Medical payments coverage, often referred to as MedPay, is a form of coverage that helps cover medical or funeral expenses if you or a loved one sustains an injury while riding in another vehicle.
While it may provide the same benefits as health insurance, it can also fill ant coverage gaps and cover your health plan copays and deductibles. In this read, we are going to take a look at how MedPay works, when it is needed, and how it differs from other forms of auto insurance coverage.
How Does MedPay on Car Insurance Work?
MedPay can help cover medical bills if you or your passengers sustain injury from an accident, regardless of the party at fault. This form of coverage can help cover a wide array of expenses, but this depends on your policy. Examples include:
- Doctor or hospital visits
- Health insurance plan copays and deductibles
- Ambulance fees
- X-rays
- Surgeries
- Dental care
- Prosthesis
- Nursing services and
- Funeral expenses
So, for instance, if you are in an auto accident where you hit another motorist, and everyone in your car sustains an injury, everyone will get medical attention.
Who Covers these Medical Expenses?
Your health insurance will cover some of the costs, while MedPay fills some of the gaps by helping cover the passenger’s expenses plus other medical expenses the health plan may not cover. Keep in mind that this is up to the coverage limit. You pick the coverage limit when purchasing the medical payments coverage, and any expenses beyond the limit will have to be paid out of pocket.
However, if you do not have MedPay, you will be liable for any medical expenses that the health insurance does not cover.
MedPay Vs. Bodily Liability Insurance
Both MedPay and bodily injury liability coverage both help pay for medical expenses, they cover varying parties. The former helps cover you and your passenger’s medical bills, while the latter helps cover the other motorist’s medical bills, given you are the one at fault for the accident.
Medical Payments Coverage and PIP- What’s the Difference?
PIP or personal injury protection is similar to MedPay, as it can help cover you or your passenger’s medical or funeral expenses after an accident, regardless of the party at fault. However, in some regions, PIP can also help cover come expenses that MedPay does not cover such as lost income and childcare expenses if you cannot work or look after your children as a result of the injuries sustained from the accident.
There is another key difference between medical payments coverage and PIP. The latter may be necessary or optional in regions that follow the no-fault principle, while the former is typically available in at-fault regions.
Conclusion
In a nutshell, MedPay can help cover for you or your passenger’s medical bills and funeral expenses after an auto accident, regardless of the party at fault. This form of coverage is generally optional but required in some regions.
When shopping for any form of insurance, it is advisable to gather and compare several quotes in order to make an informed decision. For assistance, do not hesitate to reach out!
