RE: What is Personal Injury Protection
This is part of your auto insurance. And because laws vary from state to state, we would have to look to whatever state you are referring to before we can fully answer the question.
Some states (maybe about 20) are “No-Fault” states, and the other states are “med-pay” states.
Med-pay, or medical payments coverage would be part of your auto policy, and it covers the medical expenses for you and your passengers in case of accident, but only up to a certain limit, like $1,000 or $5,000, for example.
No-Fault coverage is the alternative to med-pay. This is also called Personal Injury Protection (PIP). And it pays medical expenses to you and your passengers in the event of an auto accident. And the coverage is limited as well.
Minnesota is a No-Fault PIP state. So auto insurance must include this PIP coverage. In Minnesota, this means $20,000 available for medical and another $20,000 available for wage loss. This also covers your passengers, but only if they do not have their own PIP coverage. Otherwise they would contact their own auto insurance carrier. And if you are a pedestrian and get hit by a car, your PIP coverage would apply as well.
Med-pay is usually subrogatable, but PIP is not subject to subrogation, but there are several exceptions, and it depends on what state and circumstances. In Minnesota, we can subrogate PIP if the tort feasor was operating a commercial vehicle weighing over 10,000 pounds.