Automobile insurance coverage requirements and recommendations vary from state to state. What is mandatory in some states may not be in another state. Florida has its own mandatory coverage’s and they are listed below.
The amount of bodily injury liability required in Florida is $10,000 for injuries to a one person and $20,000 to two or more people per accident. Bodily injury liability is the highest amount your insurance company will pay for injuries or death due to an accident. Other higher amounts are available in increasing increments, from $50,000 to $100,000 per person and from $100,000 to $300,000 for two people who are injured in the accident.
Property damage coverage is required in the amount of $10,000 per accident. Property damage covers damages to the property of others or on their property (knocked down fence, light pole that has been hit, etc.)
While this liability coverage is mandatory at these levels, you may select higher coverage. And there are exclusions when the coverage may be denied so make sure that all of the conditions are explained in full when determining your coverage here.
PIP, or personal injury protection, in the amount of $10,000 is required by all Florida drivers. Florida is a no-fault state, therefore, it doesn’t matter who is at fault for the accident, or if the other person has adequate or any insurance at all, you will be covered for bodily injury.
The PIP coverage will take care of up to 80 percent of medical expenses, up to 60 percent of lost earnings due to the accident and coverage for death expenses up to $5,000. In conjunction with lost earnings, the PIP coverage also covers payment for services that you cannot cover due to a loss of income, such as childcare expenses.
If you still owe money on your vehicle you are required by the lender to purchase at least the minimum levels of insurance. If you fail to do this, you will be notified by the lender and they will have the vehicle insured by a company of their choosing and charge you for the coverage. You should always make sure that you keep your vehicle insured by the company you select as the lender’s insurance rates are always going to be higher.
In addition, you may want to include collision coverage so that you are covered for any damage to your vehicle. Comprehensive coverage is also optional but it covers theft or vandalism or just about anything other than an accident that damages your car.
It is important to always carry the minimum required, but stay open to the suggestions of a professional insurance agent who knows the pros and cons of having not enough coverage.