Florida is among nine other states that offer 'No fault' auto insurance. New Jersey, Pennsylvania and Kentucky allow drivers to choose from either no-fault or traditional coverage. The main idea behind the No-fault insurance law, also known as Personal Injury Protection (PIP), is to compensate the insured party in a car accident, regardless of who is at fault. The insurance coverage limits and each particular situation will determined what the payout amount really should be.
Individuals injured in an accident with a no-fault insured driver can expect their medical bills, cost of rehabilitation and lost wages to be covered by the policyholder's insurance. For this reason, they may not sue the driver or vehicle owner for pain, emotional distress or suffering, except under certain predetermined conditions known as thresholds.
In Florida, the minimum required liability just $10,000 of personal injury protection and $10,000 of property damage liability (PDL). These limits are barely sufficient and obtaining more coverage is highly recommended.
There are a few things regarding Florida No-fault Insurance that you may not realize. For instance, suing the at fault driver is an option. Although, no-fault insurance law is intended to mean less litigation, it does not necessarily mean you cannot take the at fault driver to court. Obviously, specific conditions or thresholds must be met. Death or significant disfigurement are under verbal threshold, huge medical expenses belong to the monetary threshold.
Your insurance carrier may require you to be examined independently. In order for the Florida No Fault insurance law to operate properly, independent medical examination is needed. It’s your insurance company's right to pick a doctor and ask for an independent examination. You really have no choice but to oblige their request, or else your insurance policy will be terminated.
Your Personal injury protection does not cover you 100%. It’s a widespread misconception to assume that Personal injury protection will cover all medical bills and fees. In fact, PIP only covers 80 percent.
By understanding Florida No-Fault insurance law, you will be able to purchase the right insurance plan for you. Ask your insurance agent as many questions as you need to in order for you to feel comfortable with your policy decision. If you would like me to review your policy with no obligation, call my Panama City office or email me today. Too often, I have clients who have been injured due to someone else's negligence only to find they do not have adequate insurance to cover the expenses.