Florida is a no-fault car insurance state, which means that the insurance claim process should be more efficient after a car accident, as your own insurance pays for your medical bills and other economic losses. There are many no-fault states across the country. Although legislators have tried to repeal these laws in the past, they have not succeeded. Florida lawmakers adopted the no-fault system as a way to provide compensation to victims of car accidents without the need for a lawsuit.
By requiring each driver to recover the costs of the accident from their insurer, accident victims can obtain the necessary payments much more quickly and efficiently than by filing a lawsuit. For the system to work, all drivers must purchase and maintain auto insurance coverage for protection against personal injury (PIP) and property losses. As long as the victim has this insurance, they are guaranteed to receive payment for medical treatment, lost earnings, replacement services, and death benefits related to the accident. No-fault auto insurance laws were enacted in the 1970s due to frustration with the process of recovering money after car accidents.
You must notify your insurance company as soon as possible after an accident to get your PIP benefits. Florida's claim frequency for personal injury protection coverage was nearly 50 percent higher than the national average, according to the Insurance Research Council, as more than half of the state's claimants hired lawyers, compared to 35 percent in other states. This coverage pays for medical expenses incurred by the insured regardless of who is at fault for the accident, hence the term “no-fault”. If you were driving with a disability at the time of the accident or if you caused it intentionally, your insurance company may not allow you to file a claim.
Since the early days of car insurance, people have been able to choose their preferred method of obtaining compensation after an accident. To cover this, all Florida drivers must have Personal Injury Protection (PIP) insurance included in their car insurance policy. If a passenger is not an automobile owner but has coverage, they must file the PIP no-fault personal injury protection claim with the company that insures the vehicle they occupy. Among the main advocates of the bill are trial lawyers, who see the opportunity for a new type of litigation in car accidents.
Drivers and their passengers injured in a no-fault car accident submit their claims to the no-fault insurance company that covers liability for damage to their vehicle or property. Your insurance company will often ask you to fill out an application for PIP benefits, which is a short form. With over 50 years of combined experience, the legal team at KFB law firm knows how to deal with your insurance company so you can get the financial help you need if you or a member of your family are victims of a car accident. If the accident occurs in a state other than Florida, your PIP will only cover your injuries if you are driving your insured vehicle at the time of the accident.
Insurance Commissioner David Altmaier says the whole no-fault question needs further study, while CFO Jimmy Patronis is concerned that the number of uninsured drivers will increase.