It's time for your insurance to renew. This is a perfect time to explain the differences between Personal Injury Protection (PIP) and Medpay.
PIP stands for personal injury protection and it is just that. It is designed to cover your doctor bills, medical expenses and lost wages up to $2,500 or $5,000 depending upon your limits. Additionally, you get to keep this money for your needs and bills if you are hurt in an accident. PIP is coverage B2 on your auto insurance policy as required by Texas Law.
Medical Payments coverage (medpay) is like PIP but is a lousy coverage for two main reasons. 1. It only covers doctor and medical expenses. It does not cover your lost wages. 2. You have to pay it back to the insurance company if you make a claim against someone who hurt you. In essence, it is a loan that must be repaid. Medpay is not ideal coverage for the consumer. Buy PIP instead.
What should you choose? (This link can explain coverages in detail.) They cost about the same but PIP is better. Don't let your agent mislead you and sell you medpay. You get to keep PIP but Medpay you throw away and have to repay.
How much coverage do you need? $5,000 or $10,000 if you can. It is insurance to cover the people inside the car, not the metal. Always protect yourself and your loved ones. Many people pay 10 or 20 times the cost of PIP to insure their metal and car. Which is more valuable, the car or the people in it?
If you have any questions regarding auto accidents and your coverages, please contact our office at (817) 831-6100.