OUR LAW FIRM'S RECOMMENDED AUTOMOBILE INSURANCE COVERAGE
When purchasing PA automobile insurance, there are many confusing decisions to make. By not making the right decisions, your future and the futures of your loved ones can be significantly compromised in the event of an automobile accident. The chart below indicates the minimum PA automobile insurance coverage, which is required by PA state law. Unfortunately, in many cases, after an automobile accident, many individuals with minimum PA automobile insurance coverage are unable to recover the maximum amount of damages that they deserve. Moreover, many individuals with minimum PA automobile insurance coverage may be completely barred from recovering for noneconomic loss (i.e. pain and suffering) because of the tort option that they selected, which is discussed more fully below.
With that being said, the chart below also indicates and compares our law firm’s minimum recommendation for PA automobile insurance coverage. In our law firm’s opinion, this is the absolute minimum PA automobile insurance coverage that you should carry to protect yourself and your loved ones in the event of an automobile accident.
Lastly and most importantly, the chart below indicates and compares our law firm’s overall recommendation for PA automobile insurance coverage to protect you and your loved ones in the event that you or a loved one is involved in an automobile accident. It is important to note that you have the ability and the option to protect your interests and the interests of your loved ones under your own insurance policy. In many cases, with our law firm’s overall recommended PA automobile insurance coverage, you and your loved ones will be protected with sufficient coverage in the event of an automobile accident. Our firm’s overall recommended PA automobile insurance coverage will allow you and your loved ones to maximize your recovery in the event of an automobile accident.
Auto Insurance Coverage Options and Comparisons |
Options | PA State Minimum Required | Our Firm’s Minimum Recommended | Our Firm’s Overall Recommended |
Tort Option | Limited | FULL | FULL |
Bodily Injury Liability | $15,000 per person
$30,000 per occurrence | $50,000 per person
$100,000 per occurrence | $100,000 per person
$300,000 per occurrence |
Medical Expense Benefit | $5,000 | $10,000 | $25,000 |
Property Damage Liability | $5,000 | $25,000 | $25,000 |
Income Loss | Not Required | $1,000 per month
$5,000 in total coverage | $1,000 per month
$5,000 in total coverage |
Uninsured Motorist (UM) | Not Required | $50,000 per person
$100,000 per occurrence | $100,000 per person
$300,000 per occurrence |
Underinsured Motorist (UIM) | Not Required | $50,000 per person
$100,000 per occurrence | $100,000 per person
$300,000 per occurrence |
Stacking of Limits (Applies to UM / UIM) | Not Required | Stacking:
$50,000 X the number of vehicles in the household | Stacking:
$100,000 X the number of vehicles in the household |
Funeral Benefit | Not Required | $1,500 | $1,500 |
TORT OPTION (IMPORTANT)
When you purchase automobile insurance, you have a choice of selecting either “Full Tort” or “Limited Tort.” The main difference between the two, which is extremely important to understand, is that with “Limited Tort” you cannot recover non-economic damages, which includes pain and suffering, unless a very limited exception applies. These strict exceptions include but are not limited to:
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being hit by a drunk driver or someone who is admitted into the Accelerated Rehabilitative Disposition (ARD) Program,
- being hit by someone operating a motor vehicle that is registered in another state,
- being hit by someone who intended to injure themselves or another person, or
- being injured while occupying a commercial vehicle.
If you have “Limited Tort,” and you are a victim in an automobile accident, and you sustain “serious” injury, meaning personal injury that results in death, serious impairment of bodily function, or permanent disfigurement, then you will be able to recover economic loss as well as non-economic loss as if you had “Full Tort.” However, this is a very high burden to substantiate.
Ultimately, if you have “Limited Tort,” then you have an additional burden in order to recover non-economic loss, which again includes pain and suffering. Ultimately, by selecting “Limited Tort,” you are severely limiting your ability to recover damages that you and your loved ones may deserve.
By selecting “Full Tort,” you are able to sue and seek compensation for non-economic as well as economic loss sustained in an automobile accident that was someone else’s fault. This means that you maintain all of your rights and there is no additional burden to overcome. For example, if you have “Full Tort,” you may be able to recover for even minor injuries.
It is important to note that many times insurance agents do not fully explain the difference between “Limited Tort” and “Full Tort.” Many times insurance agents will only explain that you can save some money by selecting “Limited Tort.” Insurance agents do not indicate how extremely risky it is to select “Limited Tort” or how you cannot recover for non-economic loss (i.e. pain and suffering) in the event that you or a loved one is involved in an automobile accident. This is not the area where you should attempt to save money because the result can be catastrophic.
It is extremely important that you look at your automobile insurance policy’s declaration page, which is the page of your automobile insurance policy that reflects your automobile insurance coverage, or contact your insurance carrier to find out which tort option you selected. If you find that you have “Limited Tort,” I recommend that you immediately change your insurance to reflect “Full Tort,” so that you and your loved ones are protected in the event of an automobile accident.
“Limited Tort” Example: Note – It is important to have “Full Tort”
A driver rear-ends your car while you're sitting at a red light. You go to the hospital via ambulance because your neck is hurting. The driver who rear-ended you has Bodily Injury Liability coverage in the amount of $50,000 and Property Damage Liability coverage in the amount of $5,000. You have $1,000 worth of damage to your vehicle; your medical bills equal $5,000, and our law firm determines that you are entitled to $44,000 for pain and suffering.
If you have “Limited Tort” and no exceptions apply, then you are only entitled to economic loss, which here would include $1,000 for damage to your vehicle and $5,000 for your medical bills. You would not be able to pursue a claim for non-economic loss, which includes pain and suffering.
Based on the above fact pattern, your maximum claim would be limited to $6,000 because of “Limited Tort.”
“Full Tort” Example: Note – It is important to have “Full Tort”
A driver rear-ends your car while you're sitting at a red light. You go to the hospital via ambulance because your neck is hurting. The driver who rear-ended you has Bodily Injury Liability coverage in the amount of $50,000 and Property Damage Liability coverage in the amount of $5,000. You have $1,000 worth of damage to your vehicle; your medical bills equal $5,000, and our law firm determines that you are entitled to $44,000 for pain and suffering.
If you have “Full Tort,” then you are entitled to economic loss, which here would include $1,000 for damage to your vehicle and $5,000 for your medical bills. Moreover, you would be able to pursue a claim for non-economic loss, which includes pain and suffering.
Based on the above fact pattern, your maximum claim could be for $50,000, which would include non-economic loss (i.e. pain and suffering).
STACKING
Stacking limits applies to Uninsured (UM) and Underinsured (UIM) Motorist Coverage when you insure more than one vehicle.
Example: Note – It is important to have “Full Tort”
There are two vehicles in your household. Each vehicle has a policy limit of $100,000 / $300,000 (i.e. 100/300) concerning Uninsured Motorist (UM) and Underinsured Motorist (UIM) coverage. If you chose to “stack” the limits, then your total Uninsured (UM) and Underinsured (UIM) Motorist Coverage available to you, as well as anyone covered under the policy, would be $200,000 / $600,000 (i.e. 200/600) (meaning $200,000 per person / $600,000 per accident).
A driver slams into the driver-side door of your car while you're sitting at a red light. You are severely injured. The driver who slammed into you has Bodily Injury Liability coverage in the amount of $15,000. Your total medical bills equal $80,000 and our law firm determines that you are entitled to $120,000 for pain and suffering.
We would collect the other driver’s Bodily Injury Liability coverage of $15,000. Then, we would go to your own insurance carrier and request the $185,000 that you have available under your own automobile insurance policy.
If you did not “stack” your Underinsured Motorist (UIM) coverage, then you would likely be left with only the $15,000 from the other driver’s Bodily Injury Liability Coverage and $100,000 from your own automobile insurance policy.
UNDERINSURED MOTORIST
Underinsured Motorist (UIM) Coverage will be used to cover injuries and damages you incur in the event that the at-fault party has inadequate automobile insurance. According to Pennsylvania law, Pennsylvania drivers are NOT required to have UIM Coverage. Therefore, a Pennsylvania driver can waive this coverage, if they so choose. However, our law firm strongly recommends that you do not waive your UIM Coverage.
If you chose not to waive your UIM Coverage and you selected limits of $50,000 / $100,000 (i.e. 50/100), this means:
- No more than $50,000 would be paid per person for Bodily Injury resulting from an at fault party who has inadequate insurance.
- No more than $100,000 would be paid per accident for Bodily Injury resulting from an at fault party who has inadequate insurance.
Example: Note – It is important to have “Full Tort”
A driver rear-ends your car while you're sitting at a red light. You go to the hospital via ambulance because your neck is hurting. The driver who rear-ended you has a Bodily Injury Liability limit in the amount of $15,000. Your total medical bills equal $13,000 and our law firm determines that you are entitled to $37,000 for pain and suffering.
We would collect the other driver’s Bodily Injury Liability limit of $15,000. Then, we would request $35,000 from your own insurance carrier.
If you chose to waive your Underinsured Motorist (UIM) coverage, then you would be left with only $15,000.
UNINSURED MOTORIST
Uninsured Motorist (UM) Coverage will be used to cover injuries and damages you incur in the event that the at-fault party does not have automobile insurance. According to Pennsylvania law, Pennsylvania drivers are NOT required to have UM Coverage. Therefore, a Pennsylvania driver can waive this coverage, if they so choose. However, our law firm strongly recommends that you do not waive your UM Coverage.
If you chose not to waive your UM Coverage and you selected limits of $50,000 / $100,000 (i.e. 50/100), this means:
- No more than $50,000 would be paid per person for Bodily Injury resulting from an at-fault party who has no insurance.
- No more than $100,000 would be paid per accident for Bodily Injury resulting from an at-fault party who has no insurance.
Example: Note – It is important to have “Full Tort”
An uninsured driver rear-ends your car while you're sitting at a red light. You go to the hospital via ambulance because your neck is hurting. Your total medical bills equal $13,000 and our law firm determines that you are entitled to $37,000 for pain and suffering. You would be able to request $50,000 from your own insurance carrier.
If you chose to waive your Uninsured Motorist (UM) Coverage, then you most likely would be left with nothing.
MEDICAL PAYMENTS
Medical Expense Benefits (i.e. Personal Injury Protection – “PIP”) pays the cost of necessary medical care you receive as a result of an auto accident. PIP can be used regardless of who is at fault. According to Pennsylvania law, Pennsylvania drivers are required to have a minimum of $5,000 worth or Medical Expense Benefits (PIP).
If your limit is $25,000 (i.e. 25):
- No more than $25,000 would be paid for necessary medical care you receive as a result of an auto accident under your automobile insurance policy.
Example
You sustain $30,000 in medical bills because of injuries from an automobile accident in which you slid on ice and struck a tree. You do not have any health insurance. However, you selected a limit of $25,000 concerning your Medical Expense Benefits (PIP) under your automobile insurance policy. You are responsible for the other $5,000 in medical bills.
Note: If you have health insurance, then your primary health insurance carrier will generally cover the amount of necessary medical bills that you are left with.
PROPERTY DAMAGE LIABILITY
Property Damage Liability covers your legal liability for a covered accident that involves damage to someone's property, up to the limit of liability you select. According to Pennsylvania law, Pennsylvania drivers are required to have a minimum of $5,000 worth of Property Damage Liability coverage.
If your limit is $25,000 (i.e. 25), this means:
- No more than $25,000 would be paid per accident for Property Damage
Example:
You are at-fault for an accident that damaged another vehicle.
The damage to the other vehicle was $12,000. All damage would be covered because it falls within the Property Damage Liability limit you selected.
On the other hand, if you are at-fault for an accident and the property damage that you caused exceeded your Property Damage Liability limits, you may be responsible for the remaining damage, which might put your personal assets at risk.
BODILY INJURY LIABILITY
Bodily Injury Liability covers your legal liability for a covered accident that involves injury to another person, up to the limit of liability you select. According to Pennsylvania law, Pennsylvania drivers are required to have a minimum of $15,000 / $30,000 (i.e. 15/30) worth of Bodily Injury Liability coverage.
If your Bodily Injury Liability limits are $50,000 / $100,000 (i.e. 50/100), this means:
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No more than $50,000 would be paid per person for Bodily Injury
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No more than $100,000 would be paid per accident for Bodily Injury
Example:
You are at-fault for an accident that injured two people. The other driver's total medical bills were $20,000 and the other passenger's total medical bills were $25,000.
All injuries would be covered because they fall within the Bodily Injury Liability limits that you selected. Each person's injuries were less than $50,000, and the amount for all injuries was less than $100,000.
On the other hand, if you are at-fault for an accident and the medical bills from the injuries that you caused exceeded your Bodily Injury Liability limits, you may be responsible for the remaining damage, which might put your personal assets at risk.
QUICK OVERVIEW OF AUTOMOBILE INSURANCE COVERAGE
First, one of the most important choices that you have when purchasing PA automobile insurance is whether you have “Limited Tort” or “Full Tort.” The tort option you choose will determine whether or not you can sue for noneconomic loss, which includes pain and suffering, with the exception of a very few, very strict, limited exceptions. Ultimately, if you have selected the “Limited Tort Option,” then you have an additional burden in order to recover noneconomic loss, which again includes recovery for pain and suffering. (Learn more about Tort Options and the importance of “Full Tort”)
Additionally, there are only three other automobile insurance converges that are required in PA, which include: Medical Expense Benefits, Bodily Injury Liability, and Property Damage Liability. Medical Expense Benefits protects you and others covered under your automobile insurance policy. On the other hand, Bodily Injury Liability and Property Damage Liability are both forms of coverage that protect others in the event that you were the at fault driver in an automobile accident.
There is a huge difference between being “fully covered” or “fully insured,” which many times means you have collision coverage, and having “Full Tort.” This is a common misunderstanding; therefore, I will explain the difference between each. When you finance or lease a vehicle, the bank or lender will require that you have collision coverage to repair or replace a vehicle in the event that you are involved in an automobile accident. However, according to PA state law, you are not required to have “Full Tort,” which allows you to sue for both economic loss (i.e. medical bills and property damage) and noneconomic damage (i.e. pain and suffering). It is still very important to make sure that you selected “Full Tort” as your tort option to protect your future and the futures of your loved ones in the event of an automobile accident.
Please take the time to review, to compare, and to consider our law firm’s minimum recommendation and overall recommendation for PA automobile insurance coverage. I cannot stress enough the importance of choosing the right PA automobile insurance coverage to protect your future and the futures of your loved ones. By not making the right choices when purchasing PA automobile insurance coverage, the end result of an already terrible automobile accident can be even more catastrophic.
Purchasing PA automobile insurance can be very frustrating and very confusing. Furthermore, you may not be getting the full explanation of the importance of each of these important benefits and the consequences of not being adequately insured from an insurance agent. As always, if you have any questions or concerns, please feel free to contact our law firm for a free consultation, and I, Attorney Jason P. Provinzano, will personally answer any and all questions that you may have.
