When talking with clients and prospects about their insurance, I frequently discover that they are overpaying for their auto insurance. In cases when a client has premium healthcare coverage that has a low-deductible or co-pay, medical coverage on their auto policy is not required. It’s really duplicate coverage and I feel those clients are overpaying for their auto insurance. On the other hand, if a client has a high deductible Health Savings Account type health plan, then medical coverage is appropriate, and the added premium would be well worth spending.

Medical coverage on the auto insurance policy is primary insurance and any auto injuries — even injuries while in someone else’s car — will be paid from a claim to the insured’s policy. Coverage limits can range from $1,000 to $5,000 and up to $50,000 or $100,000 for medical coverage. If a client has a high-deductible, like the maximum $5,800 on a Health Savings Account family plan in 2009, then medical coverage is appropriate to cover that deductible.

Reviewing your auto insurance to look for overpaying on medical coverage or to look for insurance gaps, is a worthwhile endeavor. You won’t find many agents talking about it, unless you ask. That is why we promote the information through every available channel at The Haas Agency. We care about our clients and live our motto, “Experience the Difference at The Haas Agency”.