Medical payments insurance covers?

• A. Pays third parties for limited medical expenses without filing a lawsuit.
• B. Covers the owner's medical expenses.
• C. Is illegal in most states.
• D. Only covers injuries to residents.

Answer: (A)

Medical payments coverage is an auto insurance feature that provides quick, no-fault reimbursement for medical expenses resulting from a car crash. It helps pay the medical bills of people injured in the crash—typically the occupants of the insured vehicle and, in many policies, other third parties involved up to a per-person limit. The key point is you don’t have to sue to get these benefits; payment is made regardless of fault, up to the policy’s limit. This coverage is specifically for medical costs and does not cover non-medical damages or property damage, and it isn’t limited to residents or to the owner unless those people fall under the insured-vehicle occupants.