The state of Pennsylvania requires all drivers to carry liability and first party (PIP) car insurance coverage under the Pennsylvania Motor Vehicle Financial Responsibility Law. In addition to auto insurance required by state law, it is important for drivers to understand that there are different types of insurance coverage available to protect against the financial costs of being involved in a car accident.
State law requires all drivers to purchase the following types of auto insurance:
- Liability Coverage: Pennsylvania requires drivers to carry a minimum of $15,000 per person and $30,000 per incident
- First Party (PIP) Coverage: Pennsylvania requires driver to carry a minimum of $5,000 Personal Injury Protection (PIP) coverage, which is a no-fault insurance policy that pays an individual’s medical bills regardless of who caused the car accident
Drivers may also purchase additional types of auto insurance. The following types of coverage are optional and offer additional protection for drivers if they are involved in a car accident.
- Collision Coverage: Pays for car repairs when a driver is involved in a collision with another vehicle or object, regardless of who is at fault.
- Comprehensive Coverage: Reimburses a driver if his or her car is stolen or has damage from a fire, vandalism or any other type of damage not caused by an accident with another vehicle.
- Uninsured Motorist (UM) Coverage: Protects a driver if he or she is in an accident with a driver who has not purchased car insurance. While this coverage is optional, drivers who do not purchase this coverage are required to sign a waiver form stating that they refused this coverage. Drivers who do purchase UM coverage are able to “stack” the coverage if they insure multiple vehicles with one insurance company.
- Underinsured Motorist (UIM) Coverage: Protects a driver if he or she is in an accident with another driver who is at fault for the accident and the other driver’s car insurance is unable to pay the bills for a driver’s injuries. This coverage is also optional, but drivers who do not purchase this coverage are required to sign a waiver form stating that they refuse this coverage. Drivers who do purchase UIM coverage are also able to “stack” the coverage under the same requirements as stacking UM coverage.
- Full Tort: Drivers may recover for all damages suffered in an accident, including non-economic damages. This coverage may cost a driver 12 to 20 percent more in premiums.
- Limited Tort: Drivers agree that they will not recover for non-economic damages unless the driver suffers a serious injury such as death, serious impairment or disfigurement.
Selecting the proper types of car insurance can be difficult. The law firm of McCann Dillon Jaffe & Lamb, LLC recommends that all drivers carry a liability policy that has $100,000 per person and $300,000 occurrence minimum and at least a $100,000 minimum in medical coverage. It is also important to purchase and stack UIM/UM coverage.
Philadelphia Car Accident Lawyers at McCann Dillon Jaffe & Lamb, LLC: Review Your Car Insurance Policy With an Experienced Attorney
The firm of McCann Dillon Jaffe & Lamb, LLC is happy to review auto insurance policies to determine whether or not they conform to the best coverage limits. It is important to review your car insurance policy with an experienced attorney to make sure you have the proper coverage that will offer the best protection if you are involved in a car accident. Call our Philadelphia car accident lawyers today at 215-569-8488 or 302-888-1221, or contact us online.