Part B Medical Payments Coverage

Part B provides medical payments coverage for the insured and occupants of the insured vehicle.

Part B coverage is typically a set dollar amount for each injured person, such as $10,000 for each injured person.

Part B coverage will pay out regardless of which party was at fault and it will provide for medical or funeral costs associated that occur within three years after the injury.

Automobile insurance companies do not write auto policies without this type of coverage, and the cost for this coverage is minimal.

Part C Uninsured Motorist Coverage

Part C provides uninsured motorist coverage.

Uninsured motorist coverage provides compensation to insureds who have suffered bodily injury in an auto accident with an at-fault motorist who had no insurance or was underinsured, for hit and run situations, or where the other driver’s insurance company denies coverage or becomes insolvent.

Uninsured motorists coverage generally covers the insured and his or her family members and any other persons occupying the insured’s vehicle.

Uninsured motorists coverage is now required by most states.

Part D Damage to Vehicle Coverage

Part D coverage provides payment for damage to the insured’s vehicle. This includes direct and accidental physical damage (including theft) to the insured’s vehicle and any non-owned vehicle.

Part D coverage provides for collision and comprehensive coverage. Collision refers to an impact with another vehicle or object and comprehensive refers to almost all other non-collision damage.

Comprehensive and collision coverage is relatively expensive. Many owners of older vehicles opt to forego this coverage and add uninsured motorist property damage coverage, which is substantially cheaper.

Insureds that do this are betting that the cost of insurance payments exceed the cost of the vehicle and they gamble that their health insurance will cover any physical harm to themselves.

This may be problematic for passengers who have no health insurance or for other types of property damage (such as damage from falling objects).

Read the Rest: 1 2