The Affordable Care Act has brought many changes to the health insurance industry. One of these major changes is also connected to your auto insurance and how you and your family are protected if injured in an auto accident. Let me explain further.
In the State of Michigan, your auto insurance policy will pay for medical expenses due to an automobile accident. In the past, it was common for your auto insurance policy to provide you with an option on whether you wanted this type of ‘full’ medical coverage on your auto insurance policy or if you preferred to coordinate and have your primary health insurance policy pay first, followed by your auto policy.
In recent years, there has been an increasing trend whereby health insurance carriers are automatically electing to be a secondary source of coverage. This means your medical bills are paid by your auto insurance policy first and your health insurance policy second.
What does this mean to you? It means you should contact your auto insurance provider to review your policy. It is common to see that your policy already follows this full medical structure. If not, you may see a premium cost associated with making that change. Your personal insurance advisor will be best suited to further explain this scenario and confirm how you and your family can be covered properly.
Until next time, drive safe and stay protected!