🚗 Types of Insurance After a Crash
What each type of auto insurance covers—and how it affects your injury claim.
🟧 Personal Injury Protection (“PIP”)
Often called no-fault insurance, PIP covers:
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80% of medical expenses
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60% of lost wages
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Up to a combined total of $10,000
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Regardless of who caused the crash
⚠️ Important: You must be evaluated by a doctor within 14 days of the crash, or you lose access to PIP.
How PIP Payments Work
Think of PIP like a good health insurance plan—providers can’t bill you the full sticker price.
They’re limited to 200% of the Medicare rate.
Example:
You get a $10,000 ER bill, but Medicare’s allowed rate is $2,000.
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ER must write off $8,000
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PIP pays 80% of $2,000 = $1,600
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You owe $400 (which can be submitted to your health insurer, if applicable)
🟥 Bodily Injury Coverage (“BI”)
This is the at-fault driver’s insurance. If they caused the crash, BI pays for your damages:
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Medical bills
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Lost wages
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Pain and suffering (if permanently injured)
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Loss of enjoyment of life
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Mental anguish
One of the first things we do after a crash is find out whether the at-fault driver had BI—and how much. Your recovery is typically capped at their policy limits.
🟦 Uninsured / Underinsured Motorist Coverage (“UM”)
UM coverage protects you when:
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The at-fault driver has no insurance, or
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They don’t have enough insurance to cover your injuries.
UM pays for the same types of damages as BI:
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Medical expenses
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Lost income
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Pain and suffering
Do You Have UM?
Florida insurance companies must offer it—but drivers can sign a waiver to reject it. We check:
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Your policy
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The vehicle owner’s policy
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Sometimes a resident relative’s policy
There are often multiple layers of UM coverage we can pursue.
🟩 Property Damage Coverage
This covers the damage to your vehicle. Simple in theory, but the key question is:
Do I use my own insurance or the at-fault driver’s?
The Answer: It Depends.
If the other driver is clearly at fault, you can usually go through their insurance.
But sometimes it’s quicker and easier to go through your own policy—especially if:
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Their insurer is dragging their feet, or
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You need your car fixed right away
If you use your collision coverage, your insurer will:
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Pay for repairs or total loss
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Go after the at-fault insurer to reimburse the cost
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Try to get your deductible refunded
🔧 How Vehicle Value Is Calculated
Insurance companies control the valuation process.
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If your vehicle is totaled: They owe you the actual cash value (what it was worth the day before, including depreciation)
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If your vehicle is repaired: You may be entitled to a Diminished Value (DOV) claim.
📉 What Is a Diminished Value Claim?
Even after repairs, your car’s resale value drops because it now has a crash on record.
A DOV claim seeks payment for:
The difference between your car’s value before the crash vs. after it was repaired.
This is a separate claim, typically made against the at-fault driver’s insurer, and may require documentation or a professional valuation.