If a neighbor slips on your icy driveway and fractures their arm, your home insurance may assist cover their medical expenses. This policy, known as medical payments coverage, is commonly included in homeowner insurance policies.
What is medical payments coverage?
Medical payments coverage pays for medical expenditures if someone who does not live with you is hurt on your property. It also compensates if you, a family member, or your pet injures someone outside of your house. It is also known as MedPay, Coverage F, or “good neighbor” coverage.
One important element of medical payments coverage is that it applies regardless of who is at fault. If a friend falls down your stairs while texting on their phone, or if your dog bites a stranger at the park, you are still insured.
What does medical payments coverage pay for?
Medical payments coverage for homeowners covers small medical bills, such as pet mishaps or slip-and-fall occurrences. This may include:
- Ambulance rides.
- Hospital expenses.
- X-rays and other diagnostic procedures.
- Medical and surgical fees.
- Physical treatment.
- Prosthetic devices.
- Emergency dental care.
- Funeral expenses (if the injury results in death).
Medical payments coverage often restricts the amount of money paid out per individual and incident. This limit often ranges from $1,000 to $5,000, which might be beneficial for minor injuries. Higher limits may be available from your insurance.
What does medical payments coverage exclude?
Medical payments coverage for homeowners may not apply in all cases involving injury. Below are some examples of what is not included:
- Injuries that occur to you or anyone in your household.
- Lawsuits or legal expenditures arising from an injury.
- Property damage.
- Intentional injuries caused by a fight or the use of physical force.
- Injuries arising from any business undertaken on your premises.
- Injuries caused by conflict, terrorism, or nuclear risks.
Medical payments coverage vs. personal liability coverage
Medical payments coverage and personal liability coverage are both necessary components of your home insurance policy. However, they perform different functions, and it is critical to recognize the differential.
Personal liability insurance, like medical payments coverage, pays for medical bills if someone is hurt on your property. It could also apply if you, a family member, or a pet injures someone outside of your home.
Personal liability coverage, on the other hand, has substantially higher limits, generally starting at $100,000, and is only applicable if you or a family member is held legally accountable. Personal liability insurance can also cover property damage in addition to injuries, as well as some legal expenditures.
How much medical payments coverage do you need?
Most homeowner insurance policies include at least $1,000 in medical payments coverage. You can usually increase this limit.
Medical bills can quickly accumulate, especially if the injured person lacks health insurance or has a high-deductible health care plan. As a result, if your budget allows for it, increasing the limitations may be worthwhile. However, for more expensive injury claims, you will most likely need personal liability coverage.
How do I file a claim for medical payments coverage?
In most circumstances, you can send the injured person’s medical costs straight to your insurance provider. The company will then refund you for any authorized claims up to your policy limit.
If you need help determining how much medical payments coverage you require, contact your insurance company.
