Medical bills may arrive while you are still recovering from a car accident. In New Jersey, personal injury protection (PIP) generally pays covered medical expenses regardless of who caused the crash.
How PIP covers your medical care
PIP usually serves as the first source of payment for medically necessary care related to an auto accident. If you selected your health insurer to pay first, it generally pays before PIP. Confirm that your plan covers auto accident injuries because its exclusions and repayment rules may affect your costs. Medicare and Medicaid cannot be selected as the primary PIP payer.
Depending on your injuries and policy requirements, covered care may include:
- Emergency room treatment and hospital stays
- Diagnostic tests and imaging, such as X-rays and CT scans
- Prescription medications and medical devices
- Physical therapy and rehabilitation services
The standard PIP medical expense limit is $250,000, although standard policyholders may choose lower limits. Basic policies generally provide $15,000, with up to $250,000 for certain serious injuries.
What costs may remain your responsibility
Your policy may require you to pay a deductible. After you meet it, you generally pay 20% of covered medical expenses between the deductible and $5,000. The insurer may also require approval before certain tests or treatments.
If your PIP benefits run out, the health insurance may cover some remaining bills, depending on your plan. If another driver caused the crash, you may also be able to pursue payment for medical expenses that your insurance does not cover.
Check your coverage and payment records
Report the accident to the PIP insurer promptly. Confirm that your medical providers have sent the required notices and treatment requests. They generally must notify the PIP insurer within 21 days after treatment begins. Late notice may reduce the amount the insurer pays.
Your choices can affect what you pay
Medical bills after a car accident can create uncertainty, especially when more than one insurance policy may apply. By understanding how New Jersey PIP coverage works and checking which insurer is responsible, you can take a more active role in protecting your benefits and limiting avoidable out-of-pocket costs.