What Are The Minimum Coverage Requirements In Florida For Auto Insurance
Under Florida law, drivers are required to have a minimum level of car insurance in place. These requirements may be expressed as follows: 20/40/15. These numbers refer to the minimum amount of bodily injury liability insurance and property damage liability coverage a driver is required to buy.
The first number (20) refers to the minimum amount of bodily injury liability insurance coverage required to pay for injuries sustained by one individual in a car accident. The second number (40) refers to the limit for damages payable for all injuries sustained in a single accident – no matter how many people were hurt. This policy limit is in effect if there were two people injured in the accident or 10.
The third part of the equation (15) refers to property damage liability insurance. This part of the policy pays for damages to the other driver’s vehicle, as well as any other objects damaged in the collision. It includes items like mailboxes, sign posts and fences.
While the state has set these numbers as being the minimum levels of coverage required, an insurance customer may choose to buy a higher level of protection. If a serious accident occurred, the minimum levels of coverage required under the law may not be high enough to pay for injuries sustained in the accident. Before deciding to stick with the minimum level of coverage only, a car insurance buyer should consider the matter carefully.
Florida Auto Insurance: Is Minimum Coverage Enough?
Florida has determined that drivers should have a minimum of $20,000 for bodily injury liability insurance in place for one person injured in an accident and $40,000 in coverage in place for the injuries of all victims. This may sound like a lot of money, and if the accident is a relatively minor one it may be sufficient to cover all of their injuries.
The problem with buying only the minimum level of coverage required comes when the accident is a major one, and/or there are several victims who have sustained injuries. The $40,000 that you have to pay for these costs may not go very far. The insurance policy will pay out up to its limit (less the deductible you chose). After that point, you would be responsible for paying for any additional damages personally.
What does this mean to you? You may be faced with having to use your savings or sell off your hard-earned assets to pay for the injured person’s medical bills and expenses related to his or her injuries. For example, if the injured person required rehabilitation services after the accident and you had reached the policy limits, you would be paying for them. You would also be on the hook for housekeeping and lawn care expenses if the injured person was no longer able to do them.
Buying a higher level of car insurance than the minimum amount required by law is a good investment in your financial future when you consider the alternative.
Florida Auto Insurance Liability Coverage Requirements
Florida is a no-fault state for auto insurance purposes, which means that claims for personal injuries are dealt with by the policyholder’s own insurance provider. The right to sue to collect damages for injuries following an accident is reserved for situations where the accident resulted in serious, permanent injuries.
The portion of the auto insurance policy which protects the policyholder, his or her family members and other occupants of the vehicle is called Personal Injury Protection (PIP) coverage. The minimum level of PIP required under state law is $10,000, but FL residents can choose to put a higher level of protection in place if they wish. Someone who has limited benefits available under a health insurance plan may want to buy a policy with a higher level of protection, while a person who is already well covered could buy a policy with the minimum level of protection only.
Property damage coverage is also required under state law and this part of the policy pays for damages caused to the other driver’s vehicle, as well as any public property damaged in the accident. The public property covered under this coverage includes, sheds, guard rails, fences, mail boxes and light stands. At least $10,000 in coverage must be put in place to comply with state law.
Even though Florida auto insurance liability coverage requirements do not include bodily injury liability protection, drivers should consider adding it to their policy. It will provide a level of protection if they are involved in an at-fault accident.
10/20/10 Florida Auto Insurance
Many US road users are confused about their coverage obligations and every motorist living in the Sunshine State is expected to purchase 10/20/10 Florida auto insurance. Florida is a no-fault state and this effectively means that all persons involved in a road traffic accident have to make a claim from their own policy.
Instead of having financial liabilities to other drivers, road users who purchase 10/20/10 Florida auto insurance actually have a responsibility to themselves. The minimum mandatory levels of coverage mean that all motorists have a duty to carry the following levels of protection:
- $10,000 worth of personal injury liability per person
- $20,000 worth of personal injury liability per accident
- $10,000 worth of property damage liability
Property damage liability is the only factor within the specified 10/20/10 Florida auto insurance laws that have any bearing over third party drivers. If you damage another vehicle in a collision, or cause damage to the static property of other Florida residents, your property damage liability will cover the cost of repairs of replacement. Your personal injury protection will only cover the cost of treatment for injuries sustained to yourself or other passengers in your car at the time of an accident.
The cost of 10/20/10 Florida auto insurance continues to rise and road users should always take the time to compare their quotes effectively before committing to a purchase. By reviewing multiple policy offers on a like-for-like basis, it is usually quite easy to find a great policy that combines solid protection with an affordable price.