Will my auto insurance rates go up for using MedPay Coverage?
No! Your insurance rates will not go up for utilizing these benefits. Many clients are initially afraid to use their MedPay for fear that their rates will go up. They also are hesitant to make a MedPay claim when another party was responsible for the accident.
Not to worry, your rates will not go up! MedPay is a great resource for those that have it. It can be used no matter who caused the accident. It is not required by the state to carry. You have to buy it as an add-on when purchasing auto insurance. MedPay typically follows the vehicle. If you are in an accident driving someone else's insured car, it is important to check to see if that policy has MedPay. MedPay does not cover individuals in other cars. You cannot use the MedPay coverage of the at fault party, even though they caused the accident.
MedPay many times allows clients to keep more of their accident settlement than they otherwise would be able to. It is my preference as a lawyer to only use any applicable MedPay benefits after a settlement is reached with the at fault insurance company. This allows me to figure out how to put more money in my client's pocket by developing a strategy to pay down the medical liens and bills. In Missouri insurance companies do not have a right of subrogation for MedPay like they do in Illinois. This means that MedPay can be used to pay down medical expenses in Missouri without the client having to repay it back, freeing up more funds for the client to keep!