Skip to Content
Top

Having Your Healthcare Policy As “Primary” for Auto Related Injuries Isn’t Smart

person on phone next to damaged crash vehicle
|

We all know that cheaper doesn’t often mean better. But sometimes, cheaper doesn’t even mean, well, “cheaper.”

Case in point is Michigan’s New No-Fault law. There is a “coordinated” policy option that allows a policyholder to confirm that injuries suffered from an automobile accident when the insured is not at fault should be applied as a primary coverage to the healthcare policy. The thought process is that it may lead to reduced premiums from the auto insurer.

As we have so often said when blogging about the new No-Fault law, it is truly “buyer beware.” The first issue is that many healthcare policies may not even cover the cost of medical bills associated with an automobile injury. If you do reach out to your healthcare insurer to inquire, you may find this is not even an option.

Second is that if such coverage is possible, your healthcare premiums are likely to increase either now or in the future if any changes are made. Or if you suffer an accident that results in high medical bills, you may be deemed “uninsurable” when renewal comes around.

Third is that you would still be subject to your healthcare policy deductibles, which could be extremely high. These deductibles may easily outweigh any minimal savings on your auto insurance policy.

Lastly, your auto insurance premiums may not even fall that much – if at all.

In other words, chances are this is not a viable option for most families in terms of cost. That’s why it pays to be informed. The team at Bashore Green can help. We work with families who suffer auto accidents every day and we can guide you along the right path. Contact us to learn more!

Categories: