Auto Insurance Tips and Free Quotes

The Sunshine State is a No Fault state which requires motorists to carry Personal Injury Protection (PIP) and Property Damage Liability for as long as they have a vehicle with at least four wheels registered and licensed in FL. While most Floridians are aware of this, PIP and auto insurance in general can be a complicated product which many residents may not fully understand; individuals should take the time to know exactly how their policies will cover them in the event of a loss to ensure that they are properly insured.

Personal injury protection will pay for the injuries of the policyholder up to coverage limits regardless of who is at fault for causing the traffic accident; this portion of Florida car insurance policies will also cover the insured’s children and other resident members of their household. PIP may also cover certain passengers who lack coverage and drivers who operate the policyholder’s vehicle with permission. In addition, personal injury protection will cover the injuries sustained by passengers unless they own a vehicle and lack PIP or have a policy of their own which will cover their medical costs up to their coverage limits.

How Florida Car Insurance Compensates for Claims

The minimum limit that a motorist can carry at any given time is is $10,000 in personal injury protection in addition to property damage liability; many consumers are under the misconception that if they suffer injuries medical costs will be covered by their policy as long as they do not exceed their limits, but this is untrue. When a resident purchases coverage they have the choice between getting a policy with a deductible or waiving that option which may increase their premium. At the time they file a claim and have opted for a deductible they would be responsible for paying the amount chosen to medical care providers.

One other misconception that motorists may have about auto coverage is that if they get a medical bill in the amount of $10,000 that the bill will be covered. According to an automobile insurance consumer guide provided by Alex Sink, Chief Financial Officer of Florida this would not be the case. PIP would cover 80% of necessary medical expenses, therefore, if a policyholder incurs medical expenses totaling $10,000 and does not have a deductible the insurer would pay $8,000 dollars and the remaining $2,000 would be the responsibility of the insured. If the bill is in the amount of $16,000 than the total policy limit of $10,000 would be paid, but the insured would be left with the remaining $6,000. Consumers can consider purchasing higher limits if they wish and should contact the department of insurance or a professional if they have any questions to prevent the chances of being left with a big medical bill.

Source: http://www.onlineautoinsurance.com/florida/