Medical payments coverage is the portion of a homeowners insurance policy that helps cover minor expenses if a guest is accidentally injured on your property — even if the injury wasn’t your fault. It sometimes applies in the case of accidents away from home, too (although fault is required in these circumstances). Also referred to as Coverage F or MedPay, it is often used for smaller and immediate medical needs like X-rays, ambulance rides, and hospital stays.
Payouts are usually capped between $1,000 to $5,000, depending on the specifics of your policy. Being able to cover smaller injuries like this is often enough to discourage the injured party from pursuing legal action against you — saving time, money, and hurt feelings.
Note: Medical payments coverage is also a component of a car insurance policy. The information on this page refers to medical payments coverage for homeowners insurance policies only.
What does medical payments coverage typically cover?
Medical payments coverage helps cover costs associated with small injuries your guests experience, regardless of fault. Here are some expenses that might be covered:
- Ambulance rides and EMT fees
- Dental services and procedures
- Doctor visits
- Health insurance deductibles and co-pays
- Hospital stays
- Immediate medical attention
- Surgery
- X-rays
Additionally, this protection sometimes travels with you, paying for medical bills if you or a family member accidentally injures someone elsewhere. Check with your insurer to understand the extent of the coverage your policy offers.
Examples of medical payments coverage claims
Here are some scenarios when medical payments coverage might be useful:
- A friend joins you for coffee in your sunroom. While walking to the kitchen to refill her mug, she trips over her untied shoestring, breaking her wrist as she falls. Medical payments could cover needed X-rays and treatment.
- A visiting family member bumps his head on an open cabinet door and cracks his tooth. Medical payments could cover the dental work needed.
- A stranger is knocked down at the grocery store after you accidentally bump into them with your cart. Medical payments could cover the resulting diagnostic tests and doctor visits, even though the accident occurred away from your home.
What does medical payments coverage not cover?
Medical payments coverage is not for the following:
- Injuries you or residents of your home experience
- Property damage
- Pain or suffering
- Lost wages
Policies also typically exclude tenants if you’re renting out your property (you should carry landlord insurance for this), as well as technicians or contractors who get injured while working on your property (always hire contractors with proper insurance).
How does medical payments coverage differ from personal liability coverage?
Standard home insurance (called an HO-3 policy) includes both medical payments coverage and personal liability coverage. But what’s the difference? In short, the main differences between medical payments coverage and personal liability insurance are their coverage limits, fault requirements, and coverage for personal property damage.
Coverage limits
Medical payments coverage is for small expenses. Limits are typically capped somewhere between $1,000 and $5,000.
Personal liability coverage, on the other hand, usually has much higher limits. These limits can help cover legal costs should someone sue you over an injury (or property damage) that occurred on your property. Experts often advise carrying at least $300,000 of personal liability coverage on your home insurance policy, but you may be able to increase this limit to up to $1 million. However, opting for a higher coverage limit will increase the cost of the policy (called your premium).
Fault (liability)
MedPay covers costs related to injuries to your guests, regardless of who is at fault. It’s meant to be a stress-free process so you can focus on caring for the person who is hurt, without worrying how much it will cost or who is responsible for the injury.
Personal liability coverage only applies if you or a member of your household is at fault for the injury (or property damage).
Personal property
Medical payments coverage is only for third-party bodily injuries (i.e., injury to someone who does not live in your home). If someone’s personal property is damaged at your home, MedPay will not apply.
On the other hand, personal liability coverage is for both injuries to other people and damage to other people’s property.
Why is medical payments coverage important?
Because medical payments coverage can pay for a guest’s medical expenses related to a small injury, regardless of fault, it helps avoid the hassle of lawsuits. This can save everyone a lot of time and money — not to mention preserve the relationship. With money available to pay for medical costs, you don’t need to have any awkward conversations about fault and potential litigation.
How much medical payments coverage do you need?
Medical payments coverage limits usually fall between $1,000 and $5,000, while personal liability coverage limits should be at least $300,000.
However, if you regularly entertain guests or your home poses more unique risks (e.g., you have a pool or a dog), you may want to consider a higher limit than $5,000 for MedPay and a higher limit than $300,000 for personal liability.
