Understanding the Different PIP Options for GEICO Auto Insurance in NJ
I’m currently insured with GEICO for my auto insurance, and they’ve presented me with several PIP options:
- PIP Health Primary
- PIP Primary
- PIP Med PIP Primary
- PIP Med Health Primary
Since I have excellent health insurance through my state government job with Horizon, would it be advisable to select the PIP Health Primary option? Additionally, what level of coverage and deductible should I consider for my PIP?
When considering your Personal Injury Protection (PIP) options with GEICO auto insurance in NJ, it’s important to evaluate how your health insurance interacts with auto insurance benefits. Since you have great health insurance through your state job with Horizon, here’s a breakdown of the options you mentioned:
PIP Health Primary: This option allows your health insurance to be your primary source of coverage for medical expenses incurred from an auto accident. This usually means your auto insurance will cover any costs not covered by your health plan.
PIP Primary: With this option, your auto insurance acts as the primary coverage for medical expenses from a car accident, regardless of your health insurance.
PIP Med PIP Primary: This is similar to PIP Primary, but it may have specific implications or coverage limits based on statutory guidelines.
PIP Med Health Primary: This option blends elements of both, making your health insurance the primary payer while still maintaining some PIP benefits from your auto insurance.
Given that you have strong health insurance, choosing PIP Health Primary can be a sensible choice. This typically keeps your auto insurance premiums lower, as the health insurance will be the first to cover medical expenses. You would rely on your health insurance for most of your medical coverage stemming from an accident, while the PIP would cover any additional costs not picked up by your health plan.
As for the coverage amount and deductible, New Jersey requires PIP coverage to be at least $15,000. However, because you have good health insurance already, you might consider choosing a lower coverage limit to save on premiums, especially if you are comfortable with the risk. Depending on your financial situation and your comfort level, you could opt for the minimum coverage or something higher if you want extra peace of mind.
Regarding deductibles, if you choose a lower deductible, you would pay less out-of-pocket for any claims. If you can afford to pay a slightly higher deductible, you might save on your premium costs.
Ultimately, it may also be helpful to consult with an insurance agent or advisor who can provide personalized guidance based on your unique policy details and your financial situation.