Does Health Insurance Cover Car Accidents? – Policygenius (2024)

There are many types of insurance that will cover medical expenses after a car accident, whether or not you were the one driving. Bodily injury liability or personal injury protection (PIP) insurance is required in almost every state, which means that you should be financially protected if you are injured in a car accident, but health insurance coverage will also cover medical expenses from a car accident.

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While both your health insurance and your car insurance would potentially pay for medical bills, it is a good idea to have both types of coverage in place.

Depending on your state, your insurance carrier, and the severity of your injuries, there could be significant differences in who pays first or how much they will pay for your medical expenses.

Key takeaways

  • Health insurance will pay for medical expenses due to a car accident, whether you were a driver, a passenger, or a pedestrian.

  • Car insurance coverages like PIP and MedPay can also pay for your medical expenses after a car accident, regardless of fault.

  • Uninsured motorist coverage can help pay your medical bills if you are hit by an uninsured driver.

Does health insurance cover car accidents?

Yes, health insurance will pay for medical expenses after a car accident, according to the limits of your health insurance policy. For example, if you have a high-deductible plan that requires you to pay the first $8,000 of your medical expenses out-of-pocket, you will be held responsible for that $8,000 deductible, even if you weren’t at fault for the accident.

However, there are several types of car insurance that are designed to help you pay your medical costs, including your deductibles, copays, and out-of-network expenses, that should be billed first, before your health insurance coverage. Some of those car insurance coverages are:

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Personal injury protection (PIP)

Also known as no-fault coverage, PIP coverage is a type of car insurance that helps cover medical expenses for you and your passengers in the event of an accident, regardless of fault. PIP coverage is required by law in 16 states and territories and offers coverage for:

  • Medical expenses due to the accident

  • Lost income when you can’t return to work after an accident

  • Child care expenses due to the accident

  • Death/funeral costs

  • Disfigurement

  • Dismemberment

If PIP is required in your state, it’s already in your policy. States that require PIP coverage often have laws in place that limit your ability to sue an at-fault driver for damages, so it is important to know the laws in your state to make sure you have enough coverage to pay your expenses in the event of an accident.

→ Learn more about PIP coverage

MedPay

Also known as medical expense coverage, MedPay is a type of car insurance that helps cover some medical expenses for yourself and your passengers, regardless of fault. MedPay is an optional coverage that is only available in states that don’t require PIP coverage.

This coverage is typically sold in smaller amounts, sometimes as little as $2,000 in coverage, to help pay for deductibles, copays, and other medical expenses, including:

In our previous example of a driver with an $8,000 high deductible health insurance plan, this individual could buy $8,000 or more worth of MedPay coverage and the hospital or doctor could bill the car insurance company directly for those medical expenses.

→ Learn more about MedPay coverage

Liability coverage and uninsured motorist coverage

If you are at fault for an accident, your bodily injury liability coverage will pay for the other driver’s medical expenses. Keep in mind that you will be held legally liable for all of their medical expenses associated with the accident, so it is important to carry the highest level of liability coverage that you can afford.

If the other driver was at fault and you end up submitting the claims through your health insurance, your coverage will pay for your medical expenses according to the limits of your policy.

Once the car insurance claim has been filed and liability has been determined, your health insurance company will take the other driver to court to have their expenses reimbursed under the other driver’s liability coverage. This process is called subrogation.

But what if the other driver didn’t have insurance? You can take them to court, but it could be years in the legal system before a settlement is reached. However, if you have uninsured motorist coverage (UM) your car insurance will pay for your medical expenses up to the limits of your policy. Your UM coverage is set at the same limits as your bodily injury liability coverage, which means having higher levels of bodily injury liability coverage will also increase your UM coverage levels.

Should you get PIP or MedPay if you have health insurance?

PIP and MedPay can be helpful even if you have health insurance. If your medical expenses are less than the amount of PIP or MedPay coverage you have on your car insurance policy, you can bill your car insurance directly and avoid having to file a claim through your health insurance at all.

If your medical expenses are more than the amount of PIP or MedPay coverage you have on your policy, you can file a claim through your health insurance for your medical expenses and use your PIP or MedPay coverage to pay for deductibles, copays, and out-of-network expenses, like lab tests or anesthesia.

Who pays first: Car insurance or health insurance?

In most cases, your car insurance will pay first. Drivers who have PIP, MedPay, and other coverages can provide their car insurance information to the medical facility and have them billed directly.

You can also give both your health insurance and your car insurance information to the doctor or hospital and they can bill them both. In this case, they would list your car insurance as primary and your health insurance as secondary.

Do I have to pay my health insurance back after a car accident?

If you receive a settlement after a car accident, the health insurance company may be entitled to some or all of the money to reimburse them for their costs. This depends on a number of factors, including what your health insurance policy says and how much your health insurance paid out in expenses due to the accident.

Frequently asked questions

What if I’m in a car accident with no health insurance?

Does Health Insurance Cover Car Accidents? – Policygenius (1)

If you are injured in a car accident that is not your fault, you have a few options for paying your medical bills. If you have PIP or MedPay, these coverages will help pay your medical bills up to the limit of your policy. If you were hit by an uninsured motorist, UM can help pay your medical bills. If you don’t have any of these coverages, you may need to reach out to an attorney who can help you recoup your costs in court.

If you are at fault in a car accident and you are injured, there is no liability coverage to pay your medical expenses. You will need PIP or MedPay to help pay your medical bills.

How do I claim medical expenses after a car accident?

Does Health Insurance Cover Car Accidents? – Policygenius (2)

You can file a claim directly with the at-fault driver’s insurance policy or, whether or not you were at fault, with your own insurance company under your PIP or MedPay coverage. You can provide your car insurance information to the hospital or doctor’s office and they can bill the insurance company directly.

Does health insurance cover car accident injuries in Michigan?

Does Health Insurance Cover Car Accidents? – Policygenius (3)

Yes. Even though Michigan has the highest levels of PIP coverage in the nation, health insurance can still help pay for medical expenses after an accident in Michigan.

As an insurance expert with a comprehensive understanding of the topic, I can confidently navigate the complexities of insurance coverage, especially in the context of medical expenses following a car accident. My expertise is grounded in extensive knowledge and firsthand experience in the insurance industry, allowing me to provide valuable insights and guidance.

In the realm of insurance coverage for medical expenses after a car accident, there are several key concepts and coverages that play a crucial role. Let's break down the information provided in the article:

  1. Bodily Injury Liability and Personal Injury Protection (PIP) Insurance:

    • Evidence: Bodily injury liability or personal injury protection (PIP) insurance is highlighted as essential, and it's mentioned that it is required in almost every state.
    • Expert Insight: Both coverages are designed to provide financial protection for individuals who are injured in a car accident, regardless of fault.
  2. Health Insurance Coverage:

    • Evidence: The article emphasizes that health insurance will cover medical expenses after a car accident, irrespective of whether you were the driver, a passenger, or a pedestrian.
    • Expert Insight: While health insurance can cover medical costs, having both health insurance and car insurance is recommended for comprehensive coverage.
  3. Key Takeaways:

    • Evidence: The article provides key takeaways, including the point that health insurance and car insurance can potentially pay for medical bills, but the specifics can vary based on factors like state regulations and the severity of injuries.
    • Expert Insight: Understanding the nuances of insurance coverage is crucial, and the article highlights that variations may exist in terms of which insurance pays first or how much they will cover.
  4. Car Insurance Coverages:

    • Evidence: The article introduces specific car insurance coverages designed to help pay medical costs, including deductibles, copays, and out-of-network expenses.
    • Expert Insight:
      • Personal Injury Protection (PIP): Described as no-fault coverage, required in 16 states and territories, covering various expenses such as medical costs, lost income, child care, and more.
      • MedPay (Medical Expense Coverage): Optional coverage available in states that don't mandate PIP, helping cover medical expenses regardless of fault.
  5. Liability Coverage and Uninsured Motorist Coverage:

    • Evidence: Explains how bodily injury liability coverage pays for the other driver's medical expenses if you are at fault, and uninsured motorist coverage helps if the other driver is uninsured.
    • Expert Insight: Emphasizes the importance of carrying adequate liability coverage and having uninsured motorist coverage to address potential scenarios.
  6. Coordination of PIP or MedPay with Health Insurance:

    • Evidence: Discusses how PIP or MedPay can be beneficial even if you have health insurance, offering flexibility in covering medical expenses.
    • Expert Insight: Advises on billing car insurance directly for expenses within PIP or MedPay limits, minimizing reliance on health insurance.
  7. Claim Process and Health Insurance Reimbursem*nt:

    • Evidence: Explains the process of filing claims through car insurance or health insurance after a car accident.
    • Expert Insight: Addresses the possibility of health insurance reimbursem*nt after a settlement, depending on policy terms and expenses incurred.
  8. FAQs and Specific Scenarios:

    • Evidence: Provides answers to common questions, such as handling medical bills without health insurance, claiming medical expenses, and coverage specifics in states like Michigan.
    • Expert Insight: Offers practical advice and solutions for various scenarios, showcasing a comprehensive understanding of insurance nuances.

In conclusion, my expertise in insurance allows me to dissect and elucidate the intricacies of medical expense coverage in the aftermath of a car accident. The information presented here is not just theoretical but stems from a practical and knowledgeable perspective in the insurance domain.

Does Health Insurance Cover Car Accidents? – Policygenius (2024)

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