Will My Insurance Go Up If I Use My PIP Coverage?
Many drivers hesitate to use their Personal Injury Protection (PIP) coverage because they worry it might increase their insurance rates. The reality is that while there is a slight possibility of a premium change, it is insignificant compared to the protection and recovery PIP provides.
Why You Purchased PIP Coverage
PIP coverage is designed to protect you regardless of who caused the accident. It can cover medical bills, lost wages, and certain other expenses, even if you were partially or fully at fault. Typical coverage amounts in Texas range from $2,500 to $5,000 or $10,000, providing valuable financial protection after a car accident.
Using your PIP coverage ensures that you can pay for necessary medical care without relying solely on the at-fault driver or their insurance. Skipping it could leave you personally responsible for these costs, which can quickly add up.
PIP is Often Not the Only Source of Recovery
It’s important to remember that PIP is usually not the only source of recovery if you were not at fault. PIP coverage can be stacked on top of other recoveries, including Uninsured Motorist (UM) or Underinsured Motorist (UIM) claims, or even third-party personal injury claims. This means you can access PIP immediately for medical bills and lost wages while still pursuing additional compensation from the at-fault driver or their insurer. Stacking recoveries ensures that you are fully compensated for your injuries without waiting for the other party’s insurance to pay.
The Risk vs. Reward
Yes, using PIP may trigger a minor increase in premiums, but the benefit far outweighs the cost. Your PIP coverage exists for exactly this purpose—to make sure you get the medical care and financial support you need immediately after an accident. Even after accounting for attorney fees if an attorney is involved, your recovery under PIP will typically be far greater than any potential rate increase.
Take Action and Use Your Coverage
Your attorney can help you file your PIP claim, communicate with your insurance company, and make sure you receive everything you are entitled to. Do not let the fear of a small premium increase prevent you from using your own coverage to protect yourself and your recovery.
Bottom Line
Your recovery with PIP coverage—whether it’s $2,500, $5,000, or $10,000—is far more valuable than any minor increase in insurance premiums. Using PIP ensures you can access immediate care and protect yourself financially after a car accident. Additionally, when combined with UM, UIM, or third-party claims, PIP can be an essential tool for maximizing your total compensation.
