What is Medical Payments Coverage
The Reparations coverage referred to in the letter is an optional coverage, not required by state law, but a coverage we recommend our clients, nonetheless.
It is essentially “good-will coverage” for medical payments regardless of fault. It would provide medical payments coverage for driver and other occupants in the car, again, regardless of fault. This coverage might apply in the event of an accident where someone hit and injured you, but had no insurance.
We will pay reasonable expenses incurred for necessary medical and funeral services to or for an “insured” who sustains “bodily injury” caused by “accident”. We will pay only those expenses incurred, for services rendered within three years from the date of the “accident”.
Another time this coverage would apply is in the event of a single car accident, when an occupant of your car was injured and you were not found negligent. In other words, a single car accident. The limits range from Basic @ $5,000 to $100,000 with some of our companies.
The Reparations Coverage includes lost wage coverage, as opposed to Medical Payments, which is just that…Medical payments coverage only. The Lost Wage coverage can range from $200 per week to $1,000 per week.
If there was a claim for bodily injury due to an uninsured/underinsured motorist, the coverage that could probably apply is Uninsured/Underinsured Motorist.