Everything you need to know about insurance basics, like coverage types, limits, cost and more.
Bodily Injury Insurance vs. Medical Payments Insurance
When an accident happens on the road, American Family Insurance is dedicated to helping you handle the financial stress of the outcome. Before the unexpected occurs, though, you can proactively protect your finances with bodily injury and medical payments insurance. Here’s how these coverages differ and why they’re both valuable to drivers.
How Does Bodily Injury Liability Insurance Differ From Medical Payment Insurance?
While bodily injury liability and medical payment insurance are separate from one another, they’re both major financial safety nets for drivers. The difference lies in the who is at fault for the accident and who is protected by the insurance.
Bodily injury liability insurance. This protection covers the driver(s) and passengers of other vehicles involved in an accident, as well as any other pedestrians or bystanders injured in the accident when you are responsible. Your passengers are covered as well, except in certain states where resident family member passengers are excluded.
Medical payment insurance. This is also known as auto insurance medical coverage, and it covers you, your family members and passengers of your vehicle at the time of the accident regardless of who is at fault.
Bodily Injury Liability Insurance
When you’re in a car accident and deemed responsible, your bodily injury insurance can help protect you. Here are the types of things bodily injury insurance can cover:
Medical expenses for others involved. Your insurance will help cover things like emergency medical care, hospital bills, follow-up doctor or hospital visits and medical equipment costs, such as the cost of wheelchairs, crutches or braces.
Physical pain. If any of the injured persons have long-lasting physical pain, this coverage may help compensate them.
Lost wages. If the injured person can’t work due to injuries sustained in the accident, your coverage could help cover their lost wages.
Legal fees. If a lawsuit related to the accident is filed by the injured party, your bodily injury liability insurance can help cover your legal fees.
Funeral costs. If the accident is fatal, your bodily injury liability coverage can help cover funeral costs.
Bodily injury liability coverage can save you from some major financial headaches in the event of the unexpected — ask your American Family agent about adding it to your policy and getting even more peace of mind.
Medical Payment Coverage
If you’re in a car accident, medical payment insurance can help cover you, your family members and other passengers in the vehicle no matter who is at fault. And if you’re hit while you’re walking or riding your bike, you’re covered, too.
Here are the scenarios where medical payment insurance has you covered:
You or a family member are driving and passengers are injured. Regardless of who is at fault for the accident, everyone in your or your family member’s vehicle is covered.
You’re struck by a car while you’re out walking, running or biking. If you’re the victim of an accident when you’re not in a vehicle, medical payment insurance has you covered.
If you’re a passenger in your friend’s car and you’re hurt in an accident. No matter if your friend or the other driver is at fault, you can have peace of mind that your coverage has your back.
If the accident is fatal. If the worst case scenario happens, medical payment coverage can help cover funeral expenses.
Even if your health care plan is the best of the best, it might only protect you and/or your family. If you’re responsible for driving your kids and their friends to school or you carpool to work, medical payment insurance can protect your passengers in the event of the unexpected. Talk to your American Family agent about adding this coverage — and some extra peace of mind — to your policy today.
Related Topics: Car Safety , Insurance Needs , Wellness