Insurance for Injured Passengers and People Without Their Own Auto Policy
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The general concept
A passenger does not need to own a car or carry a separate auto policy to have possible insurance sources after a crash. Coverage may come from a policy on the vehicle the passenger occupied, a policy covering another responsible driver or vehicle owner, an auto policy under which the passenger qualifies as an insured, health coverage, or—in a work-related crash—workers’ compensation. Which sources apply depends on the crash date, the people and vehicles involved, the policy language, and any exclusions or coverage elections.
The at-fault driver’s liability coverage
If a driver or another legally responsible person caused the crash, that person’s bodily-injury liability policy may pay a passenger’s damages, subject to coverage, proof of fault, policy limits, and claims by others injured in the same event. The vehicle owner, an employer, a commercial carrier, or a transportation network company may have separate or additional coverage in some circumstances. A passenger’s right to claim does not establish that another person was negligent or that every potentially responsible party is insured.
“Personal injury protection” and medical payments
Maryland PIP may be available to a passenger under the policy covering the vehicle the passenger occupied. The statute also identifies other people who may qualify, including the named insured and resident family members and, in specified circumstances, people using an insured vehicle with permission. PIP can pay covered benefits without deciding fault, but the policy may have a permitted waiver or rejection, limits, coordination terms, or exclusions. The statutory minimum package is generally up to $2,500 for specified medical expenses, 85% of qualifying lost income, and certain essential household services, subject to statutory terms. Medical payments coverage, or MedPay, is optional and pays only as the contract provides.
Uninsured and “underinsured motorist” coverage
If the responsible driver is uninsured, unidentified, or has insufficient liability coverage, UM or UIM coverage may be relevant. Potential policies to check include the policy on the occupied vehicle and any policy under which the passenger may qualify as a named insured, resident family member, or other insured under the statute and contract. A passenger’s lack of a personal auto policy does not by itself answer whether another policy covers the passenger; nor does riding in a vehicle automatically establish coverage under every UM/UIM policy. Maryland’s UM and enhanced UIM rules, policy elections, definitions, limits, exclusions, and the accident date all matter. Maryland also has statutory settlement procedures for liability-limit offers when applicable UM/UIM coverage may remain at issue, so notice and consent requirements should be checked before accepting or releasing a claim.
Health coverage and other potential benefits
Health insurance may help pay medical bills, subject to its plan terms, coordination rules, and any applicable reimbursement or lien rights. If the passenger was working at the time, workers’ compensation may also be available. These payments do not decide who caused the crash and do not replace the need to identify liability, PIP, and UM/UIM policies. Questions about repayment from a later recovery are separate from whether a policy or benefit initially pays.
What to identify promptly
Collect the crash report and identify every involved driver, vehicle owner, employer, rental company, rideshare or delivery status, and insurer. Ask for the declarations pages and relevant endorsements for the occupied vehicle and the passenger’s household policies; confirm PIP elections, MedPay, UM/UIM, limits, exclusions, and policy dates. Preserve claim notices and communications. Before accepting a liability-limit settlement or signing a release, check whether another insurer must receive notice or give consent to protect a potential UM/UIM claim.
Related Maryland Cases and Authorities
Md. Code, Insurance §§ 19-505, 19-506, 19-506.1, 19-509, 19-509.1, 19-511, and 19-511.1; Maryland Insurance Administration, A Consumer Guide to Auto Insurance and consumer guidance on uninsured and underinsured motorist coverage.