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An Overview of MedPay Coverage as Part of Auto Insurance

Admin • Aug 20, 2021

Motorcycle Accident — Chicago, IL — Clover Insurance Agency

If you suffer injuries in a car accident, medical payment (MedPay) coverage will cover you and your passengers' medical bills. This coverage is hugely helpful, but many drivers do not understand its details. Below are some things you should know about MedPay coverage.

The Coverage Is Optional

MedPay coverage is optional. However, many people agree that the coverage is one of the most critical you should add to your auto insurance coverage. The faster you get medical care after an accident, the better your medical recovery will be. MedPay coverage helps you get fast medical care since you don't have to look for funds for your medical bills.

The Coverage Applies to Multiple Expenses

MedPay coverage applies to multiple expenses related to your medical treatment. For example, you can use MedPay to pay for:

Your rehabilitation costs, such as physical therapy expenses
Extended nursing services if your recovery takes a long time
Prosthetic limbs if you have to amputate a leg after the crash
The ambulance that took you to the emergency room after the crash
Your deductibles or co-pay if you have other forms of medical cover

Thus, MedPay can be a huge relief to your post-accident recovery efforts from start to finish.

The Coverage Is Affordable

As beneficial as MedPay coverage is, it's relatively affordable. MedPay coverage rates vary by carrier, coverage limit, and other auto insurance-related factors. However, many insurance companies charge less than $50 a month for a large amount of coverage. Talk with your insurance agency to learn more about prices.

The Coverage Follows You

MedPay coverage follows that driver. That is, the policy doesn't care which car causes your injury. For example, the coverage will pay for your medical payments:

If you get injured as a driver in any car
If you get injured as a pedestrian by any car
If you suffer injures as a passenger in any car

What matters is that your injuries stem from an auto accident.

The Coverage Doesn't Have Deductibles or Copayments

Most forms of medical insurance require you to pay a percentage of your medical bills before settling your claim. The rationale for deductibles or copayments is to lower insurance costs and encourage insurance clients to be more careful.

As with most things, copayments and deductibles have pros and cons. One con is that you might not get the help you need if you don't have an emergency cash reserve. Fortunately, MedPay coverage doesn't have a deductible or copayment. The coverage will pay your entire medical bills — up to the applicable limit.

The Coverage May Overlap With Others

MedPay isn't the only insurance that pays medical bills after an injury. As such, the coverage may overlap with other forms of insurance you may have. For example, MedPay may overlap with personal injury protection (PIP) and health insurance. In such a case, the respective policies' terms and conditions determine which insurance plan settles your medical bills first.

The Settlement Format Varies

Insurance companies and medical providers have different ways of settling bills where MedPay is involved. In some cases, you need to pay your bills first, after which the insurance reimburses you. In others, the insurance company will pay your medical provider directly.

Understand the billing format to avoid complications with your treatment or claims settlement. Whatever you do, keep your medical bills and treatment records as evidence.

Review your MedPay coverage to determine its adequacy now that you know how valuable it is. Consider buying the coverage if you don't have one in place already. Contact Clover Insurance Agency for all your auto insurance needs. With over 40 years of experience in the insurance industry, you can trust us to evaluate your insurance and help you fill any coverage gaps you might have.

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