Personal injury protection (PIP), sometimes known as "no-fault insurance," covers a person’s medical bills and rehabilitation costs in case someone gets injured in a car accident. PIP also applies in cases where the insurance holder is traveling in someone else’s car and is hit by another vehicle.
It is a type of car insurance that pays medical expenses regardless of who was at fault. Most states, including Iowa, do not mandate carrying PIP insurance because Iowa is not a no fault state. However, 16 states that are considered no-fault states mandate minimum PIP coverage.
Does a Person Require PIP If They Have a MedPay in Iowa?
No, Iowa does not require personal injury protection. As an alternative to PIP insurance, Iowa insurance providers offer medical payments coverage (often known as MedPay), which pays hospital costs associated with a car accident.
Both MedPay and PIP insurance cover medical expenses even if the insurance holder causes a car accident. However, MedPay provides less coverage than personal injury protection. It makes no concessions for lost pay or help with house chores that the victim cannot complete because of the injury.
PIP vs. MedPay
PIP works by covering the initial share of medical costs related to a car accident, irrespective of anyone’s fault. Each personal injury protection claim comes with a deductible and a maximum coverage limit, which is often $10,000. If you need assistance with your claim, try one of our auto accident lawyers in Des Moines.
The PIP coverage on the car insurance policy will pay the first $10,000 in medical costs, lost income, childcare, and other situations in a state where PIP coverage is required. All remaining costs are covered by the negligent party's auto insurance policy after the PIP policy reaches its threshold.
Car insurance claims and MedPay work together to pay for medical expenditures after an accident quickly. The main difference is that MedPay generally has no deductibles. That's what happens if someone else is driving your car and gets in an accident in Iowa, too.
The car insurance provider will immediately write a check after servicing and verifying the medical visits once a claim is made. Although MedPay doesn't have the same maximum coverage limitations as PIP, it also frequently pays medical bills far more quickly than PIP.
Most people add medical payments insurance to their PIP policy, offering them a bit more protection that can supplement their use of medical services.
However, medical payments and PIP are similar in that they both provide no-fault coverage, which means that, regardless of who was at fault for the collision, the insurance will kick in.
Car Insurance Requirements in Iowa
According to Iowa's Motor Vehicle Financial Responsibility Law, all motorists with vehicles registered in Iowa are required to carry bodily injury and property damage liability insurance with a minimum of 20/40/15 limits.
When registering a vehicle in Iowa, the owner is not required to present evidence of liability insurance. However, the owner should set it up completely before driving on the road.
Drivers must carry liability insurance, often known as bodily injury and property damage coverage, as part of their auto insurance policy in Iowa. Liability insurance pays for costs like the other driver's medical bills and bumper replacements in an accident.
A minimum insurance policy in Iowa ensures that the insurer has basic coverage in case of an accident. The minimum coverage requirements in Iowa include the following:
Bodily Injury: In the event of an accident where the insurance holder is partially to blame for the accident, the insurance company will cover up to $20,000 in medical expenses for each passenger injured in the other driver's vehicle. When the accident has many injuries to the other party, the insurer will pay up to $40,000 total per accident with a minimum policy. The BI also pays for the attorney's fees if the insurance holder must defend the accident in court.
Property Damage: If the insurance holder causes an accident, both parties are likely to suffer some property damage. The PD policy will pay up to the liability limitations of $15,000 for each accident for the other driver's loss. Most brokers will advise buying higher limits because, if the expense ever goes beyond $15,000, the insurer might need to cover the difference on their own.
Conclusion
Even though PIP coverage is not required in Iowa, it is best to get the necessary insurance to protect against bodily injury and property damage liabilities. In case the accidental case goes to court, people may take expert advice from a skilled and experienced law firm.