Medical coverage 101
Medical coverage insurance is also known as the medical payments coverage. This is a typical rider to your automotive insurance policy. Your auto insurance works to protect you from financial loss in various different situations but most of them fall short of providing coverage for the medical costs you will incur if injuries were sustained as a result of the accident. The medical payments coverage pays for a variety of incident- or accident-related costs arising out of a vehicular accident regardless of who was at fault.
Whether you are shopping for insurance for your new car or reviewing your options prior to renewing your existing car insurance, one should consider having medical payments coverage. This particular insurance product provides wide-ranging coverage over a number of vehicle accident scenarios, including an accident involving your own vehicle, an accident that might occur while you are riding in another person’s car, and even an accident where you are unfortunately hit by a car.
The medical payments coverage in an auto insurance policy also provides coverage for your passengers or anybody who is driving your insured vehicle when the accident took place. You may think that you do not need medical payments coverage riding on your car insurance policy if you are already covered by your employer’s health insurance. But the beauty of medical payments coverage is that it can cover the policy deductible of your employer-sponsored health plan, which means that you may not need to dig into your pockets should you figure in an accident that would necessitate your hospitalization or your medical rehabilitation. Plus your company provided health plan will not cover your vehicle passengers.
There are different levels to a medical payments coverage starting from $1,000 to as high as $100,000 or more. The premium for this particular insurance is one of the least expensive considering the type of coverage it provides. You will only need to add a few more dollars to your auto insurance and you will have this type of coverage.
The medical payments coverage cover a number of medical-related costs including, hospital confinement, doctor visits, surgery, tests such as x-rays, emergency medical teams and ambulance fees, prosthesis, professional nursing care and service, and funeral costs.
In terms of who is covered, you should remember that you get to choose the medical payment options of your policy. Your policy will generally cover medical costs whoever was discovered to be at fault. It will also cover all your passengers as well as the driver of your vehicle when the accident occurred. You can get medical payments coverage that will also pay for medical costs arising from an accident you or your loved ones become involved in while riding another person’s car.
Another form of automobile insurance coverage is the personal injury protection. It is also designed to pay for medical bills you incur if you figure in a vehicle accident. Every state has different rules and regulations pertaining to what may be or may not be covered by personal injury protection. This type of coverage can pay for funeral expenses, lost wages, child care and other costs related to injury, loss of work, and death resulting from a vehicular accident.
Another similar coverage to personal injury and medical payments is the uninsured or underinsured motorist coverage. This type of coverage provides protection if the other party has no coverage. While uninsured and underinsured are usually combined, they actually work differently. The uninsured coverage will pay for the cost of repairing the damage to your car and all the medical bills relating to the accident. In the case of the underinsured motorist coverage, the other party does have some coverage but is not enough to cover the costs you incurred. Your underinsured coverage will pay for the difference.
You can purchase medical payments coverage, personal injury protection coverage and uninsured or underinsured motorist coverage all at the same time. What you need to consider is your health insurance limits and out of pocket costs, if you do have a health insurance provided by your employer. If your health plan has a $2,000 deductible, your medical payments or personal injury protection coverage will cover this amount.