After a car accident in Maryland, you may hear a lot about "no-fault insurance," but figuring out how it really works can be frustrating—especially when medical bills are stacking up and you're unsure who is responsible for payment. Maryland's insurance laws are unique, and understanding them can make all the difference in getting your medical expenses and lost wages covered quickly. At Wilson & Parlett, we want you to feel informed and confident as you navigate Maryland no-fault insurance. Our team draws on years of experience to help clients in Prince George’s County and throughout the region understand their rights, responsibilities, and the steps that lead to the strongest outcome after a crash.
What Does No-Fault Insurance Really Mean For Maryland Drivers?
The term "no-fault insurance" is often misunderstood in Maryland. Many people assume it means all accident expenses are automatically paid by your insurer without question. In reality, Maryland has a hybrid system: your own insurance—specifically, Personal Injury Protection (PIP)—covers certain medical bills and lost wages up to your chosen policy limits, regardless of fault. However, for injuries or damages that exceed your PIP, Maryland remains a fault-based state, giving you the right to pursue additional compensation from the at-fault party. This approach provides a safety net but demands careful attention if your losses are substantial.
Maryland’s approach stands out from neighboring states. For example, while some states prohibit lawsuits for minor injuries, Maryland allows drivers and passengers to seek additional damages if their case meets certain requirements. This means you are not restricted only to what your own insurance covers—you can take further action when appropriate. This flexibility is particularly valuable in areas with high traffic and accident rates, such as Prince George’s County, where more significant crashes are not uncommon.
At Wilson & Parlett, we prioritize ensuring clients know how and when they can use no-fault insurance benefits and when it’s time to look beyond your own policy. Knowing the difference allows you to get medical care right away and avoid financial hardships that often follow unexpected accidents.
How Does Personal Injury Protection (PIP) Work In Maryland Auto Policies?
Personal Injury Protection (PIP) is central to Maryland’s no-fault insurance structure. Maryland requires auto insurers to offer at least $2,500 in PIP, although many policyholders choose higher limits for greater peace of mind. Coverage applies to the policyholder, household family members, authorized drivers, vehicle passengers, and even pedestrians injured by the insured vehicle—no matter who caused the accident. However, it is possible to opt out of PIP by signing a written waiver, but more on that in a moment.
PIP addresses a wide range of expenses following an auto accident. With PIP, you can typically receive payment for reasonable medical costs, 85% of lost wages, and up to $2,500 for essential household services you cannot perform due to your injuries. Covered services may include help with childcare or household tasks while you recover. It is important to review your policy or call your insurer to confirm your exact coverage limits and potential exclusions, as PIP does not apply in every circumstance—some commercial uses and non-resident pedestrians, for example, are excluded.
A key advantage of PIP is speed: payment does not depend on proving fault, so you can receive funds for necessary treatment and wage loss quickly. Because of this, we at Wilson & Parlett work with our clients to help file and substantiate PIP claims as soon as possible, making sure no bills go unpaid or lost income goes unaccounted for after an accident.
When & How Can You Use PIP Coverage After An Accident?
Accessing your PIP coverage after a car accident is an essential first step for most Maryland drivers. To begin, you must notify your own insurer promptly after the accident and request the appropriate forms. It’s crucial to provide comprehensive documentation, including a completed claim form, all related medical records, receipts for treatments and prescriptions, and employment verification for any lost wages. Detailed records speed up the process and help prevent unnecessary denials.
PIP acts as your primary insurance for accident-related injuries. After the PIP limits are reached, your health insurance may step in to cover additional medical expenses, subject to co-pays and deductibles. Timely action is vital as Maryland law generally allows three years from the date of an accident to submit a PIP claim, but submitting early can reduce claim processing delays. Keeping a detailed log of all treatments, missed workdays, and out-of-pocket payments makes your claim much easier to validate.
At Wilson & Parlett, we guide clients through every stage of PIP claims, from claim initiation to resolving delays or denials. Our firsthand experience means we know how Maryland insurers process these claims and what types of evidence are most persuasive, reducing stress for you and your family. We encourage clients to contact us immediately after an accident to ensure every eligible benefit is recovered and no crucial deadlines are missed.
Can You Opt Out Of PIP Coverage In Maryland?
Maryland law permits auto policyholders to opt out of PIP coverage, but this decision should be made very carefully. To decline PIP, you must sign a written waiver—usually presented at the time of purchase or policy renewal. This decision only affects the individual(s) who sign the waiver, so any minor or non-waiving household member will remain covered. The opt-out process is handled by your insurance carrier and is official as soon as the signed waiver is accepted and filed.
Some people are drawn to opt out because it can lower insurance premiums. However, the savings are fairly modest for most drivers, while the potential drawbacks are significant. If you waive PIP and are injured in a crash, you lose the ability to recover immediate reimbursement for medical bills and lost wages through your insurer. Instead, you may face the prospect of paying out-of-pocket and waiting for the at-fault driver’s insurer or your health insurance to cover expenses, which often involves longer processing times and more disputes.
Opting out is particularly risky for self-employed individuals or anyone without substantial health coverage, as you could be left substantially exposed after a serious crash. We always advise discussing your household's circumstances with professionals before making a decision about waiving PIP. At Wilson & Parlett, we take a personalized approach, talking through potential outcomes and ensuring every adult in your household understands the costs and risks associated with opting out of this important protection.
What Limitations & Exceptions Apply To No-Fault Insurance In Maryland?
Maryland no-fault insurance, through PIP coverage, has essential limitations and exclusions that every driver should know. Your policy limit—most commonly $2,500, unless you purchase higher coverage—is the cap for PIP benefits. Expenses beyond this limit will need to be submitted to your health insurance, or later claimed from the at-fault party if eligibility is met. Understanding your policy’s specific limit, and what it does and does not cover, is critical to avoid out-of-pocket expenses following an accident.
There are also significant exceptions. PIP does not provide benefits for injuries from certain commercial or business activities, intentional self-harm, or illegal acts such as DUI-related collisions. Additionally, not all people involved in an accident are eligible—non-resident pedestrians, those injured while committing a felony, and passengers in some types of commercial vehicles may not be covered. Children and household residents who have not signed a waiver are still eligible for PIP, but it’s vital to check the fine print for any exclusions that apply to your specific case.
For people injured as out-of-state drivers or in cross-border accidents, eligibility can become complex. For instance, your Maryland PIP may not cover you for injuries sustained outside the state, and visitors to Maryland may have varying rights under local laws. Our legal team at Wilson & Parlett routinely reviews policy details and eligibility for clients to help clear up confusion and make sure unexpected gaps in coverage don’t create new difficulties after an accident.
Can You Sue For Additional Damages Beyond PIP In Maryland?
Maryland’s no-fault system does not eliminate your right to pursue additional compensation from a responsible driver. Once you’ve used all your PIP benefits, or if your injuries are categorized as serious under Maryland law, you can bring a claim against the at-fault driver for bodily injury damages not covered by PIP. This is crucial for accident victims facing significant medical expenses, long-term care, lost earning capacity, or pain and suffering that far exceed what PIP offers.
Lawsuits for additional damages are possible when the costs clearly surpass your PIP coverage or when your injuries meet specific thresholds, such as permanent impairment or substantial disfigurement. In these situations, collecting and organizing comprehensive documentation—like medical records, ongoing care estimates, and evidence of lost earnings—makes your additional claims stronger. We’ve guided many clients through these next steps when PIP limits are simply not enough for the true scope of their losses.
At Wilson & Parlett, we support clients in navigating both the insurance process and fault-based legal actions, building the most robust claim possible. We know Maryland’s standards, how courts interpret injury severity, and the necessary evidence to move claims forward, whether through an insurance settlement or litigation. Our focus is on helping clients secure resources to cover both their immediate and long-term recovery needs.
How Does Maryland’s No-Fault System Affect Fault-Based Claims & Contributory Negligence?
Although Maryland includes a no-fault insurance option, fault remains a central factor in many cases. Maryland follows strict contributory negligence rules, meaning that if you are found even slightly at fault (as little as 1%) for the accident, you might be completely barred from recovering damages beyond your PIP coverage. This can have a drastic impact on cases that hinge on disputed facts or unclear liability, setting Maryland apart from other states that use comparative negligence or other systems.
When pursuing damages outside the PIP system, it's critical to prove that the other party was entirely at fault. This can require substantial evidence, such as police reports, accident reconstructions, eyewitness statements, and medical documentation. Our attorneys at Wilson & Parlett have extensive experience preparing comprehensive claims that address Maryland’s demanding legal standards, so our clients are well-positioned in even the most complex scenarios.
Understanding your available coverages is also important. PIP coverage pays before other sources, but additional policies—such as uninsured or underinsured motorist coverage and collision insurance—may apply once your PIP is exhausted. These policies may step in when the other driver lacks adequate insurance or when damages exceed what PIP covers. Our team assists clients in understanding and coordinating benefits to optimize financial recovery and reduce the risk of unpaid losses after a serious accident.
What Steps Should You Take If Your PIP Claim Is Delayed Or Denied?
If your PIP claim is delayed or denied, taking swift action is critical to safeguard your rights. The first step is to request a written explanation from your insurer. Maryland law requires insurance companies to provide specific reasons for denying benefits or delaying payment. Reviewing their reasons helps identify what information or documentation might be missing or in question.
Carefully gather, organize, and submit all the related records your insurer requests. This may include:
- Medical bills, doctor’s reports, and prescription receipts related to accident injuries
- Employer attestations and timesheets for proof of lost wages
- Accurate accident descriptions, including police reports and photographs
Appealing a denial may simply require clarifying medical necessity, correcting errors, or providing additional information from your healthcare provider or employer.
If your insurer still refuses to pay, you may file a formal complaint with the Maryland Insurance Administration or consult a legal team that works with PIP disputes. At Wilson & Parlett, we handle communications, appeals, and, if necessary, litigation on a contingency basis—protecting you from financial risk while our team works to resolve complex PIP cases and speed up overdue payments. This brings peace of mind to accident victims and their families during a stressful recovery.
How Does No-Fault Insurance Impact Premiums For Maryland Drivers?
PIP coverage affects your insurance premiums in Maryland, but the effects may not always be dramatic. The standard $2,500 PIP adds a small amount to your premium because the insurer is providing extra coverage for medical bills and lost wages. Drivers who select higher PIP limits may pay more, but the benefit of quicker and broader protection often outweighs the modest jump in cost, especially in locations where medical costs and accident risks are high, such as Prince George’s County.
Waiving PIP coverage does reduce premiums slightly, though the savings are generally limited. Some insurers offer "limited PIP," which excludes certain adult household members but keeps coverage for children or others; this option may shave premiums a bit more, but also complicates who is actually protected. It’s important to understand the policy details before making this choice—missing coverage for even one member of your household can have serious financial consequences after a crash.
When choosing or adjusting your insurance, we recommend looking at the value of comprehensive coverage rather than focusing strictly on the cheapest premium. Many drivers underestimate the real cost of recovery from an accident. Having robust PIP and related coverage in place means financial stability for you and your loved ones, should the worst happen. At Wilson & Parlett, we regularly help clients review policies and walk through every premium versus benefit scenario with their long-term interests in mind.
Common Myths & Misunderstandings About No-Fault Insurance In Maryland
Misinformation about Maryland no-fault insurance can cause drivers to make poor decisions—sometimes with expensive results. A widespread myth is that PIP will pay all your accident costs, but in practice, most policies have low limits that are quickly reached in moderate to severe crashes. Another misconception is that accepting PIP coverage disqualifies you from suing the at-fault driver. In truth, Maryland law explicitly allows for further legal action when the circumstances meet certain criteria.
Drivers sometimes skip PIP claims and go straight to their health insurance, missing out on the immediate, no-deductible benefits PIP provides. Remember, PIP pays first in Maryland, so taking advantage of this benefit can save you substantial out-of-pocket costs before your health insurance kicks in. Additionally, many consumers believe that opting out is automatic or that it covers the entire household. In reality, each adult in a household must waive PIP separately, and children or non-waiving residents are still protected under the policy.
Contributory negligence adds another layer of confusion. Many people fail to understand that even a minor share of fault could bar recovery of any damages outside PIP. Education on these legal nuances, as well as personal review of your policy, can protect you from surprises after an accident. At Wilson & Parlett, we help clients debunk myths and make informed decisions that reflect their real-world risks and needs.
What Should You Do After A Car Accident In Prince George’s County To Protect Your Rights?
The steps you take right after an accident in Prince George’s County—or anywhere in Maryland—can make a significant difference in your financial and physical recovery. Safety comes first: check for injuries, move to a safe location, and call emergency responders. Always file a police report, even for seemingly minor crashes, as this record supports both insurance and legal claims down the road.
After securing medical care, promptly contact your insurer to start your PIP claim. Gather and save evidence, including these items:
- Photos of vehicle damage & the accident scene
- Copies of the police report and all medical documents
- Receipts for expenses and proof of lost wages from your employer
- Contact information for witnesses and the other driver(s)
File all paperwork quickly and keep records organized to ensure no benefit is overlooked or denied due to missing documentation.
Finally, do not sign any release forms or accept quick settlement offers before you understand all your rights under Maryland no-fault insurance. Many claims are undervalued or prematurely closed when policyholders don’t know what they’re legally entitled to. At Wilson & Parlett, our team answers questions honestly and ensures you have the information—and advocacy—needed to move forward confidently after any Maryland auto accident. If you have questions or concerns, reaching out can help you clarify your next steps and give you peace of mind during a challenging time.