Final answer:
The incorrect statement about medical payments coverage is that it is not needed if you have health insurance, as it can provide additional benefits not fully covered by regular health insurance, such as deductibles and co-payments.
Step-by-step explanation:
The question asks which statement is not true regarding medical payments coverage. The incorrect statement is option B) "It is not recommended or needed if you have health insurance."
This is not necessarily true because medical payments coverage can provide additional benefits that may not be fully covered by regular health insurance, such as covering deductibles, co-payments, co-insurance payments, or even potentially covering funeral costs.
Medical payments coverage is beneficial as it covers both family and non-family members, and it is often recommended to have a coverage of about $10,000 per person. The presence of health insurance does not negate the utility of medical payments coverage, especially for those who might be underinsured or facing high out-of-pocket costs relative to their income.