If You're Hurt in Your Truck, Is PIP or MedPay Enough?

 

You see PIP or MedPay listed on your trucking policy and assume you are covered if you get hurt.

But the first question is not how much, it’s who. So let’s define that first.

Who Does PIP Cover?

Personal Injury Protection is first party coverage. That means it pays medical expenses for people who qualify as insureds under the policy.

On most commercial auto policies, PIP typically applies to:

• The Named Insured
• Sometimes family members if the Named Insured is an individual
• Certain occupants of a covered auto
• Sometimes employees while occupying a covered auto

The key phrase is Named Insured.

On a trucking policy, that is usually the motor carrier entity listed on the declarations page.

Not every driver automatically qualifies.

If the policy language extends PIP to “any person occupying a covered auto,” then a driver physically in the truck may qualify.

If the wording is narrower, coverage may be limited to the Named Insured and specific classes.

You cannot assume someone is coverage, the definitions control everything.

Who Does MedPay Cover?

Medical Payments coverage is also first party medical coverage.

It usually applies to:

• The Named Insured
• Other people occupying a covered auto with permission

But many commercial forms exclude:

• Anyone entitled to workers compensation
• Hired persons
• Certain insured classes

MedPay is often narrower than people realize and it never includes wage replacement.

What PIP Covers

Depending on the form, PIP may include:

• Medical expenses
• A capped percentage of lost wages
• Replacement services with a daily limit
• Funeral expenses

That sounds strong but the benefits are capped, it is not lifetime income protection.

What MedPay Covers

MedPay can pay for:

• Ambulance
• Emergency room
• Imaging
• Follow up care

Up to the selected limit, that’s it.

No wage replacement or extended structure.

What Neither One Covers

PIP and MedPay do not:

• Replace long term income
• Cover permanent disability
• Protect lifetime earning power
• Replace workers compensation
• Act as disability insurance

They are first-layer medical buffers attached to the auto policy.

If the injury is serious, they run out fast.

How This Applies to Leased On Owner Operators

Now let’s talk about owner operators.

They are usually:

• Independent contractors
• Not employees
• Not the Named Insured

So, do they qualify?

It depends entirely on whether the policy extends coverage to “occupants of a covered auto.”

If it does, and they are driving a covered truck at the time of the accident, they may qualify for PIP or MedPay benefits.

If the form is narrower, they may not.

Even if coverage applies, the limits are still small.

If a leased owner operator suffers a serious injury:

• Workers comp often does not apply
• PIP may be capped
• MedPay may be minimal

That leaves occupational accident coverage, workers compensation or personal health insurance as the real financial safety net.

If none exists, the gap is significant.                      

Regardless of Fault, The Limit Is The Limit

Both PIP and MedPay are designed to pay regardless of fault.

That part is helpful.

But fault does not change the limit.

If the medical coverage is $5,000, it stops at $5,000. An ambulance and ER visit alone will consume most, if not all of that.

Lost income from three months out of work is not covered by MedPay at all.

The Reality for Trucking

If you drive the truck, your body is the revenue generator.

If you run leased on drivers, their injury structure needs to be intentional.

PIP and MedPay are not complete injury plans and may not apply to leased on drivers.

Truck U Take

Before you worry about how much PIP or MedPay you have, make sure you know who it actually covers. And even if it applies, small medical limits are not serious injury protection. If you drive the truck or lease drivers on, your injury strategy has to go deeper than a line item on your auto policy.

If you want to review who qualifies under your PIP or MedPay section and how it interacts with workers comp or occupational accident, we will walk through it with you.

We quote and structure trucking policies every day. Let’s make sure your coverage matches your operation.

Call 254-294-7798 or email info@trucku.biz.

 

Disclosure

This post is for educational purposes only. It is not legal advice, insurance advice, or a substitute for calling your agent. Truck U is good, but we are not psychic. Policies vary, laws change, and courtrooms get weird. Do not make decisions based solely on something you read on the internet unless it is from us, in writing, with your name on it.

All opinions are our own and do not represent the views of any carrier, employer, or underwriting department that occasionally wishes we were quieter on LinkedIn.