Does car insurance cover medical bills?

Accidents happen, but your peace of mind doesn’t have to take a back seat. Medical expense coverage can help protect your finances when the unexpected occurs. Whether you’re behind the wheel, riding as a passenger, or even walking or biking, this coverage travels with you, helping to cover medical expenses if you’re injured in a car accident.

Let’s explore how medical expense coverage works and why it’s a smart addition to your auto insurance policy.

Who pays for medical bills after an auto accident?

Sorting out medical bills after a car accident can feel overwhelming, especially when it’s unclear who’s at fault. Medical expense coverage steps in to help, offering protection for you and your passengers, no matter who caused the accident — up to your policy’s limit. It’s extra peace of mind so you can focus on what matters most: your recovery.

What does medical expense coverage include?

Medical expense coverage is designed to help with medical expenses in a variety of situations, including:

• If you or a family member is driving and your passengers are injured in an accident
• If you’re injured while riding in someone else’s vehicle — secondary to the driver’s coverage
• If you’re in a serious car accident with related funeral expenses
• If you’re struck by a vehicle as a pedestrian

While your health insurance may cover your own medical costs, it likely won’t extend to others riding in your car — especially if they’re not on your healthcare plan. Medical expense coverage helps ensure your passengers are protected, too. 

And because the policy limit you select applies on a per-person rather than per-accident basis, you won’t use up all your coverage on yourself and be left footing the bill for your passenger’s medical bills.  

Medical expense coverage vs. bodily injury coverage

After an accident, the financial stress can add up quickly. Bodily injury coverage is another type of insurance that helps protect your finances when you’re found liable for causing an accident. It can help pay for medical expenses, pain and suffering, lost wages, and legal fees if you’re sued. All states require drivers to carry bodily injury coverage to help ensure there’s a way to pay for accidents they cause.

The key difference between bodily injury and medical expense coverage is the responsible party. Medical expense helps protect you, your family, and your passengers regardless of who’s at fault. Bodily injury coverage, on the other hand, helps pay for injuries to others when you’re responsible for the accident. 

But what happens when the other driver is at fault and has little or no insurance? If you live in a state where underinsured and uninsured motorist protection is available, adding these coverages to your policy is another way to have extra peace of mind. Reach out to an American Family Insurance agent to learn more.

Personal injury protection (PIP) vs. medical expense

Personal injury protection, or PIP, is sometimes called no-fault insurance. Like medical expense coverage, it helps pay accident-related medical and funeral costs for you and your passengers, no matter who caused the accident.

While medical expense coverage is typically optional, PIP is mandatory in some states but unavailable in others. Depending on the state, it may also help pay for childcare and rehab expenses, survivors’ loss, or essential services. Check with your agent to understand PIP requirements and benefits in your area.

Choosing the right coverage for you

Deciding how to best protect yourself and your loved ones can be tough — but you don’t have to do it alone. Your American Family Insurance agent is here to help you explore your options and find the coverage that fits your needs.

This article is for informational purposes only and based on information that is widely available. This information does not, and is not intended to, constitute legal or financial advice. You should contact a professional for advice specific to your situation.

This information represents only a brief description of coverages, is not part of your policy, and is not a promise or guarantee of coverage. If there is any conflict between this information and your policy, the provisions of the policy will prevail. Insurance policy terms and conditions may apply. Exclusions may apply to policies, endorsements, or riders. Coverage may vary by state and may be subject to change. Some products are not available in every state. Please read your policy and contact your agent for assistance. 

Discount, savings and product eligibility varies based on the way you purchase insurance, by state, property type and policy form. Discounts may not apply to all coverages on an auto or home policy. Exclusions may apply.