“Why do I have medical payments coverage on my home insurance?”
This is a question that comes up quite often when people discuss their home insurance policy with me. It’s actually a great question, because at first glance this doesn’t seem like a coverage that should be associated with your home. That’s what you have health insurance for, right? The truth is that this coverage actually isn’t for you, or any of your household members for that matter. Allow me to elaborate.
Medical payments coverage is only for non-household members. Essentially, it is a good faith payment that your home insurance provider will make, should someone be injured at your home. Most insurance companies give you the option of $1000 or $5000 worth of coverage, but this can vary by company. Also, there is no deductible that you have to pay should you file a medical payments claim on your home insurance policy. The example that I like to use is if you have friends over for the Super Bowl, and one of them slips in your driveway and breaks their arm. You would be able to submit a claim to your insurance company to cover their medical bill, up to the limit that you have on your policy.
Another question that usually comes up about medical payments coverage is in regards to someone doing work at a person’s home. The long story short is that as long as you are not paying someone money to do the work (i.e. a family member or friend is helping you out) then you will still be able to file a medical payments claim if they are injured. The reasoning behind this is if you are paying someone to do work around your home, they technically have a business, and anyone with a business should have their own insurance coverage.
At the end of the day, this seemingly unnecessary coverage could go a long way in saving you from litigation, and/or further liability claims in the unfortunate event that someone is hurt on your property. As always, contact your trusted insurance agent for all questions in relation to your individual policy.