What the Medical Portion Covers
The medical portion of auto insurance premiums pays for bodily injury coverage, which reimburses medical expenses for you and your passengers after an accident. It may also include medical payments (MedPay) that cover smaller, out‑of‑pocket costs regardless of fault.
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How It Affects Your Premium
Insurers calculate this portion based on factors such as the driver's age, health history, claim record, and the level of coverage selected. Higher coverage limits or lower deductibles increase the medical premium, while a clean driving record can lower it.
Typical Coverage Options
Common medical coverage choices include:
- Bodily injury liability – pays for injuries you cause to others.
- Medical payments (MedPay) – pays for your own medical costs, regardless of fault.
- Personal injury protection (PIP) – broader coverage that may include lost wages and rehabilitation.
Comparing Coverage Levels
| Coverage | Typical Limit | When It Pays |
|---|---|---|
| Bodily Injury Liability | $25,000 per person / $50,000 per accident | Injuries you cause to others |
| Medical Payments (MedPay) | $1,000–$10,000 | Your own medical costs, any fault |
| Personal Injury Protection | $10,000–$100,000 | Medical costs, lost wages, rehab |
Factors That Can Change the Cost
State regulations, the insurer's underwriting guidelines, and whether you bundle auto with other policies all influence the medical premium. Some states require minimum medical coverage, while others allow you to opt out if you have health insurance.