Work loss coverage
What does work loss coverage do?
Work loss insurance coverage helps you, drivers listed on your policy, and your passengers recover lost wages if you are unable to work due to accident-related injuries.
Some forms of work loss insurance coverage can be used to raise the limits of lost income coverage you have under another portion of your policy (such as your PIP coverage).
Work loss insurance is sometimes also referred to as optional basic economic loss or OBEL.
Is work loss coverage mandatory?
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No. Work loss insurance coverage is optional. However, in some states it must be offered. For instance, New York requires insurers to offer OBEL to help elevate the basic economic loss coverage that is part of the required no-fault coverage.
What happens if I don’t have work loss coverage?
Unless you have lost wages covered under a different portion of your car insurance policy, without work loss insurance coverage you won’t be able to make a claim with your own insurer for income lost due to injuries sustained in an auto accident.
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