How to Handle a Personal Injury Protection (PIP) Claim in Minnesota

In 2024, over 17,000 car accidents across Minnesota resulted in injuries. Thanks to our state’s no-fault system, many injured motorists can file claims for compensation via NO-Fault Personal Injury Protection or PIP policies – regardless of whether they caused their own accident.

If you’ve been injured in a traffic collision in the state of Minnesota, it’s important to understand what a PIP claim can and cannot do in terms of providing you with compensation. Here is a brief overview of how PIP claims work in our state and an explanation of when it might be necessary to pursue other avenues for compensation after a crash.

What is PIP insurance?

Personal Injury Protection (PIP) coverage is a type of insurance coverage motorists can use to cover certain accident-related medical expenses. In Minnesota, drivers are required to carry at least $40,000 of PIP insurance per accident – half of which is meant for medical expenses and the other half for non-medical expenses like lost wages.

Mandatory PIP coverage is the secret ingredient that makes Minnesota’s no-fault approach to certain accident-related medical expenses work. Under this system, motorists involved in a traffic accident can file claims for injury-related expenses via their PIP policies, regardless of whether or not they were to blame for the crash. Many people without their own PIP policies are still entitled to PIP coverage. This coverage helps to ensure that all crash victims have access to the medical care and related resources they need to focus on their recovery immediately after an accident.

What does PIP insurance cover?

In Minnesota and across the country, PIP insurance typically covers a specific set of injury-related expenses. Under most policies, you can expect your PIP coverage to apply to:

• Accident-related medical expenses deemed “reasonable”
• Lost wages in the event that your injury prevents you from working
• Household services like childcare and house cleaning if your injury prevents you from performing these duties yourself
• Disability and rehab costs

In the event of a fatal accident, PIP coverage may provide economic loss benefits to next-of-kin. These benefits are intended to help family members cover funeral expenses, medical bills, household services, lost support and other related costs.

Remember that PIP is a form of no-fault coverage, so you don’t need to prove that someone else caused your accident in order to claim these benefits. Even if you think another driver was at-fault for the crash, your PIP coverage can still serve as the first line of defense to help you meet your care-related needs immediately after your crash.

Filing a PIP claim

Some PIP claims take shape quickly after an accident, and many survivors start the process while still receiving medical care. Because PIP claims aren’t dependent on determinations of fault, the process can move fairly swiftly as long as all filing requirements and deadlines are met.

To file a PIP claim, you likely need to provide your insurance company with:

• Prompt notice of the accident
• Copies of any medical records and/or medical bills related to your injuries
• Employment records that highlight missed shifts and provide wage verification
• Completed copies of the insurer’s PIP application forms

The more complete your application is, the more quickly your claim can proceed. When policyholders encounter delays during the PIP claim process, many of them find that the hold-up is related to incomplete or inaccurate documentation rather than outright ineligibility.

To help streamline the application process, it’s wise to keep copies of anything and everything connected to your accident-related injuries. Gathering these items upfront can prevent you from scrambling to track them down further in the process and ensure you have the foundations of a strong application from the get-go.

How long do I have to file a claim?

Under Minnesota law, insurers are allowed to implement a six-month notification deadline in PIP claims. If your policy includes this requirement, you must inform your insurer of your accident within six months if you’d like to claim PIP benefits. Not all policies employ this requirement, which is why it’s important to familiarize yourself with all the nuances of your specific coverage guidelines. Keep in mind that a six-month notification deadline doesn’t mean you have to complete your claim within six months – it just means you need to inform your insurer within that window of time or you’ll risk losing your ability to recover compensation. Still, even when a Minnesota no-fault policy may require notice within six months, late notice does not automatically eliminate benefits unless the insurer can show actual prejudice.

More broadly speaking, victims of personal injury accidents generally have six years to file a claim for compensation under Minnesota law, though some crash-related claims (such as wrongful death) have shorter time limits. Since this statute of limitations may conflict with the stipulations of a PIP policy, accidents reported outside of an insurance policy’s notification window may need to be addressed via alternative means.

Insurer medical exam

If the PIP insurance company does not like paying your bills, they may request what they call an “Independent Medical Exam.” These are usually really “Adverse” exams because the insurers tend to pick very conservative doctors that don’t prefer the type of treatment you are getting. Although you are obligated to cooperate with your PIP insurer, there are limitations on when, where and how they can set these exams.

If your adverse exam results in your benefits being stopped or reduced, a personal injury lawyer can fight this in a simple arbitration or a lawsuit.

Legal options beyond the no-fault system

PIP coverage provides a decent safety net for many Minnesota drivers, but these policies are not all-inclusive and may leave gaps that accident victims must figure out how to fill. For example, if a victim suffers catastrophic injuries in a car accident, the total cost of their medical expenses may far exceed the limits set forth in their PIP policy.

When this happens, Minnesota drivers may be within their rights to take legal action against an at-fault driver, as long as (A) the sum of the victim’s reasonable medical expenses exceeds $4,000 or (B) the victim’s injuries resulted in permanent disfigurement, permanent injury, disability lasting at least 60 days or death.

If a claimant meets any of these criteria, they may file a claim against the other driver involved in their crash. At this point, however, the plaintiff would need to prove negligence on the part of the alleged at-fault driver. If an injured victim can draw a direct line between their injuries and the other party’s negligence, the injured party may make a claim.

How a car accident lawyer can help

If PIP coverage fails to adequately meet an accident victim’s recovery needs, they may want to consider filing a claim for additional compensation. As we noted above, personal injury claims in Minnesota hinge on determinations of fault when seeking additional damages outside of the no-fault system. What’s more, our state follows a modified comparative fault system, which means each driver’s level of fault will be assessed as part of a car accident claim.

If you are found to have been more at fault than the other party involved in your crash, you will likely be barred from recovering any compensation beyond PIP. Conversely, if your level of fault is lower than the other party, you may still be able to recover compensation – though your final damage award will be reduced by a percentage equal to your assessed level of fault.

An experienced car accident lawyer can help you make an informed decision about whether or not to pursue a claim against the other driver involved in your accident and can help defend you against erroneous claims of shared fault, should it come to that. Car accident lawyers can also help their clients negotiate with insurance companies to maximize their recovery options throughout the PIP claims process and beyond.

Final thoughts

PIP insurance can help accident survivors access the quick, reliable support they need to move on immediately following an accident, but sometimes this coverage alone is not enough. Injured victims can maximize the value of their PIP coverage by familiarizing themselves with their policy’s requirements, staying on top of application and reporting deadlines and carefully documenting all of their care-related expenses. But if this approach falls short of meeting a survivor’s needs after a catastrophic injury, a personal injury attorney may be able to help fill in the gaps.

At Bradshaw & Bryant, we understand the complex nature of Minnesota’s no-fault and comparative fault systems, and we are committed to helping our clients identify the best possible path forward based on the facts of their unique case. When PIP falls short, supportive legal guidance can help accident victims pursue the full value of the damages they are owed so they can get back to focusing on their recovery.

If you or someone you love was injured in a car accident and you have questions about whether you should pursue alternative avenues for compensation, give us a call today or fill out our online contact form to schedule a free consultation and learn what options might make the most sense in your case.