Depending on the severity of the injuries suffered in an automobile accident, it’s not uncommon for health care costs to run into the thousands of dollars. This is where Nationwide’s medical payments coverage (also known as “med pay”) can really make a difference.
Read on to get a full medical payments coverage definition and real-life examples of how it works.
Medical payments coverage protects you and your passengers
This coverage helps pay medical costs for you and your passengers in the event of a covered auto accident. This may include hospital and ambulance bills, as well as doctor visits and other necessary medical treatments.
Here’s how it works: If you have a covered accident while a friend is riding in your car and his arm is broken, your medical payments coverage may reimburse him for his medical expenses subject to your policy coverage limits.
Medical payments coverage complements your personal health insurance
This insurance may bridge the gap by paying for services that your health insurance doesn’t cover, such as dental work, specialized nursing care and chiropractic services related to a covered accident subject to your policy coverage limits. Be sure to review your current health care coverage to determine if medical payments coverage is right for you.
Medical payment insurance is mandatory in some states
If you live in one of the 12 no-fault accident states, you must carry medical payments coverage or personal injury protection (PIP). PIP is a more in-depth plan that also covers lost wages, rehabilitation services, funeral costs and services, such as childcare, that you may be unable to perform due to your injuries, arising from a covered accident.
PIP and medical payments coverage are both set up to pay for your immediate or short-term medical needs, so they’re considered the primary coverage – before your health insurance kicks in.
It may cover more than the driver and passengers
Some medical payments insurance extends beyond the driver and passengers. For instance, an insured person may also receive auto insurance medical payments for injuries sustained while driving or riding in another person’s vehicle. A person may be covered as a pedestrian if hit by a car while walking.
PIP vs. medical payments coverage
While it doesn’t usually make sense to have both, keep in mind that PIP covers more expenses than medical payment insurance, but it carries a deductible. On the other hand, medical payments could be the better choice in situations that involve passengers, since they would still be considered covered if the accident was a covered incident.