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PERSONAL INJURY PROTECTION INSURANCE
IS REQUIRED FOR DRIVERS ON JANUARY
1, 2008
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Since the Florida Legislature
passed a bill to reform Florida’s
Motor Vehicle No-Fault Law, citizens
should know that Florida law will
once again require drivers to carry
Personal Injury Protection
(PIP) insurance
effective Jan. 1, 2008.
That means all Florida motor vehicle
owners and operators will be
required to carry PIP in the amount
of $10,000 for losses sustained by
the insured or covered person as a
result of bodily injury, sickness,
disease, or death arising out of the
ownership, maintenance, or use of a
motor vehicle.
By law, PIP coverage pays the
following benefits, up to the
$10,000 limit:
-
80 percent of reasonable and
medically necessary medical
expenses;
-
60 percent of disability
benefits for lost gross income
and earning capacity;
-
100 percent of replacement
services (such as child care,
housekeeping, etc.); and
-
$5,000 per individual death
benefit.
I thought No-Fault went away?
No, the insurance requirements under
Florida’s Motor Vehicle No-Fault Law did
expire on October 1, 2007, but the
requirement for all Florida drivers to carry
Personal Injury Protection (PIP) coverage
will be reinstated on January 1, 2008, per
Florida law.
What
happens if I am injured by an at-fault
driver who does not have auto insurance?
PIP will cover medical payments, up to the
limits stated above, for you and each
passenger in your vehicle regardless of who
is at fault.
If
I have health insurance coverage, do I
really need auto insurance coverage as well?
Yes. By law, you must carry a minimum of
$10,000 in PIP coverage and $10,000 in
property damage liability coverage.
What’s
the bottom line?
By law, you must now carry a minimum of
$10,000 in PIP coverage and $10,000 in
property damage liability coverage.
If
I am in an accident, will my lost wages be
covered?
Yes, PIP will cover up to 60 percent of
disability benefits for lost gross income
and earning capacity, after payment for
medical expenses, up to the $10,000 limit.
What
does Property Damage Liability cover and
under what conditions?
Property Damage Liability coverage, which is
also required under Florida law, pays for
certain damage (up to the limit of the
policy) that you or anyone covered under
your policy cause to another person’s
property through the use of an automobile.
It only covers damage for which you or
anyone insured under your policy are legally
liable.
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