Medical Payments

Medical Payments vs. Personal Injury Protection Insurance

Medical treatment isn’t cheap, and maintaining the right amount of insurance coverage to ensure treatment can be sought without breaking the bank is crucial. That insurance is especially important whenever accidents happen, as the costs associated with long hospital stays and major medical treatments can be crushing. As such, it’s important that people clearly understand not only their existing policies but also their options for carrying additional coverage to ensure life goes on as smoothly as possible after an accident occurs. One common area of confusion is the difference between medical payments insurance and personal injury protection insurance. The following is a quick primer on the difference between the two and which is the best choice (when it even is a choice) for policyholders.В 


Medical Payments Insurance

Medical Payment insurance, also often referred to simply as MedPay, is fairly self-explanatory. It’s designed to cover the costs of medical treatment for the insured and, in the case of vehicle accidents, any passengers involved as well. MedPay covers medical expenses regardless of fault, so policyholders are covered even in the event that they are the party responsible for the accident. Some people with health insurance consider MedPay insurance unnecessary, but in cases where a health plan has uninspiring limits or extremely high deductibles, having additional MedPay insurance can be a financial safety net well worth the cost.В 


Personal Injury Protection Insurance

While MedPay can be a figurative lifesaver in cases where literal lifesaving might be necessary, its major limitation is that it only covers medical expenses. That means once an accident victim leaves the hospital, any further expenses will not be covered, and post-care financial impacts can be significant, to say the least. That’s where personal injury protection insurance comes in. PIP is designed specifically for car accidents, and it covers not only medical expenses but many of the other expenses associated with an accident as well, like physical therapy and lost wages due to long periods away from work.В 


Which is the Right Choice?

The choice between MedPay and PIP isn’t always necessary one consumers even have. In the 15 states operating under “no-fault” systems, personal injury protection insurance is required, and drivers must purchase it to be able to legally operate a vehicle. In Pennsylvania, Maine, and New Hampshire, MedPay coverage is required, whereas, in New York, North Dakota, Minnesota, and Oregon, it isn’t even offered. So, first and foremost, it’s important that people understand what their states require by law, and in turn, what is already included in their overall policies.В 

For people living in the states that offer both and require neither, the choice often comes down to the level of coverage provided by the health insurance plans provided to them by employers. In cases where existing health insurance coverage is robust and deductibles are manageable, the expense of taking on additional MedPay insurance probably isn’t worth it. In those cases, PIP insurance can still be a worthwhile add-on, especially for people who work at physically demanding jobs in which an injury from an accident is almost certain to keep them away from work for at least some time.В 


Regardless of which type of insurance a person has, on the clinic-side, the priority should always be to make it as easy and painless as possible for them to take care of any copayments or coinsurance expenses so that their focus can be solely directed towards getting better. MedicalCRM is the ideal tool to help clinics do exactly that, thanks to the built-in payment processing suite designed specifically to help clinics give patients the straightforward and convenient payment options they want.В 

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