Personal injury protection is commonly abbreviated “PIP.”
What coverages do lenders require when financing or leasing?
In addition to the state requirements, drivers who finance or lease a vehicle are usually obligated by the lender to carry certain coverages. Lenders normally require comprehensive, collision and gap coverages. This is to make sure the lender can be repaid in full even if the vehicle used as collateral is totaled.
Is Massachusetts a no-fault or at-fault state for auto insurance?
Massachusetts is a no-fault state, which means that your own auto policy’s personal injury protection usually pays accident-caused injury costs for you, other drivers and passengers in your vehicle. Your policy generally pays regardless of whether you caused the accident or the other driver did.
Can insurance companies use credit scores when calculating premiums?
Massachusetts forbids insurance companies from using credit scores when calculating drivers’ premiums. The state was one of the first to pass laws prohibiting the practice, and remains one of the few states that prohibit this.