policy is the most important coverage you have as this protects you and your family. Most people do not understand how important these insurance coverages are and how financially devastating it can be if there is not enough coverage in the event of a car accident involving serious personal injury. These coverages are so important because most cars in New Jersey do not have sufficient coverage in New Jersey. Therefore, if someone with very minimal insurance is negligent and causes you injury in a car crash, you will have no money to recover. In the event you are badly injured, this can be catastrophic for you and your family.

Bottom line, you can never have too much car insurance coverage in New Jersey.



John J. Scura III

John fights hard for his clients and tries to educate them so they understand what is going on with their particular legal problem. John has been Certified by The Supreme Court of New Jersey as a Civil Trial Attorney. Whether it is a personal injury case, bankruptcy case, litigation case or other type of matter, John wants his clients to participate in the decision making process toward solving their problem in the best way possible.

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