"Medical payments" premium on Auto insurance, necessary if you have medical insurance?

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focusedonwhatmatters
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"Medical payments" premium on Auto insurance, necessary if you have medical insurance?

Post by focusedonwhatmatters » Fri Jan 12, 2018 1:47 pm

I'm shopping insurance and see greatly varying rates for $5000 of medical payments coverage. Upon further inspection, I see I have been carrying this on my current policy. I question the necessity since I and my family members all have medical insurance. Thoughts?

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dm200
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Re: "Medical payments" premium on Auto insurance, necessary if you have medical insurance?

Post by dm200 » Fri Jan 12, 2018 2:27 pm

focusedonwhatmatters wrote:
Fri Jan 12, 2018 1:47 pm
I'm shopping insurance and see greatly varying rates for $5000 of medical payments coverage. Upon further inspection, I see I have been carrying this on my current policy. I question the necessity since I and my family members all have medical insurance. Thoughts?
We never used "Medical Payments" when we carried it, but this was my "logic"

1. We have always had good health insurance and, for us, paying/carrying it duplicates almost everything because of our insurance.

2. That is not true, necessarily, for non-family passengers.

3. When our child(ren) were young and we did carpools for scouts/sports/school/etc., we often had non-related passengers and had no way of knowing their insurance coverage. We carried medical payments to cover the situation where a such a passenger incurred minor injuries in our cars. We could just give the medical payments insurance information for them to collect. Otherwise (as best I recall) they would have to claim liability on our part to collect.

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Sheepdog
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Re: "Medical payments" premium on Auto insurance, necessary if you have medical insurance?

Post by Sheepdog » Fri Jan 12, 2018 2:35 pm

I cancelled that coverage after my wife was in an accident 5 years ago. She was on Medicare plus a Medigap at the time. The hospital wanted that auto medical coverage first as it paid the most. I will not go into detail about what that caused over the months following, but I will say it was a pain at the hospital, the lawsuit against the other driver, for months. Since we are covered by other medical insurance, I wondered why we ever kept that auto medical insurance all those years. There is no value in it for us.
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Jack FFR1846
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Re: "Medical payments" premium on Auto insurance, necessary if you have medical insurance?

Post by Jack FFR1846 » Fri Jan 12, 2018 2:43 pm

I broke a finger while working on my car. The ortho's office first sent bills to the auto company because they become primary (over medical insurance) until they hit their limit. In my case, that was $2,000. If nothing else, it made me realize how expensive surgery on a broken finger is because the auto company sent me the bills beyond the $2k and they were well over $50k. My medical took care of most of that.
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Ludicris
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Re: "Medical payments" premium on Auto insurance, necessary if you have medical insurance?

Post by Ludicris » Fri Jan 12, 2018 3:36 pm

Check with your health insurance provider. Ours (Blue Cross) informed us that the effective 2018, our auto insurance medical MUST be primary and BC is secondary for automobile related health claims. It costs a couple hundred extra a year total for 4 cars.

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HueyLD
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Re: "Medical payments" premium on Auto insurance, necessary if you have medical insurance?

Post by HueyLD » Fri Jan 12, 2018 3:43 pm

I carry that insurance for passengers not covered under my health insurance.

Unless you never allows others in your car, it is just another form of insurance.

Spirit Rider
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Re: "Medical payments" premium on Auto insurance, necessary if you have medical insurance?

Post by Spirit Rider » Fri Jan 12, 2018 3:48 pm

Caution with making generalizations. This is subject to state law. One or the other (usually auto) is considered primary, but this is not universal.

My state has a very specific insurance law that the policy holder may determine on an incident by incident and provider by provider basis which policy to submit the claim to as primary and the insurance companies must honor that.

This can be very useful given the complexities of current medical insurance policies. When you factor in deductibles, co-pays, out of network providers, etc..., having a choice can be really useful.

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