Auto Accidents and Insurance Issues

Full medical is recommended.

Posted Oct 07, 2016

Who will pay for your psychological care in the event you sustain psychological injuries in an auto accident?  Most people do not know the answer and most do not care to consider it unless they are in need of care.  Sadly, it may be too late for you to receive the care you need if you checked the wrong box when selecting your auto insurance policy.

My recommendation is that everyone opts for what is called “Full Medical on Auto” policy.  Insurance companies and most insurance agents will encourage you to select what is called “Coordinated Medical Benefits” on your auto policy.  If you select this option the primary responsibility for payment of medical bills resulting from your auto accident will be shifted to your health insurance.  Coordinated Benefits sound good but this is the one case where you do not want to be coordinated because it can result in you not getting the care you need.  When you select Coordinated Benefits it means your health insurance is primary, and your auto insurance is secondary when it comes to paying the bills.  The bills first go to your health insurance and what they don’t pay goes to your auto insurance company to pay.

There are a number of reasons why I am recommending Full Medical on Auto.  With your auto insurance company as primary you can see any health care provider you choose.  With auto as primary you are dealing with only one insurance carrier which great simplifies things.  When two or more insurance companies are involved, believe it or not, it can be much more difficult to get anything paid.  I knew one patient who had five different insurance companies covering him, and none of them paid until after lengthy litigation.  Coordinated benefits creates twice the work for your health care providers, and results in much lower rate of reimbursement.  As a result, some health care providers do not want to be involved in coordinated benefit cases.

Full medical on your auto policy will cost a little more but is well worth it in the event you sustain serious injuries in an auto accident.  In the event of serious accidents, the cost of medical and psychological care can run into the millions of dollars.

So give yourself a little quiz now.  Do you have Full Medical on your auto insurance policy?  Who is primary in the event you need medical or psychological care in the event of an accident?  Do you have coordinated medical benefits on your auto insurance policy?