(HINT: It is probably not who you think…)
Let’s say you and a friend are in your car at a stop light, minding your own business waiting for the light to change when BAM!, you are hit from behind by a driver who was too busy texting on his phone to notice that traffic had stopped for a red light. If you are thinking that surely such a negligent driver will have to pay the medical bills you incurred due to his carelessness, chances are you would be wrong.
New Jersey is considered a No-Fault state where almost all motorists (except for a few exceptions) are required have some amount of no fault, or a/k/a PIP coverage as part of their auto insurance policy. This is not to be confused with whatever personal injury claim you may have against the other driver for damages (where in certain circumstances you can sue the negligent driver in a separate claim) this simply covers who pays for the medical treatment you receive if you are injured in an auto accident. PIP coverage is available in varying amounts but its purpose is to essentially assure that in the event of an accident, the medical bills will get paid to the extent provided for in the policy. However, it also means that in many cases, it is you or your family member’s insurance that will pay for your medical bills, even if your injuries are the result of the negligence of another driver.
The way it works is if you are the registered owner of an insured vehicle in New Jersey, your insurance will pay your medical bills up to your policy limits if you are injured in a car accident regardless of who was at fault in the accident. Your insurance will pay for your medical treatment up to your policy limits even if you were not the driver and simply the passenger in someone else’s car when the accident occurred. It is even your insurance that will pay your medical bills up to your policy limits if you were injured as a pedestrian crossing the road and you were hit by a car.
Many people are also shocked to learn that if they are injured in a motor vehicle and they don’t own a car, but a family member they live with does own a vehicle registered in New Jersey, then their medical bills will paid by that family member’s insurance. So let’s say in the example above, you are the passenger in your friend’s vehicle when you are struck from behind by that negligent driver and at the time of the accident you are living with your Great Aunt Tilly who owns a car, but you do not own a car. Surprisingly, it is not the negligent driver’s insurance that pays your medical bills; it is not even the insurance of your friend who owns the car you were riding in when the accident happened. Rather, your medical bills will be paid by your Great Aunt Tilly’s car insurance policy. Surprising, yes?
And, in the event neither you or any family member you live with own a vehicle registered in New Jersey, the law still does not turn to the negligent driver to have your medical bills paid. In that case the law will turn next to the insurance policy of your friend, the driver of the car you were in.
New Jersey has also created The New Jersey Property-Liability Insurance Guaranty Association, known as NJPLIGA, to provide for the reimbursement for medical coverage in certain circumstances to certain people such as pedestrians injured by a motor vehicle who don’t own a car or reside with a family member who owns a car, or passengers who do not own a car or otherwise reside with a family member who owns a car and who are injured in a car that does not have insurance. NJPLIGA will not however, pay for medical benefits if you are the owner of an uninsured car.
In sum, there are several factors that can affect the scenarios above such what happens if you injured while riding in a taxi, or on a motorcycle instead of a car, or if you are injured in a car accident while you are driving during the course of your employment, however It is worth noting that in the State of New Jersey for the vast number of car accidents involving privately owned and insured vehicles, your medical bills after a car accident will likely get paid by either your insurance or the insurance of a family member.
Learning from others and seeking to find information is the first step to success. Whether you need questions answered about Medical Revenue Recovery, PIP, Workers Compensation, and Commercial Insurance., Callagy Law is here to assist you every step of the way. We are headquartered in Paramus, NJ and we are full service law firm that specializes in serving businesses, healthcare providers and individuals. Sean Callagy has assembled a team of attorneys that are exceptional leaders in their legal expertise and have been commended for providing exceptional legal services at every level. If you need a true hands of experience with a legal team, feel free to contact us at here and come meet with Sean Callagy himself. There is no substitute when it comes to working with a lawyer and law team that cares deeply about their clients. Feel free to search us on Facebook, Twitter or LinkedIn!
UNDER NJ PIP LAW WHO PAYS THE MEDICAL BILLS IF YOU ARE IN A CAR ACCIDENT | Callagy Law #Bills, #CallagyLaw, #CarAccident, #PipLitigation
