Florida law requires all drivers to carry at least $10,000 in personal injury protection (PIP) and $10,000 in property damage liability (PDL) insurance. Failing to maintain insurance can lead to license suspension and hefty fines. If you’re in an accident, your insurance coverage – and that of the other driver – will be important. Our Florida car accident lawyers often work with injured clients who struggle to pay their hospital bills and can’t work after a crash.
Below, we’ll explain Florida minimum car insurance rules in more depth.
Understanding No-Fault Insurance in Florida
Florida’s no-fault insurance system means that after a car accident, each driver’s insurance coverage covers their medical care and part of their lost wages, regardless of fault. This system is designed to expedite compensation and reduce the need for litigation.
PIP is the cornerstone of Florida’s no-fault system. It’s mandatory for all vehicle owners in the state and provides coverage for medical expenses, lost wages, and death benefits up to the policy limits. Specifically, PIP will pay for:
- Medical Expenses: Covers a portion of necessary medical procedures resulting from the accident.
- Lost Wages: Compensates for a portion of income lost due to injuries sustained in the accident.
- Death Benefits: Provides a benefit in the event of a fatality resulting from the accident.
However, it’s important to note that there is a maximum amount that PIP will cover. For example, PIP covers up to 80% of necessary medical expenses but is capped at $10,000, which may leave significant out-of-pocket costs for serious injuries.
In cases where injuries meet a certain severity threshold, Florida law allows individuals to pursue additional compensation through personal injury lawsuits against the at-fault driver. This provision ensures that those who suffer significant harm have a pathway to seek full compensation beyond the limits of their PIP coverage. A car accident attorney can assess whether you meet these criteria and what legal options you may have.
Minimum Car Insurance Requirements in Florida
In Florida, as mentioned above, drivers are required to carry a minimum of $10,000 in personal injury protection (PIP) and $10,000 in property damage liability (PDL) insurance. PIP covers medical expenses and certain economic losses for you and your passengers regardless of fault, while PDL covers damages you or members of your household cause to another person’s property in a crash.
Additional Insurance Coverage Options
While Florida mandates minimum insurance coverage, many drivers carry additional types of coverage that could be relevant in the event of an accident:
- Bodily Injury Liability (BIL): Covers injury or death to others when you’re at fault.
- Uninsured/Underinsured Motorist Coverage: Protects against damage caused by drivers without adequate insurance.
- Collision and Comprehensive Coverage: Pays for damages to your vehicle from collisions or non-collision incidents like theft or natural disasters.
- Medical Payments (MedPay) Coverage: Helps cover your medical expenses beyond PIP limits.
These optional coverages can provide significant financial protection beyond the state’s minimum requirements. Discuss adding coverage with your insurance company.
Penalties for Not Carrying Minimum Insurance in Florida
Driving without the required insurance in Florida can lead to severe consequences. The state mandates continuous coverage throughout the vehicle’s registration period. If this requirement is not met, the Department of Highway Safety and Motor Vehicles may suspend your driver’s license and vehicle registration for up to three years.
Reinstating these privileges could mean fees ranging from $150 to $500, depending on the number of offenses. To avoid these penalties, maintain the necessary amount of insurance coverage.
How Florida’s Car Insurance Laws Affect Accident Claims
In Florida’s no-fault insurance system, your personal injury protection (PIP) coverage handles medical expenses and certain economic losses after an accident, regardless of fault. However, if your injuries meet the state’s “serious injury” threshold, you can pursue a personal injury lawsuit against the at-fault driver.
This threshold includes injuries resulting in significant and permanent loss of an important bodily function, permanent injury, significant and permanent scarring or disfigurement, or death. Meeting this threshold allows you to seek compensation beyond PIP limits, including for pain and suffering. Your attorney can speak about the injury threshold and whether your injuries qualify.
Recent Changes to Florida’s Insurance Laws
House Bill 837, signed into law in March 2023, brought significant changes to Florida’s personal injury claims process. The bill modifies comparative negligence rules, meaning if a claimant is more than 50% at fault, they cannot recover damages. Additionally, it limits the ability to recover medical expenses based on what was actually paid rather than billed.
These changes make it more challenging for accident victims to pursue compensation. Having a Florida accident attorney on your side can be helpful when pursuing a personal injury claim under these new rules.
Frequently Asked Questions About Florida’s Car Insurance Requirements
What Happens If I’m Involved in an Accident With an Uninsured Driver?
If you’re involved in an accident with an uninsured driver, your personal injury protection (PIP) will cover your medical expenses up to your policy limits. However, PIP may not cover all costs, especially in severe accidents. If an uninsured motorist injures you, you could rely on your uninsured/underinsured motorist coverage if you added it to your policy.
Does My Insurance Cover Rental Cars in Florida?
In Florida, your existing auto insurance policy may extend to rental cars. However, review your policy or consult with your insurance agent to confirm the specifics if you plan to rent a vehicle, as coverage can vary.
Can I Use Out-of-State Insurance if I Live in Florida Part-Time?
Florida law requires that any vehicle registered in the state must carry Florida-specific insurance coverage, regardless of the owner’s residency status. This means that even if you reside in Florida part-time, if your vehicle is registered there, you must maintain a Florida insurance policy.
A Florida Car Accident Lawyer Can Help
If you’ve been involved in a motor vehicle accident in Florida, one of our Florida car accident lawyers may be able to help you recover compensation for your losses. At GED Lawyers, we can tackle complicated legal processes to give you the peace of mind to focus on your recovery.
When your insurance doesn’t cover the full costs of an accident that was due to someone else’s negligence, recovering fair compensation can give you back your financial stability. Contact the legal team at GED Lawyers today for a free review of your case.
