The 3 BASICS of No-Fault Auto Insurance Reform

1.  NEW OPTIONS FOR PERSONAL INJURY PROTECTION (PIP MEDICAL)

STAY SAME – Unlimited PIP Medical Coverage  

LIMITED COVERAGE - $500,000 or $250,000 options.  Medicaid Option of $50,000.

EXCLUDE COVERAGE (FOR SOME OR ALL) - 

  • Limited Coverage of $250,000 some or all excluded. Requires Named Insured who is excluding coverage has “qualified health coverage” that is not Medicare.  Any “resident relative” or spouse who is excluding PIP medical has “qualified health coverage.”
  • Medicare option (65 years old) No PIP Medical coverage for anyone covered by the policy if Named Insured has coverage under both Medicare Parts A and B, AND any Spouse and all resident relatives” covered by the policy have qualified health coverage or are covered under another auto policy with PIP medical coverage.

2.  NEW DEFAULT LIABILITY LIMIT

Bodily injury liability insurance covers claims made against you for injuries to others if you are at fault in an auto accident. The new default liability limit will be $250,000 per person and up to $500,000 per accident (“$250,000/$500,000”) for these claims unless you select higher or lower limits depending on the amount of protection you need. In no event can you select less than $50,000 per person and $100,000 per accident

If you want bodily injury liability coverage limits of $250,000/$500,000 or more, you do NOT need to complete the waiver form.

3.  INCREASED NEED FOR PERSONAL UMBRELLA LIABILITY

Many drivers will be selecting lower limits or opting out of Personal Injury Protection.  Due to this, motor Vehicle owners and operators will be liable for more damages than they were before. 

A Personal Umbrella Liability is recommended by most Financial Advisors and provides coverage above your base liability limits for your Automobile, Home and other eligible personal liability exposures.  The coverage limits begin with an additional $1,000,000 of coverage and premium is typically $200 annually. 

The 7 SECRETS  to select the right coverage for you!

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