Your Medpay can probably pay you cash.
Medical payments coverage (medpay) is car insurance coverage that pays the medical bills caused by a car accident, up to a limit.
Some policies have no medpay coverage – it’s not required. Some policies have limits of $25,000.00.
You get your medpay benefits by telling your car insurance company that you want to submit a claim under it after the accident. The insurance company usually makes the payments directly to the doctor.
But it probably doesn’t have to. It depends on policy language, but I’ve never seen a policy saying that the insurance company can only make payments to the doctor.
Which means that if you ask, the insurance company will make the payments directly to you.
Of course, there’s a catch. The language also says that when you settle with the guy who caused the accident – really, his insurance company – you have to pay the medpay insurance company back.
There are otherreasons not to take direct payment of the medpay money. When you settle the case, you not only have to pay back what you received in Medpay, you have to pay your lawyer, as well as your health insurance company for what it paid your doctors. (I’m talking about the health insurance company that is paid for out of your job, if you are lucky enough to have a job that provides insurance.) If you don’t have health insurance, you have to pay your doctors.
So if you take the money from the Medpay insurer, when you settle the case, you might have to pay back the Medpay, your health insurance your doctor, and your lawyer. That might not leave much left for you.
In other words, your happy settlement day might not seem so happy. But the flip side is that if you need money now, you need it now.
I have been a lawyer over 30 years. I have this discussion with a lot of clients. If you’ve been injured in an accident, talk with an experienced Cincinnati Injury Attorney about the case. Call me, William Strubbe, at 513-621-4775.
Because all situations are different, and because there may be other facts pertaining to your case that I don’t know about, you should not rely on this answer for legal advice. I am not your attorney, and no lawyer client relationship has been formed.