If you’ve been injured in an automobile accident, dealing with insurance companies can be a bit overwhelming; especially if you don’t speak their language. Knowing these common insurance terms can help ensure that you can navigate your medical claims like an expert and not get lost in the red tape.
Med Pay: Med Pay, also known as medical payments coverage, is a option that you can add to your policy that covers the medical bills of you and your passengers in the event of an accident regardless of who is at fault. The amount Med Pay covers depends on the limits set by your individual policy that on average is about $25000. This benefit kicks in immediately and can be used as fault is determined and you wait for claims to be filed.
Body Injury Liability: If a driver is determined to be at fault in an accident that causes bodily injury to the occupants of the other vehicle(s), this portion of an insurance policy is used to cover those costs until the policy limits are reached.
No Fault: In a no fault state, you may make a claim against your own insurance for compensation regardless of who is at fault in the accident. Nevada is not a no fault state, and the party at fault in the accident is financially responsible for physical damages and medical expenses.
Uninsured Motorist Coverage: If that at-fault driver leaves the scene without providing sufficient insurance info or if they do not carry a state-mandated liability policy, uninsured motorist coverage kicks in to cover property damage and medical expenses. This is an optional area of coverage and is not included with your basic insurance coverage.
Property Damage Liability: For the driver at fault in an accident, property damage liability coverage is used to cover damage to the other vehicle(s) as well as any other structures involved in the accident such as buildings. In Nevada, you must carry a minimum of $10,000 property damage liability coverage. This part of your policy is not used for medical expenses.