You may already know that car insurance isn’t just required by law but is an essential component of your financial recovery following an unexpected car accident. Auto insurance provides you and others with peace of mind and security from financial losses.
Each state has its own car insurance requirements that motorists within the state are required to have. This can make it difficult to know what exactly you need and how to best protect yourself. Whether you are or not familiar with personal injury protection (PIP), it is a form of auto insurance in Louisiana that we will explain more about below.
What is Personal Injury Protection?
Personal Injury Protection (PIP) is a coverage option that pays for medical expenses and, in some cases, lost wages and other damages, regardless of who is at fault in an accident. This type of coverage is mandatory in no-fault states where policyholders use their own PIP insurance to cover costs immediately after an accident.
However, Louisiana is not a no-fault state. It operates under a fault-based or “tort” system, meaning that the driver who causes an accident is responsible for paying the damages. In this system, PIP is not required, giving Louisiana drivers the flexibility to choose whether or not to include it in their insurance policy.
Defining Personal Injury Protection
When it comes to fault laws, there are two types of categories that states follow: fault or no-fault. In no-fault states, those who sustain damages in car accidents immediately turn to their own personal injury protection to get reimbursed for out-of-pocket losses, regardless of who caused the crash. Therefore, PIP insurance is a requirement.
On the other hand, Louisiana operates on a fault-based system, meaning that a victim of a car accident can file a claim with the driver who was at fault for the accident. Because of this rule, PIP insurance is not mandatory in the state. However, you may want to think twice before dismissing it from your car insurance policy.
The Importance of Having Sufficient Coverage
Although Louisiana motorists aren’t required to add personal injury protection to their car insurance policy, there are several circumstances where the minimum insurance requirements may not be enough to cover the entirety of your damages should you be injured in a crash. That’s where PIP insurance comes in.
Additionally, filing a personal injury claim with the at-fault driver’s insurance company is a process that can take a long period of time. Because personal injury protection works regardless of fault, you can file a claim and get reimbursed for your medical expenses without having to wait to know whether the claim went through. This means you can get your medical bills paid in a timely manner so you can get back to work and support yourself and your family.
We’re Here If You Need Us
While having personal injury protection can be advantageous for several reasons, it’s important to remember that insurance companies are still businesses that profit from denying or devaluing claims. If you are injured in an auto accident in New Orleans and need assistance filing a claim, it’s crucial to have a legal advocate on your side who will ensure your rights are protected.
Need help filing a claim? Contact our New Orleans attorneys at (504) 475-2429 to get started with a free case evaluation! All clients work directly with a team of trial attorneys instead of case managers, so your case is in the best hands from the very beginning.
