Posted in: by Anderson Injury Lawyers

Auto insurance coverage is designed to protect you in the event of a collision. However, you may find yourself lacking adequate coverage for your damages if you do not purchase the correct amount of protection.

There are many forms of additional insurance coverage that may come in handy after an accident. One of those is Med-Pay. However, there is a lot to consider before you purchase this coverage. Depending on your situation, other options may be more suited for you following a car accident in Texas.

What is Medical Payment Coverage (Med-Pay)?

Med-Pay is optional auto insurance coverage that pays for your medical bills if you get into a car wreck. It doesn’t matter whether you caused the wreck or another driver did – Med-Pay will cover you.

Med-Pay is different than typical health insurance because it doesn’t come with the “red tape,” meaning it doesn’t involve things like deductibles. It also doesn’t restrict the network of doctors you’re allowed to visit.

What Does Med-Pay Cover?

Med-Pay will cover your fees from any licensed doctor, ambulance, or hospital. Med-Pay’s only coverage restrictions deal with how much coverage you buy. Policies range from $1,000 to upwards of $100,000.

What to Consider Before Buying Med-Pay

If you’re considering purchasing Med-Pay, you should know that some policies sneak in a condition that will force you to pay them back after you use them. Make sure you’re getting a no-deductible, non-reimbursable policy.

When Your Attorney Can Handle Med-Pay

When an attorney is handling Med-Pay for a client, they can submit it anytime the client has bills. Having your attorney handle your Med-Pay is beneficial because you could keep some of the Med-Pay proceeds (instead of an adjuster sending it directly to the doctor or hospital). However, not all attorneys handle their clients’ Med-Pay for them. If you have questions about who’s in charge of your Med-Pay, talk to your attorney.

Med-Pay vs. Personal Injury Protection Coverage (PIP)

Med-Pay coverage and PIP are both entirely optional in Texas. Personal Injury Protection coverage and Med-Pay are very similar, but they are also very different in several crucial areas.

What’s the Difference in Coverage?

PIP will cover you for your accident-related medical expenses and lost income due to your inability to work. On the other hand, Med-Pay only covers the cost of your medical expenses.

Med-Pay Has a Right of Subrogation

The other significant difference between PIP and Med-Pay is that Med-Pay creates a right of subrogation for your insurance provider, whereas PIP does not. Subrogation means that if you recover compensation from the at-fault party’s insurance policy, then your insurance provider can make you pay back the money they already paid you from your Med-Pay coverage.

Is Med-Pay Worth It?

With the pros and cons associated with Med-Pay, it may be more worth it to go with PIP instead. The cost of purchasing Med-Pay and PIP is virtually identical, and PIP offers you more coverage. PIP ensures that both your medical expenses and any lost wages are covered, whereas Med-Pay only covers your medical expenses. Furthermore, Med-Pay acts more like a loan while your case settles.

Get Help From a Personal Injury Attorney Today

If you have questions or concerns regarding your car accident insurance settlement, make sure you have a dedicated legal advocate on your side.

Call Anderson Injury Lawyers for a free, no-obligation consultation today. Fill out our quick contact form or call our office at (817) 294-1900 to get started on your case.