Can health insurance cause a denied auto insurance claim? (Claims + Laws)
Health insurance usually won't cause a denied auto insurance claim. Instead, health and auto insurance can work together to cover car accident injuries, but you must carry personal injury protection, ranging from $5-$50 monthly. We'll explain more about the reasons an insurance claim can be denied here.
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Laura Gunn
Insurance and Finance Writer
Laura Gunn is a former teacher who uses her passion for writing and learning to help others make the best decisions regarding finance and insurance. After stepping away from the classroom, Laura used her skills to write across many different industries including insurance, finance, real estate, home improvement, and healthcare. Her experience in various industries has helped develop both her ...
Insurance and Finance Writer
UPDATED: Feb 15, 2024
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Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Feb 15, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Health insurance companies can’t deny claims related to auto accidents
- Auto insurance companies can deny claims if you’re at fault
- Health insurance steps in when auto insurance stops paying for claims
Car accidents can be scary. On top of dealing with the injury itself, you’ll also have to think about filing an auto insurance claim. The last thing you want to worry about is the medical expenses associated with the accident and whether your insurance will cover your treatment.
The good news is that car insurance and health insurance don’t cancel each other out after a car crash, but instead work together. However, you must have the right type of auto insurance: personal injury protection.
If you’re searching for affordable car insurance near you, feel free to enter your ZIP code into our free comparison tool above to get started today.
Understanding Whether Health Insurance Can Lead to a Denied Auto Insurance Claim
You probably understand that health insurance isn’t intended to cover auto accidents because that’s what the medical portion of your auto insurance is for. But if your next question was, “Will health insurance cover a car crash injury?”, the answer is: sometimes, yes.
The amount varies by state, but in most places, you must have a certain amount of coverage when you purchase car insurance.
How much is full coverage auto insurance? The cost of auto insurance varies by state. Here’s a summary of the average annual rate by each state.
States | Average Monthly Auto Insurance Rates |
---|---|
Virginia | $197 |
Hawaii | $213 |
West Virginia | $216 |
Massachusetts | $223 |
Ohio | $226 |
Maine | $246 |
Idaho | $248 |
Iowa | $248 |
Washington | $255 |
New Hampshire | $263 |
Wyoming | $267 |
Montana | $268 |
Vermont | $270 |
Kansas | $273 |
Nebraska | $274 |
Illinois | $275 |
Missouri | $277 |
North Carolina | $283 |
Indiana | $285 |
Alaska | $285 |
New Mexico | $289 |
Oregon | $289 |
Alabama | $297 |
Wisconsin | $301 |
Utah | $301 |
Tennessee | $305 |
Median | $305 |
Mississippi | $305 |
California | $307 |
Arizona | $314 |
South Carolina | $315 |
Colorado | $323 |
South Dakota | $332 |
Pennsylvania | $336 |
Texas | $337 |
Arkansas | $344 |
Oklahoma | $345 |
North Dakota | $347 |
New York | $358 |
Minnesota | $367 |
District of Columbia | $370 |
Maryland | $382 |
Connecticut | $385 |
Florida | $390 |
Nevada | $405 |
Georgia | $414 |
Rhode Island | $417 |
Kentucky | $433 |
New Jersey | $460 |
Louisiana | $476 |
Delaware | $499 |
Michigan | $875 |
Factors that affect auto insurance rates include age, gender, marital status, credit history, commute mileage, driving record, coverage level, and area. Each city, county, and town has a unique annual rate. Urban areas tend to have more expensive rates due to the increased risk of an accident, but rural areas generally have cheaper rates.
Health insurance will step in after the limits of your auto policy have been exceeded, meaning your car insurance liability coverage or the at-fault driver's coverage steps in first. Then, once those limits get reached, your health insurance pays the remaining costs.Daniel Walker Licensed Auto Insurance Agent
It’s very unlikely that you’ll be denied a claim by your health insurance company after a crash. In the rare event, it’s usually because your car insurance provider is the primary insurer and your health insurer is directing you back to them as a first resort. Usually, health insurance won’t deny claims for any other reason, and car accident injuries are still covered by health insurance.
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How Much Health Insurance Must Pay for a Car Accident
Health insurance must pay for any medical expenses if you’re injured. However, in the case of a car accident, they’ll usually defer to your car insurance policy first. Your car insurance is usually your primary insurer for injuries caused by accidents, which is why auto insurance is required by law in most states.
The data presented below is a summary from the Insurance Information Institute that lists the minimum auto insurance requirements by state:
States | Coverages | Limits |
---|---|---|
Alabama | Bodily injury and property damage liability | 25/50/25 |
Alaska | Bodily injury and property damage liability | 50/100/25 |
Arizona | Bodily injury and property damage liability | 15/30/10 |
Arkansas | Bodily injury and property damage liability; personal injury protection | 25/50/25 |
California | Bodily injury and property damage liability | 15/30/5 |
Colorado | Bodily injury and property damage liability | 25/50/15 |
Connecticut | Bodily injury and property damage liability; uninsured/underinsured motorist protection | 25/50/20 |
Delaware | Bodily injury and property damage liability; personal injury protection | 25/50/10 |
Washington, D.C. | Bodily injury and property damage liability; uninsured/underinsured motorist protection | 25/50/10 |
Florida | Property damage liability and personal injury protection | 10/20/10 |
Georgia | Bodily injury and property damage liability | 25/50/25 |
Hawaii | Bodily injury and property damage liability; personal injury protection | 20/40/10 |
Idaho | Bodily injury and property damage liability | 25/50/15 |
Illinois | Bodily injury and property damage liability; uninsured/underinsured motorist protection | 25/50/20 |
Indiana | Bodily injury and property damage liability | 25/50/25 |
Iowa | Bodily injury and property damage liability | 20/40/15 |
Kansas | Bodily injury and property damage liability; personal injury protection | 25/50/25 |
Kentucky | Bodily injury and property damage liability; personal injury protection; uninsured/underinsured motorist protection | 25/50/25 |
Louisiana | Bodily injury and property damage liability | 15/30/25 |
Maine | Bodily injury and property damage liability; uninsured/underinsured motorist coverage; medical payments | 50/100/25 |
Maryland | Bodily injury and property damage liability; personal injury protection; uninsured/underinsured motorist coverage | 30/60/15 |
Massachusetts | Bodily injury and property damage liability; personal injury protection | 20/40/5 |
Michigan | Bodily injury and property damage liability; personal injury protection | 20/40/10 |
Minnesota | Bodily injury and property damage liability; personal injury protection; uninsured/underinsured motorist coverage | 30/60/10 |
Mississippi | Bodily injury and property damage liability | 25/50/25 |
Missouri | Bodily injury and property damage liability; uninsured/underinsured motorist coverage | 25/50/25 |
Montana | Bodily injury and property damage liability | 25/50/20 |
Nebraska | Bodily injury and property damage liability; uninsured/underinsured motorist coverage | 25/50/25 |
Nevada | Bodily injury and property damage liability | 25/50/20 |
New Hampshire | Financial responsibility only | 25/50/25 |
New Jersey | Bodily injury and property damage liability; personal injury protection; uninsured/underinsured motorist coverage | 15/30/5 |
New Mexico | Bodily injury and property damage liability | 25/50/10 |
New York | Bodily injury and property damage liability; personal injury protection; uninsured/underinsured motorist coverage | 25/50/10 |
North Carolina | Bodily injury and property damage liability; uninsured/underinsured motorist coverage | 30/60/25 |
North Dakota | Bodily injury and property damage liability; personal injury protection; uninsured/underinsured motorist coverage | 25/50/25 |
Ohio | Bodily injury and property damage liability | 25/50/25 |
Oklahoma | Bodily injury and property damage liability | 25/50/25 |
Oregon | Bodily injury and property damage liability; personal injury protection; uninsured/underinsured motorist coverage | 25/50/20 |
Pennsylvania | Bodily injury and property damage liability; personal injury protection | 15/30/5 |
Rhode Island | Bodily injury and property damage liability | 25/50/25 |
South Carolina | Bodily injury and property damage liability; uninsured/underinsured motorist coverage | 25/50/25 |
South Dakota | Bodily injury and property damage liability; uninsured/underinsured motorist coverage | 25/50/25 |
Tennessee | Bodily injury and property damage liability | 25/50/15 |
Texas | Bodily injury and property damage liability; personal injury protection | 30/60/25 |
Utah | Bodily injury and property damage liability; personal injury protection | 25/65/15 |
Vermont | Bodily injury and property damage liability; uninsured/underinsured motorist coverage | 25/50/10 |
Virginia | Bodily injury and property damage liability; uninsured/underinsured motorist coverage | 25/50/20 |
Washington | Bodily injury and property damage liability | 25/50/10 |
West Virginia | Bodily injury and property damage liability; uninsured/underinsured motorist coverage | 25/50/25 |
Wisconsin | Bodily injury and property damage liability; uninsured/underinsured motorist coverage; medical payments | 25/50/10 |
Wyoming | Bodily injury and property damage liability | 25/50/20 |
These limits are the minimum, but auto insurance providers may suggest that auto insurance policyholders get a higher coverage level in case the coverage limit is not enough to cover the total cost of damage and injuries.
How Personal Injury Protection Auto Insurance Coverage Works
Personal injury protection (PIP) auto insurance is a coverage required in 12 states with no-fault auto insurance laws. So, this means your own insurance, not the other party’s, pays for your medical expenses.
Liability insurance covers the other party's injuries 🩹when you cause a crash but doesn't cover your injury costs💵. https://t.co/27f1xf1ARb has a guide 📑to PIP insurance to help you decide if it's right for you. For all the info you need, check out👉: https://t.co/nvfJAtfPV0 pic.twitter.com/mAMcCEVZju
— AutoInsurance.org (@AutoInsurance) October 5, 2023
In these states, your PIP is your primary insurer, and they’ll pay out your claims before health insurance kicks in. As with regular insurance, it pays until your limit is reached, and then health insurance kicks in.
Health Insurance and PIP: How They Work Together to Pay for Medical Bills After a Crash
You don’t need to worry about not receiving treatment if you’re injured in a crash. In most cases, your auto insurance will kick in first to help cover the medical costs associated with a car accident. If those costs go beyond your policy limits, then your health insurance will usually step in to cover any remaining costs.
Searching for cheap auto insurance and not sure where to start? Just enter your ZIP code into our free quote comparison tool below to begin shopping today.
Frequently Asked Questions
Can health insurance deny a claim caused by an auto accident?
Yes, health insurance providers can deny a claim caused by an auto accident, depending on the circumstances and the terms of your policy.
Do car insurance companies pay medical bills directly?
No, as a general rule car insurance companies don’t pay medical bills out directly.
Auto insurance providers don’t typically pay medical bills to doctors, hospitals, or private medical practices, despite who’s responsible for the accident. The auto insurance company will usually pay you – the policyholder – once a settlement is reached between you and the auto insurance provider.
Your health insurance company may also seek to recover costs from your car insurance provider, or from the other driver if you were not at fault.
Why would health insurance deny a claim related to an auto accident?
Health insurance may deny a claim for an auto accident if it falls under certain exclusions or limitations specified in your policy. For example, if your policy explicitly excludes coverage for injuries sustained in motor vehicle accidents, your claim could be denied.
Why are legitimate auto accident injury claims typically denied?
Sometimes, an auto insurance company will deny a claim based on certain factors. For example, it might decline to pay a medical bill. You’re probably wondering why an auto insurance company would deny a legitimate claim.
Typically, legitimate claims can be denied when you’re at fault in the accident (but typically only with liability coverage). So, if you were the one who caused the accident, your insurance company may deny your claim. However, if you’re found to be not at fault, your claim should likely be approved.
Discuss this with your auto insurance provider as soon as possible so that you can be sure your claim will be approved in the event of an accident based on your coverage.
What are some common exclusions in health insurance policies for auto accidents?
Common exclusions related to auto accidents in health insurance policies may include no-fault auto insurance coverage, coverage for injuries sustained while driving under the influence of alcohol or drugs, or injuries sustained during the commission of a crime.
How can I find out if my health insurance policy covers auto accident-related claims?
To determine if your health insurance policy covers auto accident-related claims, review the terms and conditions of your policy or contact your insurance provider directly. They can provide you with specific information about your coverage.
Are there any alternative options for covering medical expenses from an auto accident if health insurance denies the claim?
Yes, there may be alternative options available to cover medical expenses from an auto accident if health insurance denies the claim. These options may include filing a claim with the at-fault driver’s auto insurance, pursuing a personal injury lawsuit, or utilizing any other applicable insurance coverage you may have, such as auto medical payments (MedPay) coverage.
What steps should I take if my health insurance denies a claim related to an auto accident?
If your health insurance denies a claim related to an auto accident, you should consider taking the following steps:
- Review your policy: Carefully review the terms and conditions of your policy to understand why the claim was denied.
- Contact your insurance provider: Reach out to your health insurance provider to seek clarification and ask for a detailed explanation of the denial.
- File an appeal: If you believe the denial is incorrect, you can file an appeal with your insurance company. Follow their appeal process and provide any necessary documentation or evidence to support your case.
- Seek legal advice: If your claim is still denied after the appeal or if you encounter difficulties in the process, it may be beneficial to consult with an attorney who specializes in insurance or personal injury law.
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Enter your ZIP code below to view companies that have cheap auto insurance rates.
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Laura Gunn
Insurance and Finance Writer
Laura Gunn is a former teacher who uses her passion for writing and learning to help others make the best decisions regarding finance and insurance. After stepping away from the classroom, Laura used her skills to write across many different industries including insurance, finance, real estate, home improvement, and healthcare. Her experience in various industries has helped develop both her ...
Insurance and Finance Writer
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.