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Under the ISO Personal Auto Policy (PP 00 01) Part B — Medical Payments Coverage, which statement BEST describes how the coverage applies?
AIt pays only the named insured's medical bills, and only when another driver is found legally at fault for the accident
It pays reasonable medical and funeral expenses incurred within 3 years of a covered auto accident for an insured, regardless of fault
CIt pays only when the at-fault driver is uninsured and the insured has exhausted all other available medical coverage first
DIt pays lost wages, replacement-services costs, and pain-and-suffering damages to the insured on a no-fault basis up to the per-person limit shown
Why this is the answer
Part B Medical Payments is first-party coverage with no fault requirement. It pays reasonable expenses for necessary medical and funeral services for bodily injury caused by an auto accident, sustained by an insured (named insured, family members in any auto; others while occupying a covered auto). Typical limits are $1,000–$10,000 per person. Services must be rendered within 3 years of the accident. It does NOT pay lost wages or pain-and-suffering (those are damages recoverable in tort or under no-fault PIP states). See ISO PP 00 01 Part B.
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