What is medical payments coverage?
An optional form of car insurance coverage in most states, medical payments coverage pays for medical bills — including emergency room visits, ambulance fees, doctor’s office visits, imaging, and chiropractic services — for the policyholder and their passengers. MedPay also covers funeral costs. Unless your MedPay coverage qualifies as secondary insurance, you can decide if it makes more sense for your MedPay or health insurance coverage to apply after an accident. MedPay coverage can also be used to cover the costs of health insurance copays or deductibles if you do need to use your health insurance.
It applies regardless of fault in an accident and covers the policyholder if they sustain injuries as a pedestrian or while riding in a friend’s car.
What MedPay covers
MedPay covers medical bills for you and your passengers without any required deductible or copayment. You can expect medical payments coverage to pay for the following common expenses up to the limits of your policy:
What MedPay doesn’t cover
Medical payments coverage does not help with any of the following expenses:
Injuries to another driver or their passengers in an accident you cause
Medical bills unrelated to an auto accident
Lost wages from time off work
Replacement services, such as child care
Learn More: What to Do After a Car Accident (7 Steps to Take)
Medical payments vs. personal injury protection
Personal injury protection, or PIP, coverage provides more robust coverage than medical payments insurance, though the two coverage types have similarities. Beyond paying for the medical bills incurred by you and your passengers after an accident, PIP also covers a portion of your lost wages and can help pay for essential services, like child care and housekeeping, that your injuries prevent you from adequately completing.
Many states require PIP coverage, while MedPay coverage is only mandatory in Maine and Pennsylvania. Additionally, while New Hampshire doesn’t require you to buy personal car insurance, if you choose to purchase it in New Hampshire, the state requires you to also purchase MedPay coverage.
The following states require drivers to purchase PIP coverage:
In some other states, insurance companies may be required to offer policyholders the option to purchase MedPay or PIP coverage, but policyholders can reject the coverage.
Read More: Personal Injury Protection Coverage (A Guide)