First Party Insurance

First party insurance is coverage that the injured person carries on their own policy and that pays for their own losses. After a personal injury, first party coverage includes the policyholder's own Personal Injury Protection (PIP) in no-fault states, Med-Pay coverage, uninsured and underinsured motorist coverage, health insurance, disability insurance, and homeowner's medical-payments coverage in premises cases.

First party insurance is contrasted with third party insurance, which is the at-fault party's liability coverage. First party pays the injured client directly under the client's own policy; third party pays the injured client after a liability determination against the at-fault party.

For personal injury practices, first party coverage is the first source of funds. PIP and Med-Pay pay treatment bills early. Health insurance covers ongoing care, subject to subrogation. Uninsured and underinsured motorist coverage steps in when the at-fault driver has insufficient liability limits.

Pharmacy liens become important when first party coverage exhausts or is unavailable. The client without PIP, without Med-Pay, and without affordable copays on health insurance still needs medications for the treatment plan. CreoRx fills that gap through the pharmacy lien against the eventual third party recovery, ensuring medication adherence at any of 67,000+ pharmacies.