What’s The Difference Between PIP and MedPay?

January 9th, 2018

Purchasing car insurance can seem like an easy task for some, but for others the process can be somewhat confusing. Thus, it’s important to realize what kind of coverage you can get when selecting your auto insurance policy. Additionally, you should know what is required and what is deemed as optional coverage in your state. Since the Bottaro Law Firm specializes in personal injury in the states of Rhode Island and Massachusetts, this blog will focus on the insurance requirements in those two states.

What is PIP and Med Pay?

Med Pay coverage pays medical expenses for you and any passenger(s) in your vehicle who is injured during an accident or auto-related injury, regardless of fault. The medical expenses covered under Med Pay include hospitalization, medical, dental, chiropractic, x-rays, and/or funeral expenses. It’s important to note that your Med Pay coverage moves with you. This means that your medical expenses can be covered if your injuries are sustained while walking, riding in another person’s vehicle, riding your bicycle, or riding on public transportation. Unlike health insurance where your provider is entitled to reimbursement for all benefits paid on your behalf resulting from an accident, Med Pay coverage does not entitle your insurance provider to reimbursement since you pick the limits of your Med Pay coverage. Even though Med Pay is optional, it has many beneficial factors that can help save you a lot of money in the future.

PIP on the other hand is mandatory in the state of Massachusetts. If  you purchase an auto insurance policy in Massachusetts, PIP will cover the first $2,000 in automobile related medical bills and will usually cover up to a total of $8,000 depending on the person’s health insurance coverage. Although PIP provides coverage for medical expenses, it also covers additional expenses including physical and occupational therapy costs, rehabilitation costs, and other professional health services. Additionally, PIP coverage includes lost wages from work following an accident.

Can You Have Both PIP and Med Pay?

It’s possible to have both PIP and Med Pay coverage on your insurance policy. However according to Nationwide Insurance, that is not a recommended choice. Even though PIP covers more expenses than Med Pay, it carries a deductible which is not so great. Additionally, Med Pay extends benefits to your passengers involved in an auto accident, whereas PIP may not have the same ability to extend its benefits to passengers involved in the same accident.

Contact Us Today

At the Bottaro Law Firm we deal with complex coverage issues on a daily basis. We work diligently to get maximum coverage and compensation for our clients’ losses after an accident. Contact us today to discuss your potential claim, 24/7, at no cost to you.