Coverage Explanations

Personal Injury Protection (PIP)

Personal Injury Protection eliminates the need for an auto accident victim to seek legal action to recover medical expenses. PIP, which is also known as no-fault coverage, pays all reasonable medical expenses up to $250,000 per person per accident, regardless of who is at fault for an auto accident. The minimum deductible- the amount a policyholder must pay- is $250, and an insurer reimburses 80 percent of the expenses between $251 and $5,000. Your insurer pays 100 percent of the eligible expenses exceeding $5,000. PIP also covers at lower limits, lost wages, essential services, and death benefits. PIP coverage applies to all those covered on the policy.

Drive Other Car Coverage (DOC)

Coverage is applicable to named individuals who are supplied a company vehicle, but do not own a personal vehicle, thereby not having personal automobile coverage. An endorsement may be added to the automobile policy of the company that furnishes the automobile, giving protection while the named individual or a member of his family is driving a car borrowed from a third party (other than the vehicle named in the policy).

MedPay Coverage

MedPay generally covers reasonable and necessary expenses for medical, surgical, dental, and chiropractic treatment. It also covers hospitalization, ambulance services, X-rays, nursing services, prosthetic devices, and funeral services. Normally, limit is $5,000 maximum. MedPay coverage extends to anyone in the vehicle at the time of the accident.

Employers Liability (Workers’ Compensation)

Employers Liability insurance provides coverage for your legal liability to employees not covered by the Workers’ Compensation law. To recover benefits under your state’s workers’ compensation law, your employees don’t have to prove you were somehow responsible for their employment-related accident or disease. But if they can prove you were liable for their accident or illness, they may be able to successfully sue to recover damages beyond the workers’ compensation benefits. The employer’s liability portion of workers’ compensation policy can pay for the damages awarded to your injured employee as well as the legal expenses involved in such a suit. This coverage may also provide certain benefits if you are sued by a third party affected by a workplace injury, such as a family member of the injured worker.