Personal Injury Law: How to File Auto Insurance Claims

New Jersey is a "no-fault" insurance state, so drivers often turn to their own insurance first to attempt to obtain compensation. The state requires all drivers to purchase at least $15,000 in PIP coverage, but many drivers purchase more than the minimum.

PIP coverage may provide the following benefits to accident victims:

MEDICAL EXPENSES

New Jersey law states PIP coverage reimburses victims of covered auto accidents for the cost of reasonable and necessary medical, surgical, rehabilitative and diagnostic services. This includes the cost of ambulance services and other transportation and medication.

A treatment is considered medically necessary when it fits three criteria:

• It is the most appropriate level of service in accordance with standards of good practice and standard professional treatment protocols

• Treatment is primarily being done for convenience, either for the victim or medical provider

• There is no unnecessary testing or treatment

PIP coverage may pay for non-medical expenses if they are prescribed by the doctor to treat permanent or significant brain or spinal cord injuries or disfiguring injuries. Examples of non-medical expenses may include the cost of things like:

• Vehicles

• Durable goods

• Equipment

• Improvements to real property

• Improvements to personal property

• Fixtures

• Recreational activities

• Trips

• Leisure activities

LOST WAGES

Car crashes often result in injuries that make victims unable to go back to work. Fortunately, your PIP coverage may pay for lost wages while you are out of work. The amount you receive will be based on your income and the terms of your policy.

ESSENTIAL SERVICES

If your injuries leave you unable to do essential services around the house, you may be eligible for compensation to cover the cost of hiring someone to help with those tasks. For example, you may need to hire someone to shovel snow, do laundry, mow the lawn or clean things around the house. PIP policies provide $12 per day for those tasks.

DEATH BENEFITS

When a car crash causes a policyholder to die, and he or she was the family’s income provider, next of kin may receive death benefits (the maximum payout from lost income and essential services benefits). Payment goes to the surviving spouse. If there is no spouse, it goes to the children. If there are no children and no spouse, payment goes to the estate. Next of kin can also seek compensation for funeral expenses. A standard new Jersey PIP policy provides up to $1,000 for funeral expenses.

Please contact one of our New Jersey Personal Injury attorneys for a free consultation.