Medical Payments Coverage
Medical Payments Coverage
Often, when people consider the necessary car insurance coverage to buy, they worry most about the financial implications of damage to their vehicle. However, when you take a look at the bigger picture, it is easy to see that your health is far more important than your car.
To ensure you are covered for your medical expenses after an unfortunate accident, you can purchase medical payments coverage.
What Does Medical Payments Cover?
Medical payments coverage generally pays for medical costs after you are hurt in a car accident, regardless of who is found at fault for the accident.
Additionally, medical payments insurance may help pay for:
- Funeral expenses.
- Injuries sustained by your passengers.
- Injuries you sustain as a pedestrian or bicyclist after a car hits you.
- Necessary dental care as a result of a car accident.
Benefits and restrictions of medical payments coverage will differ amongst car insurance companies.
Make sure that when you are comparison-shopping for your car insurance, you speak with an insurance agent from the company to fully understand the details of their medical payments coverage.
Purchasing Medical Payments Coverage
While medical payments coverage is generally considered optional, your state may legally require it be written into your policy, though you may be able to reject it in writing.
Visit our Car Insurance Requirements section to find the minimum coverage requirements for your state.
As with any type of optional car insurance coverage, you should consider the following before you purchase medical payments coverage:
- Your current health insurance.
- Your personal injury protection coverage (if you have any).
- The cost of coverage.
Your Health Insurance
One of the biggest factors you should consider when looking into medical payments coverage is your health insurance.
If your health insurance provides excellent coverage for injuries you suffer in a car accident, you may have very little need for medical payments coverage.
However, if you find your health insurance does not cover these types of injuries, it can be a very good idea to buy medical payments coverage.
Medical Payments Coverage as Secondary Insurance
You may also have the ability to use medical payments coverage as secondary insurance to your health insurance. This means that if you are hurt in an accident, your health insurance will cover you up to its limits.
Once your health insurance limits are met, your medical payments coverage will cover you up the limits written in your car insurance policy.
Personal Injury Protection
Those living in no-fault states – states that require car insurance that covers injuries no matter who is at fault for a car accident – may notice that medical payments coverage closely resembles personal injury protection (PIP) coverage.
PIP coverage and medical payments coverage are similar in that they mainly cover injuries suffered in a car accident.
Note, however, that these coverage types do differ in the following ways:
- In most no-fault states, PIP is a required coverage and not an option.
- PIP is only available in no-fault states and a select few no-fault optional states.
- PIP offers payments for loss of income.
- Medical payments insurance does not offer this coverage.
In no-fault states, you might find that medical payments coverage is still offered as an optional coverage*. If you decide to buy this coverage, you can use it to supplement costs that exceed your personal injury protection limits.
Contact your car insurance agent to learn more about how medical payments coverage can work with your personal injury protection coverage.
* Some no-fault states do not allow car insurance companies to sell medical payments coverage.
The Cost of Coverage
When it comes to car insurance, several factors go into determining your premium rates, including your:
- Driving record.
- Claims history.
- Marital status.
With all factors considered, medical payments coverage is generally one of the least expensive types of car insurance coverage.
Know Your Car Insurance Policy
No car insurance company is the same, and neither are car insurance policies. Study your car insurance policy and speak with your car insurance agent to know exactly what your auto insurance covers.