Personal Injury Protection (PIP)

Personal Injury Protection Rejection

March 10, 2011 | Mark S. Humphreys

Someone in Weatherford, Aledo, Azle, Brock, Hudson Oaks, Annetta, Mineral Wells, Cool, Millsap, Peaster, Poolville, Whitt, Lipan, and other communities in Texas probably does not know very much about Personal Injury Protection (PIP) on their automobile insurance policy. One of the things they should know is that it is a coverge they have automatically unless they reject it in writing.

The Texas Insurance Code, Section 1952.152(a) says:

An insurer may not deliver or issue for delivery in this state an automobile liability insurance policy, including a policy provided through the Texas Automobile Insurance Plan Association under Chapter 2151, that covers liability arising out of the ownership, maintenance, or use of any motor vehicle unless the insurer provides personal injury protection coverage in the policy or supplemental to the policy.

Rejection In Writing Of PIP & UM/UIM

February 26, 2011 | Mark S. Humphreys

Insureds in Grand Prairie, Arlington, Irving, Grapevine, Coppell, Keller, Saginaw, Lake Worth, Aledo, Hudson Oaks, Azle, Springtown, Burleson, Benbrook, and other places in Texas need to have an understanding of how Personal Injury Protection (PIP) and uninsured / underinsured (UM/UIM) benefits work in an automobile policy of insurance. Here is a case that gives some insight.

The case is styled, Old American County Mutual Fire Insurance Company v. Zeferino Sanchez. This is a 2004, case decided by the Texas Supreme Court.

Texas Insurance Code Sections, 1952.101 and 1952.152 provide that “any insured named in the policy” may reject UM/UIM and PIP coverages. The question in the case is – whether the insured spouse of the person listed as the “named insured” in the declarations page of a policy may reject those coverages.

On-Line Insurance Policies

September 22, 2010 | Mark S. Humphreys

Everybody in Arlington, Grand Prairie, Mansfield, Burleson, De Soto, Dallas, Fort Worth, Benbrook, and other places in Texas have access to internet services. Using the internet, people have started purchasing all kinds of goods and services. One of the things purchased a lot on-line now days is insurance policies. When this happens some interesting questions can arise. How about this:

Let us say that you desire to purchase auto insurance on-line. One thing we have learned from earlier blogs at this site is that Insurance Law in Texas requires that on all insurance policies issued in the state of Texas that Personal Injury Protection (PIP) benefits be part of the policy. This is stated in the Texas Insurance Code, Section 1952.152(a). Section 1952.152(b) tells us that this coverage must be rejected in writing otherwise it is part of the policy.

Next, let’s say that when you purchase an auto policy on-line that you are prompted to check a box indicating a rejection of PIP coverage but because this is being purchased on-line there is no signature. Have you properly rejected PIP coverage? Or do you have the coverage?

Personal Injury Protection (PIP) – How Does It Work?

September 18, 2010 | Mark S. Humphreys

Grand Prairie residents and residents of Dallas, Fort Worth, Duncanville, Crowley, Irving, Arlington, Mansfield, Mineral Wells, and all the other locations in Texas are covered by the same insurance laws. The laws may be different in other states but policies issued in Texas, no matter where in Texas, all have the same laws apply.

Personal Injury Protection (PIP) benefits cost quite a bit extra on an automobile policy. Because of the extra expense the vast majority of persons who have auto insurance make the choice to not purchase PIP.

But for those who do purchase PIP, most do not really understand how it works. Here is a little information to help in understanding PIP.

Is Personal Injury Protection (PIP) Required?

September 1, 2010 | Mark S. Humphreys

Drivers in Arlington, Grand Prairie, Mansfield, Duncanville, De Soto, Flower Mound, Haslet, Benbrook, Saginaw, Newark, Crowley, Dallas, Fort Worth, and other places may ask the above question. Like most questions that are legal in nature, the answer is: It depends? Look at this case for guidance.

In 2003, the Austin Court of Appeals decided the case Taylor v. State Farm Lloyds, Inc. Here are the relevant facts in this case. Taylor purchased multi-peril insurance for her business from State Farm in 1993. At that time, multi-peril insurance policies were promulgated by the Texas Department of Insurance (TDI). Within that policy, State Farm offered limited non-owned auto liability insurance. Taylor purchased hired auto liability insurance as an endorsement to her multi-peril policy. In 1996, TDI allowed State Farm to write its own multi-peril auto policy subject to TDI’s approval. At that time, State Farm issued hired and non-owned auto liability coverage as an endorsement to Taylor’s multi-peril policy. None of the hired and non-owned auto liability coverage State Farm issued included PIP or UM/UIM coverage. Taylor contends that State Farm was required to issue PIP and UM/UIM coverage. State Farm rejoins that TDI has the authority to regulate certain auto insurance by other provisions of the insurance code when TDI determines that it is appropriate. State Farm further asserts that TDI has chosen to regulate hired and non-owned auto coverage under the multi-peril subchapter of the insurance code rather than the auto liability subchapter, and therefore, PIP and UM/UIM coverages are not mandatory with regard to the hired and non-owned auto liability insurance that forms a limited part of the multi-peril insurance Taylor purchased for her business.

The issue for the court was whether PIP and UM/UIM coverage is mandatory when an endorsement for hired and non-owned auto liability is added to a business’s multi-peril insurance policy.

Policy Interpretation In Texas

August 11, 2010 | Mark S. Humphreys

No matter where you live, Weatherford, Aledo, Azle, Lake Worth, Mineral Wells, De Soto, Arlington, Grand Prairie, Dallas, Fort Worth, Mesquite, Garland, or anywhere else in Texas, the insurance companies are always looking for ways to deny a claim.

The Texas Supreme Court, in 2004, decided a case where the insurance company denied a claim for Personal Injury Protection (PIP) benefits under a policy. The style of the case is, Texas Farm Bureau Mutual Insurance Company v. Jeff A. Sturrock. Justice O’Neil delivered the opinion of the Court.

In this case, an insured, Sturrock, was injured when his foot became entangled with his truck’s raised door facing while he was exiting the vehicle. The issue here is whether or not his injury resulted from a “motor vehicle accident” for purposes of PIP coverage under his automobile policy with Texas Farm Bureau Mutual Insurance Company (Farm Bureau). The Court held that a “motor vehicle accident” occurs when (1) one or more vehicles are involved with another vehicle, an object, or a person, (2) the vehicle is being used, including exit and entry, as a motor vehicle, and (3) a casual connection exists between the vehicle’s use and the injury producing event.

Who Gets Personal Injury Protection (PIP) Monies?

July 3, 2010 | Mark S. Humphreys

An insurance policyholder in Southlake, Grapevine, Grand Prairie, Arlington, Fort Worth, Mansfield, Burleson, Crowley, or anywhere else in Texas may ask the same question; Who gets the personal injury protection (PIP) monies. It is estimated that only ten per cent of automobile policyholders purchase PIP benefits as an option when they purchase their auto insurance policy. It costs extra, and lots of people just do not want to pay the extra money for this benefit.

The Texas Insurance Code, Section 1952.152, mandates that PIP coverage be offered to any purchaser of auto liability coverage. Section 1952.153, mandates that the minimum amount of coverage for PIP is $2,500. Some insurance companies will offer up to $100,000 of PIP coverage.

Section 1952.155 mandates that this coverage be provided without regard to fault in the accident or any other event that the coverage provides for. The PIP benefits are payable without regard to fault or other sources of insurance coverage. This same section of the Insurance Code states that an insurance company paying benefits under PIP coverage does not have a right of subrogation or claim against any other person or insurance company to recover any benefits by reason of the alleged fault of the other person in causing or contributing to the accident.

Personal Injury Protection (PIP) And Liability Coverage In Texas Automobile Insurance Policies

May 29, 2010 | Mark S. Humphreys

Policyholders in Grand Prairie, Arlington, Mansfield, Fort Worth, Weatherford, Aledo, Azle, or any other city in Texas who have one of the coverages listed above would want to know how those coverages work if they are in a situation where the coverages may apply. A case decided by the Texas Supreme Court in 1999, gives some insight into how these types of claims are handled.

The court actually decided two cases together. They are Mid-Century Insurance Company of Texas v. Jack Kidd, and the other is Nationwide Mutual Insurance Company v. Catherine Gerlich.

The issue in both cases revolved around how PIP benefits were paid when a claim was being made against the liability portion of the same policy.

How Personal Injury Protection (PIP) Works In Texas

March 14, 2010 | Mark S. Humphreys

Substantially less than half the automobile drivers in Mansfield, Dallas, Fort Worth, Arlington, Grand Praire, Weatherford, or any other place in the State of Texas carry Personal Injury Protection (PIP) benefits on their automobile insurance policy. Dollar for dollar it is one of the more expense insurance benefits a person can purchase.

PIP covers losses for medical bills and lost wages that are incurred for incidents arising out of the use of a covered automobile. This requirement is set out in the Texas Insurance Code, Section 1952.151. It is required to be offered on all automobile insurance policies issued in the state of Texas. This requirement is found in Section, 1952.152.

This purpose of this article is to help the reader understand Texas Insurance Code, Section 1952.155 and to tell the reader that the law in this section is enforced by holdings in the Texas Supreme Court. It states some of the Texas law dealing with PIP. The title of this section is, “Benefits payable without regard to fault or collateral Source; Effect on Subrogation.”

What is Personal Injury Protection (PIP) In Texas

February 9, 2010 | Mark S. Humphreys

Anytime a person buys insurance coverage for their automobile in Texas, they are given many options. These options include choices related to collision coverage, coverage for towing, rental cars, and even life insurance, to mention a few. No matter where you buy automobile coverage in Texas, whether it is Dallas, Fort Worth, Arlington, Grand Prairie, or in Weatherford , you are also given the option to buy uninsured / underinsured beneits and personal injury protection benefits also known as PIP.

In discussing PIP coverage, one should know that this coverage is regulated in the Texas Insurance Code, Sections 1952.151 thru 1952.161.

Section 1952.151 says that PIP provides payment of all reasonable expenses that arise from an accident for: A) necessary medical care, B) lost income for a wage earner, and C) reinbursement for reasonable expenses for essential services ordinarily performed by the injured person. An example of this last one would be reinbursing an injured person for having to pay someone to mow his yard because his injuries prevented him from doing it himself.