Four Reasons to Consider Med Pay for Alaska Auto Insurance
Every US state has enacted laws requiring motorists to carry a certain amount of auto insurance coverage that protects the interests of injured victims. Under Alaska auto insurance laws, you must have at least $50,000 for bodily injury or death per person, $100,000 total coverage for bodily injury, and $25,000 for property damage to someone else’s vehicle. Some motorists may opt for additional protections, such as collision coverage that pays for damage to the insured’s vehicle regardless of fault. Comprehensive insurance is an add-on that pays out for vehicle damage that was not related to a crash.
However, another option that many Alaska motorists consider is medical payments coverage – Med Pay for short. This add-on pays for medical costs for the policyholder, as these losses are not included for purposes of the 50-100-25 amounts for liability insurance. Med Pay might be a wise choice to protect your interests after an Anchorage, AK, car accident, though your premiums may be slightly higher. Some background information may be useful as you weigh your options.
No Proof of Fault
Med Pay is an add-on that you purchase to supplement your auto insurance, so you do not need evidence showing that the other driver was responsible for causing the crash. You will need documentation regarding your medical care, and your insurer may pay the amounts directly to your treating physician or reimburse you. Note that Med Pay is a first-party claim, so your insurance company owes you a duty to act in good faith. A bad faith denial could give rise to legal action.
Collisions with Uninsured and Underinsured Motorists
Though auto insurance is required, not all drivers comply with the law. As such:
- An uninsured (UI) motorist is someone who does not carry any insurance; and,
- An underinsured (UIM) driver carries less than necessary to pay for the harms caused.
If you were hurt in an accident involved with a UI or UIM, you could be on the hook for some or all of your medical costs. Med Pay applies to cover medical expenses in these circumstances. Uninsured and Underinsured coverage, if you carry it, proves very useful as well.
Your Health Insurance Coverage is Limited
When you were responsible for causing the auto crash, you could rely on your own medical insurance to cover the costs to treat your injuries. However, the costs of medical insurance are high, leading many people to choose plans that have high deductibles or provide minimal coverage. A Med Pay add-on could fill the gaps and cover co-pays and deductibles.
Protection from Injured Passengers
Med Pay also covers those in your vehicle who might be injured in a collision caused by you. This aspect of the add-on provides protection for your personal interests, so these victims do not pursue you for damages.
Speak to Our Alaska Car Accident Lawyers About Your Rights
Med Pay is a useful cushion for many motorists, but keep in mind that you will typically pursue the at-fault driver in an auto crash caused by someone else. For more information, please contact Power & Power Law to set up a no-cost consultation at our offices in Anchorage, Alaska.