You know that your car insurance offers a lot of important protection for you on and off the road. But you might not have all the coverage you need to fully protect yourself and your passengers from the cost of medical expenses after an accident. If you're lacking medical payments coverage, it might be time to consider adding it to your policy.
Fortunately, an independent insurance agent can help you get equipped with medical payments coverage and any other type of auto insurance you need. They know which carriers offer the lowest rates for reliable coverage. But first, you can use our guide to medical payments coverage to learn more about why you might need it.
Key Takeaways - Medical Payments Coverage in 2026
Medical payments can reimburse you, your passengers, and pedestrians for medical expenses related to injuries after an accident, regardless of fault.
The average cost of medical payments coverage ranges from $1 to $12 per month depending on the carrier.
Medical payments coverage is only required in three states: Maine, New Hampshire, and Pennsylvania, and is optional elsewhere.
Four states don't allow you to have both PIP and medpay coverage: Minnesota, New York, North Dakota, and Oregon.
Working with a local independent insurance agent is strongly recommended, as they can help shop and compare medical payments quotes and coverage options from multiple carriers near you to find the best deal.
What Is Medical Payments Coverage (MedPay)?
Medical payments insurance is a car insurance coverage that reimburses the policyholder for their own injuries and/or those of their passengers after an accident, regardless of fault. Covered expenses might include ambulance, emergency room, and hospital fees, as well as funeral, burial, or cremation costs. In essence, it provides first-party medical coverage that reimburses you, your passengers, and pedestrians or bicyclists hit by your car.
Auto medical payments coverage is optional in most states, so you'll need to specifically add it to your policy when you purchase it. An independent insurance agent can help you add medpay coverage to your car insurance policy.
What Does Medical Payments Coverage Pay For?
Medpay covers passengers, you, and pedestrians you hit with your car against numerous medical expenses arising from the accident. Medpay coverage for pedestrians, etc., covers the following expenses:
- EMT and ambulance fees
- ER visits
- Hospital stays
- Surgery and X-rays
- Doctor visits
- Professional nursing
- Prosthetics
- Dental procedures from the accident
- Funeral costs
- Health deductibles and copays
Your independent insurance agent can help you file a car insurance claim under your medical payments coverage section.
How Much Does MedPay Cost in 2026?
The average cost of medpay add-on coverage ranges from $1 per month from Progressive to $12 per month from Allstate, depending on the coverage amount you choose. A policy with $1,000 in medpay coverage averages $3 per month, while a policy with $10,000 averages $8 per month.
The table below compares the average cost of medpay car insurance by carrier and coverage amount in 2026.
| Car Insurance Company | $1,000 Bond | $2,500 Bond | $5,000 Bond | $10,000 Bond |
|---|---|---|---|---|
| Progressive | $1 | $1 | $2 | $3 |
| American Family | $2 | $4 | $5 | $7 |
| Travelers | $3 | $6 | $6 | $8 |
| Allstate | $5 | $9 | $9 | $12 |
| USAA | $2 | $6 | $6 | $8 |
How Much Medical Payments Coverage Do I Need?
Medpay limits typically range from $1,000 to $10,000 per policy, though some carriers offer up to $25,000 or even $50,000 where state-approved. The most commonly selected medpay car insurance limit is $5,000.
However, it's recommended to match your health insurance deductible amount at a minimum, or choose higher coverage limits if you don't have a personal health plan. An independent insurance agent can help you choose the car insurance medical payments coverage limit that's right for you.
Medical Payments Coverage vs. Personal Injury Protection (PIP)
Though the terms are often used interchangeably, there is a slight difference between medical payments coverage and personal injury protection (PIP). Medical payments coverage reimburses medical costs for an injured driver or passenger(s), up to a certain limit. In contrast, PIP covers medical expenses, lost wages, and other rehabilitation expenses. PIP is required coverage in some states.
| Factor | Medical Payments (MedPay) Coverage | Personal Injury Protection (PIP) Coverage |
|---|---|---|
| Covers | Covers medical expenses only | Covers medical expenses, lost wages, rehabilitation, and sometimes childcare and funeral expenses |
| Fault Rules | No-fault | No-fault |
| State Availability | Nationwide | 15 states require PIP |
Which States Require Medical Payments Coverage?
Currently, medical payments coverage is only required by law in three states:
- Maine
- New Hampshire
- Pennsylvania: Mandates $5,000 in medical benefits
There are also four states that enforce PIP coverage and do not allow you to add medpay coverage:
- Minnesota
- New York
- North Dakota
- Oregon
All other states allow medpay coverage to be added optionally. However, it's a good idea to consider adding medpay coverage to your car insurance policy, since bodily injury liability only reimburses for injuries to the other driver and their passengers if you cause an accident.
Medical payments coverage reimburses medical expenses regardless of who's at fault for the accident. If your state requires PIP, however, medical payments coverage isn't necessary. PIP offers more coverage, and adding medical payments coverage would be redundant.
Keep in mind that if you have health insurance, it likely pays for some of your car accident-related injuries. Before you decide if you need medical payments coverage, make sure that your health insurance doesn't exclude medical expenses related to a car accident.
How MedPay Works with Health Insurance
Health insurance companies can decide they're "second in line" to pay your car accident-related claim because they treat your medpay coverage as the primary insurer. If, however, your health insurance pays the expenses first, you could use medpay to cover your healthcare deductible and copay.
In either situation, having medical payments coverage helps you and your passengers minimize your out-of-pocket expenses for medical care related to a car accident. Some health insurance policies also exclude coverage for auto-related injuries.
Whether medpay is primary or secondary depends on where you get your coverage. Certain major carriers, such as Progressive, state that medpay pays first, while other carriers consider your health insurance as your primary coverage. Your independent insurance agent can help you better understand medpay vs. health insurance coverage.
How to File a Medical Payments Coverage Claim
If you need to file a medpay reimbursement claim after an accident, just follow these easy steps:
- Report the accident to your insurance company or independent insurance agent.
- Work with the medical payments adjuster, who will investigate your claim.
- Submit any required medical records and bills to your insurer.
- Sign any required release forms or proof of identification documents.
- Wait for reimbursement from your insurer, which may be partial or full.
Medpay coverage pays your claim before fault is determined, since it pays regardless of fault. You can also contact your independent insurance agent, who can file a medpay claim with your insurance company and keep you updated at every step of the claims process.
What Else Does Car Insurance Cover?
Car insurance coverage can vary widely depending on the types of coverage you select when you purchase your policy. Most states require at least liability coverage as the bare minimum. Others may require uninsured and underinsured motorist coverage and/or personal injury protection.
- Bodily injury liability coverage: Protects you if you injure or kill someone else while driving your car. It covers an injured party's claims for damages, including medical expenses, lost wages, and pain and suffering. It also covers your legal defense fees if another party involved in the accident sues you. Your state will mandate a minimum amount of bodily injury liability coverage you must have.
- Property damage liability coverage: Pays for any damage that you cause to the property of others (e.g., another driver’s car) and for your legal defense if you are sued. Your state will mandate a minimum amount of bodily injury liability coverage you must have.
- Uninsured/underinsured motorist coverage: Protects you if you are hit by a hit-and-run driver or a driver without auto liability coverage. It serves as liability insurance that the other driver should have but does not. Your state may mandate this coverage. If not, it will be an optional coverage that you can add to your policy.
Other types of coverage are optional but often equally important for helping you pay for repairs and other expenses after an accident or other vehicle damage.
- Collision coverage: Pays for damage to your car from a collision with another object, regardless of fault.
- Comprehensive coverage: Pays for damage to your car due to a non-collision event, such as a flood or theft.
- Roadside assistance coverage: Pays for help if you are locked out of your vehicle, run out of gas, or face another problem while on the road. Your insurance company will help you contact tow trucks, locksmiths, or other forms of assistance as needed and will reimburse you for the costs of these services up to certain limits.
- Rental reimbursement coverage: Provides payment for a rental car if your vehicle is damaged and you must rent a vehicle while it is being repaired.
- Loan/lease or gap coverage: Pays the difference between what you owe on a vehicle and its cash value if it is totaled.
An independent insurance agent can help you find all the types of car insurance you need to be fully protected when behind the wheel.
Best Car Insurance Companies for MedPay in 2026
Car insurance with medical payments coverage is available from many major insurance companies across the U.S. However, some carriers offer more affordable medpay car insurance than others. To get started, here are just a few of our top picks for the best car insurance with medical payments coverage.
| Top Car Insurance Companies | Overall Carrier Star Rating |
|---|---|
| Progressive |
|
| Travelers |
|
| Central Insurance Companies |
|
| Encova |
|
| Nationwide |
|
| Safeco |
|
FAQs About Medical Payments Coverage
Is medical payments coverage worth it?
Yes, for most drivers. Coverage is often affordable (ranging from $1 to $12 per month), pays regardless of fault, and reimburses health insurance deductibles. Medpay coverage is especially valuable if you lack health insurance or live in a state with low PIP minimums.
What’s the difference between MedPay and bodily injury liability?
Bodily injury liability pays medical expenses for third parties injured in an accident you cause, while MedPay reimburses you and your passengers regardless of fault.
Does MedPay cover passengers?
Yes. MedPay covers all passengers in your vehicle, family members driving with permission, and pedestrians or bicyclists hit by your car.
How much MedPay should I buy?
The most-selected limit is $5,000. At minimum, it's recommended to buy enough medpay coverage to match your health insurance deductible. Drivers without health insurance should consider $10,000 to $25,000 in medpay coverage.
Is MedPay required in any states?
Yes, medpay is required in Maine, New Hampshire, and Pennsylvania. In Pennsylvania, drivers must carry $5,000 in medical benefits.
Can I have both MedPay and PIP?
In most states that offer both, yes. However, medpay coverage can supplement PIP, especially where state PIP minimums are low. Minnesota, New York, North Dakota, and Oregon do not allow drivers to add medpay coverage because PIP is required.
Does MedPay cover funeral expenses?
Yes. Funeral, burial, and cremation costs from a covered car accident are reimbursable under medical payments coverage.
Will my health insurance pay before MedPay?
It depends on the carrier. Progressive policies state that medpay pays first, while some other carriers consider health insurance the primary coverage. Check your declarations page to be certain.
Why Choose an Independent Insurance Agent for MedPay?
Independent insurance agents simplify the process by shopping and comparing car insurance quotes for you. Independent insurance agents have access to multiple insurance companies, ultimately finding you the best car insurance and medical payments coverage, accessibility, and competitive pricing while working for you. They compare limits, primary or secondary handling, and cost across several carriers in your area.
Sources
https://www.valuepenguin.com/medical-payments-car-insurance-coverage
https://www.progressive.com/answers/medical-payments-coverage/
https://www.iii.org/article/auto-insurance-basics-understanding-your-coverage
https://www.ashmorelaw.com/faqs/what-is-the-difference-between-med-pay-and-pip.cfm