Medical Payments, also known as simply med-pay, is coverage on the automobile policy where the automobile insurance company will pay for all reasonable medical expenses incurred following an accident up to the coverage amount. For example, if the medical payments on the policy shows $5,000.00, the automobile insurance company will pay up to $5,000.00 for each person injured in the accident. If one does not have private health insurance, it may be a good idea to have medical payments coverage on the policy to cover these expenses.
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