Do you need medical payments coverage on a car insurance policy?
MedPay is an optional car insurance coverage in most states where it's offered, so you probably aren't legally required to carry it. However, it may make sense for you if you're not sure you could afford to pay your medical bills after a car accident, let alone your passengers'. If you have health insurance, MedPay can also help cover your out-of-pocket costs, such as your deductible. If you don't have health insurance, you should definitely consider MedPay to give yourself peace of mind and potentially avoid the financial burden of major medical expenses.
Keep in mind that Med Pay isn't offered in every state, though it's available in most. States that don't offer MedPay typically have personal injury protection (PIP) coverage available instead. Learn more about the car insurance your state offers and requires.
In the event of a car accident, MedPay can help pay for medical expenses for you or your passengers, even if you're at fault.
What does MedPay cover?
If you're involved in an auto accident, medical payments coverage can take care of expenses such as:
- Doctor visits
- Hospital visits or stays
- Nursing services and care
- Ambulance and EMT fees
- Health insurance deductibles and co-pays
- Funeral expenses
- Surgery, X-rays, and dental procedures
How much medical payments coverage do I need?
MedPay limits typically range from $1,000 to $10,000, depending on the state and insurer. It's generally a good idea to carry coverage equal to your health insurance deductible, so you can use MedPay to cover your out-of-pocket medical expenses. If you don't have health insurance, you should consider carrying a higher MedPay limit to help pay your medical bills after an accident.
How do I get reimbursed for a medical payments coverage claim?
The first step is to work with your medical payments adjuster to ensure that you and/or your providers forward all necessary medical records and bills. You may also be required to sign a release form or provide proof of identification. The adjuster will review the paperwork received and either fully or partially reimburse the appropriate party, ask for additional information, or deny the claim.
What are the limits of medical payments coverage?
Your MedPay coverage limit is the maximum amount your insurer will pay per person per accident for a covered loss. These limits often get discussed when first enrolling, and multiple options are typically available. Selecting the right limit is important because any amount owed for medical bills over the coverage limit will be your responsibility to pay.
When choosing your coverage limit, consider the other health insurance plans you currently have. Many health insurance providers typically require you to pay a deductible or co-insurance payment up to 20% for emergency care. If you select medical payments coverage with a higher limit than your health insurance deductible, it can help cover your deductible and any remaining medical costs.
Does auto insurance cover medical expenses?
Auto liability insurance, which is required by law in most states, will cover the other driver's property or bodily injuries if you're found at fault in an accident. It can reduce some of the financial burdens resulting from an at-fault accident, but it generally won't cover medical expenses if you or your passengers are injured (liability coverage may cover your passengers' medical expenses in some states). But if you add medical payments coverage to your auto policy, you're generally covered for medical expenses resulting from an accident.