Can Legislation Change Who is at Fault?

Can Legislation Change Who is at Fault?

Florida’s “no-fault” insurance system has created a monster in the Sunshine State. Florida remains one of the states with the highest rate of claims fraud clogging the court system. At the same time, Florida motorists are rated #4 for the highest insurance premiums in the nation. One of the reasons for this problem is a mandatory $10,000 PIP, or the personal injury protection clause required by the state. Currently there is legislation proposed that eliminates the $10,000 PIP in Florida.

While eliminating the PIP in Florida is a good first step, the problem of claims fraud is much more complicated than that. Florida has been known as a state where the jury can get carried away with assigning widely inappropriate awards to people who have questionable injury claims. In addition, the question of whether the injury is just a soft tissue issue, an aggravation of a previously existing condition, or an actual “disk” injury is beyond the scope of a normal jury, and they should not be the ones who have to determine what type of injury it is.

Florida HB 1063 and SB 1766 seeks to repeal the mandatory $10,000 PIP and replace it with
a required minimum $25,000 liability coverage for bodily injury or death ($50,000 liability coverage for bodily injury for 2 people). Under the current state regulations, bodily injury is not required. HG 1063 and SB 1766 seeks to change that beginning in 2018. TThe Florida Office of Insurance Regulations estimates that this change would save the average Floridian $81 per vehicle.

Eliminating PIP would mean that there is one less type of insurance coverage that is prone to fraud. However, critics argue that that would just push the problem onto uninsured motorists. To be truly effective, the solution to reducing claims fraud in Florida would have to do more than just eliminate PIP. Although these specific issues are based in Florida, a  attorney like will be more than qualified to handle these specific circumstances.

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