No Fault Car Insurance
Both Medical Payments (“MedPay”) and Personal Injury Protection (“PIP”) are forms of no-fault automobile insurance that pay for immediate medical services after a car accident that results in an injury. This means your own insurance company is taking care of their policyholder’s immediate medical bills regardless of fault.
MedPay is an optional coverage that is used more in Missouri than Kansas. MedPay pays a certain amount of money (usually anywhere from $1,000 to $10,000) of your medical bills that you incur if you were in a car wreck regardless of whether you or the other driver was at fault. MedPay is designed to complement your liability coverage and supplements your health insurance coverage after a car accident. For example, if you were injured by another driver’s negligence and you had a case against that other driver, that other driver (or his or her insurance company) won’t pay for your damages (including all your medical bills) until you settle your entire case. Cases often take a long time to settle, even in clear liability cases. Thus, you may need money now to pay for healthcare costs even if you have health insurance. As anyone who has health insurance likely know, you will still have high co-pay’s or a high deductible that you have come out of pocket for before your insurance starts paying for medical bills. This is what MedPay can assist with. There is also a chance your health insurance has the right to be reimbursed (if a self-funded ERISA plan) for what it paid on your behalf at the end of a case. If that is the case, you won’t have to pay back the MedPay benefits and there will be more money in your pocket. MedPay also should cover you if you are a bicycle rider or a pedestrian who was struck by a car. And some policies may even cover you when you are in someone else’s car and passengers in your car are also usually covered for MedPay benefits. Some MedPay policies pay only the amount not covered by other collectible health or accident insurance and is relatively inexpensive.
Kansas Personal Injury Protection Insurance Requirements
Kansas requires that anyone who purchases an automobile insurance policy also purchase Personal Injury Protection Insurance unless they drive a motorcycle and decline PIP protection in writing. Kansas is “no fault” state, meaning that your insurance company is responsible for paying all your medical bills associated with an accident regardless of fault up to a certain amount (usually $4,500). This $4,500 usually has to be repaid when you settle your case with the negligent driver. If you engage a lawyer to help you recover damages from a third-party, you can get repayment of PIP benefits reduced by 1/3 pursuant to Kansas statute. You may be able to purchase more than $4,500 in PIP benefits depending on what insurance company you work with. PIP benefits usually also include lost income if you are unable to work. The lost income benefits may pay you up to 85% of your monthly income, with a limit of $900 a month ($10,800 annually) for up to one year following your wreck. PIP insurance also includes death benefits. Thus, if someone on your insurance plan is killed as a result of an accident, PIP will pay at least $2,000 of funeral or burial costs. Many insurance companies in Kansas also offer MedPay coverage (that does not have to be repaid).