Medical Payments Coverage vs. PIP on a Florida Auto Policy

MedPay and PIP both pay medical bills after a Florida car accident, but they work very differently. Here's what I'd tell my own family to buy.

TL;DR Florida requires PIP (Personal Injury Protection) on every auto policy, and it pays 80% of your medical bills up to $10,000, no matter who caused the crash. Medical Payments coverage (MedPay) is optional, but it can pick up the 20% PIP leaves behind and cover costs after PIP runs out. Here's what I'd tell my own family: don't assume PIP has you covered. It almost never covers everything. At a glance | | PIP | MedPay | |---|---|---| | Required in Florida? | Yes, minimum $10,000 | No, optional | | Who it pays | You, regardless of fault | You, regardless of fault | | What it pays | 80% of medical bills, 60% of lost wages | Up to 100% of medical bills, up to your chosen limit | | Typical limits | $10,000 | $1,000 to $10,000, sometimes higher | | Covers the 20% PIP doesn't pay? | No | Yes, often | | Covers funeral costs? | Limited amount | Sometimes, check the policy | | Stacks with health insurance? | Usually pays first | Can supplement after PIP | A fender-bender on a Florida highway can quickly exhaust your PIP coverage, leaving unexpected out-of-pocket costs. What PIP actually covers (and what it doesn't) Florida is a no-fault state, which means your own auto insurance pays your medical bills after a crash, regardless of who caused it. That's PIP. The state requires at least $10,000 in PIP on every policy registered here. Here's the part that trips people up. PIP doesn't pay 100% of your bills. It pays 80% of reasonable medical expenses and 60% of lost wages, up to that $10,000 cap. So if you rack up $10,000 in emergency room and follow-up bills, PIP is only going to cover $8,000 of it. You're on the hook for the other $2,000, unless something else steps in. There's also a requirement that you seek initial treatment within 14 days of the accident, or PIP benefits…