News release: Colorado - Denver/Boulder

July 7, 2003

For more information, call:
Steve Krizman
Kaiser Permanente
Phone: (303) 344-7932
E-mail: Steve.A.Krizman@kp.org

New auto insurance rules impact health coverage

Denver, CO – Kaiser Permanente members should talk to their auto insurance agent about their medical coverage in a car accident now that no-fault auto insurance has expired. They may not have as much protection as they had with no-fault.

For example, if you are at fault in an auto accident, you may be liable for the medical costs of your passengers if they don’t have health insurance. Also, if you have only the minimum required liability insurance, you will be liable for the medical costs of the people in the other vehicle that exceed $50,000.

You should talk to your insurance agent about uninsured motorist coverage, liability levels and “medical payment” coverage. With medical payment coverage, the medical costs of the uninsured passengers in your car would be covered, up to a limit.

When your no-fault auto policy expires, you will be offered a policy under the state’s new “tort” system. That means:

If you are at fault in an auto accident, your auto insurance company will pay the medical bills of the driver and passengers in the other car. Kaiser Permanente will care for your injuries. Your coverage is subject to the limits of the health plan you or your employer paid for. The deductibles and exclusions for accident injuries are the same as they would be for any other injury or illness. The passengers in your car will be covered by their health insurance company.
If you are not at fault in an auto accident, the other driver’s auto insurance company (assuming he’s insured) pays for your treatment at Kaiser Permanente. The other driver’s auto insurance company also pays the medical costs of your passengers.

If you are injured in an auto accident, authorities on the scene will determine whether you need emergency transport and where you will be taken. If you are taken to a hospital other than Exempla Saint Joseph, Boulder Community or Swedish Medical Center, you or a member of your family should call (303) 764-4595 within 24 hours so that your care can be coordinated with Kaiser Permanente physicians, who have access to your medical file. If you are outside the metro area, call 1-800-632-9700. Deaf or hearing-impaired people who use a TTY/TDD may call (303) 338-3820.

If you do not require hospitalization, you should seek care from your Kaiser Permanente physician. Call (303) 338-4545 and explain that you suffered an injury in an accident. Deaf or hearing-impaired people who use a TTY/TDD should call (303) 338-4428.

The state Legislature let no-fault insurance expire in hopes that auto insurance premium rates will decline. However, the cost of treating people hurt in accidents will not go away. It remains to be seen how much of those costs will be shifted to hospitals and other health care organizations. Kaiser Permanente will not increase premiums this year because of the no-fault shift. Instead, we will evaluate the cost impact this year to determine if an adjustment is needed in future rates.