In Maryland every Policy of automobile insurance starts out containing Personal Injury Protection or PIP.  It is mandatory unless specifically waived by the purchaser of the insurance policy.

PIP is a relatively inexpensive component of your policy.  The minimum coverage is $2,500 and the maximum most companies offer is $10,000.  If you have waived PIP or only have $2,500 please read on to find out why PIP is important and the more coverage you have the better you will be. 

What is PIP:  Personal Injury Protection coverage is insurance you carry on your own policy that helps pay you for your medical costs and lost wages as a result of an automobile collision.  PIP is available to you regardless of who is at fault.

How PIP works for you:  If you are injured you will likely incur medical bills.  PIP will pay you for these bills or up to your coverage amount if your bills exceed that amount.  PIP will also compensate you for any hour you miss from work.  Both of these benefits accrue to you in addition to any money you collect from the at fault driver's insurance company.

PIP and wages:  If you miss time from work as a result of your injuries you may claim the hours you missed and the rate of pay per hour under your PIP coverage.  It is irrelevant whether you were paid for the hours you missed by either the at fault driver's insurance company or your employer (or both).  You are still entitled to PIP payments.

Limits of PIP:  PIP is limited to your coverage amount.  For example if you have $2,500 coverage you can only collect that amount.

For a more in-depth review of Maryland PIP, including availability and filing information visit www.marylandpip.com