MURPHY & WEISS
Attorneys, PA
Brevard's Elder Law Firm
1800 Penn Street, Suite 6
Melbourne, FL 32901-2625
Phone (321) 676-2525
Many of our clients have questions about what type of
Automobile Insurance Policy coverage they should have. After an accident
is the wrong time to discover you have insufficient insurance. Insurance
agents often do not fully explain the advantages of various coverages,
including UM, PIP and Excess Medical Payment coverage. We recommend
that all our clients purchase these coverages. Examine your policies
to ensure you have sufficient insurance coverage to protect yourself
and your loved ones.
Everyone should carry Uninsured/Underinsured Motorist coverage (UM). Despite what insurance representatives may tell you, UM is one of the most important types of coverage you can have. If you are injured in a car accident by someone with no or little insurance the UM coverage may be your only source of financial help. You should carry "stackable" UM coverage on all family vehicles. In families with multiple vehicles, stacking UM coverage will permit adding together or "stacking" the UM coverage on each of those vehicles. Payments are not limited to the coverage amount on only the vehicle that was involved in the accident as would be the case with "nonstacking" coverage. You should never sign any rejections or waivers of UM coverage.
It is important to have no deductible or very little
deductible on your Personal Injury Protection ("PIP") policy.
PIP with a $2,000.00 deductible does have a lower premium....but beware!!!
PIP covers 80% of your medical bills caused by a vehicle
accident. Policies with a $2,000.00 deductible require the injured
person to incur $2,500.00 in medical bills before any benefits are
paid ($2500 x 80% = $2000). Until that point, the insurance company
does not pay a penny of their insured's medical care.
PIP covers 60% of your lost wages. Carrying a high
deductible could prevent you from recovering lost wages if you are
unable to work due to your injuries.
The money saved on premiums for a high deductible PIP policy
may not be worth the risk.
As supplement to PIP, you should carry the excess Medical
Payments coverage ("Med Pay"). Med Pay will cover the 20% of
your medical bills that PIP does not cover or would be in excess of the
$10,000.00 limit of PIP. While health insurance often covers these
excesses, the money must be paid back as part of the subrogation
agreement with the health insurance company. The benefit of "Med Pay"
is the sums paid out do not have to be repaid. Remember, you and your
loved ones cannot afford to be unprotected.
For advice about your insurance needs please feel free to contact our office for an appointment at (321)676-2525