Ballywho News

Since 1972, Florida has been a “No Fault” state. That means Florida drivers are required to carry Personal Injury Protection (PIP) insurance to cover them in case of an accident. This coverage provides money for medical bills, lost wages, and burial or funeral expenses that are incurred as the result of an auto accident. If you are injured in an accident, your PIP insurance will cover the bills, even if the other driver is faulted for the accident; hence the nickname “no-fault insurance.”

What Does PIP Insurance Cover?

Every Florida driver is required to carry at least $10,000 in PIP coverage. Regardless of who is faulted in the accident, your PIP insurance pays for any of your medical care, lost pay, and even funeral expenses if needed. However, coverage is not limited only to the person who purchases the policy: PIP also covers any children or other family members, and most car passengers, especially if the passenger does not have PIP insurance:

• Children riding the school bus are protected by their parents’ PIP insurance.
• Pedestrians who are injured or involved in an auto accident may make claims for injuries on their PIP policies.
• Passengers in other people’s vehicles may be eligible for payments under their own policies, or those of the car driver. Generally one insurance company agrees to be the primary insurance, while the other pays any excess cost not covered by the primary policy.

What’s the Benefit of No-Fault Insurance?

Although people have argued that PIP insurance unnecessarily drives up the cost of auto insurance, the practice has multiple individual and legal benefits. The primary goal of requiring PIP insurance is to reduce the number of personal injury cases, thereby relieving some stress on local legal systems.

Meanwhile, car accident victims no longer have to wait for insurance companies to make decisions about which costs they will cover. Since the financial responsibility clearly falls on one insurance company, there is less delay for payment. Policy holders often can avoid litigation altogether, reducing their out-of-pocket expenses.

What if My Costs Exceed My Coverage?

It’s important to note that if the other driver is faulted for the accident, the driver’s insurance company is responsible for any medical costs or lost wages that exceed the limits of your PIP coverage. While the insurance company may be willing to pay, it may be necessary to follow a lengthy process.

If the insurance company resists payment, the next step is usually litigation. It’s critical to choose an attorney with extensive experience in personal injury and auto insurance cases. The right auto accident attorney can expedite the trial process and get the best payment for you.

Florida’s PIP insurance requirement protects you and your family from unexpected costs associated with car accidents. The additional cost for a more comprehensive policy is worth knowing that you’ll have the financial safety net you need after an auto accident.