Innumerable proposals on auto insurance reforms – no consensus on any


Although there are a number of proposals that are being put forth by Republicans, there seems to be no consensus on any of them. Lawmakers in the state have been trying to bring about reforms with regard to the no-fault insurance laws in the state. As per the existing law, motorists carry a no-fault coverage of up to $10,000, where auto insurance companies are being forced to shell out the money regardless of who was at fault at the time of the accident.

There are a number of fraudulent claims being made each year and this year alone the fraudulent claims have cost around $1 billion, but there seems to be no quick-fix solution to end this menace. Republicans in Tallahassee have been floating a number of proposals, but nothing seems to have worked so far.

While one proposal is aimed at tightening the licensure of medical clinics and creating a task force to check abuse, there are other proposals that require accident victims to report to emergency rooms, but there are limitations on the medical services that are covered. Apart from these two approaches, there is the third approach. According to this proposal, the law needs to be repealed and replaced with another system, where the individual who causes the accident ends up paying for the damages.

Sen. Joe Negron stated that he was optimistic about being able to address these issues. However, no one is sure about how to go about it. Gov. Rick Scott has called for action in his address on Tuesday. He has called upon legislators to try to bring about reforms to fix the faulty system or the PIP coverage. A number of sincere efforts have been unsuccessful in the last few years due to the politics in the system.

Gov. Scott has backed the House proposal, where the $10,000 coverage would remain, but the crash victims will have to report to the emergency rooms in the hospitals (not their family physicians) within 72 hours and avail treatment. According to the House proposal, there would be limits up to which medical professionals can provide follow-up care.Scott also added that there were other approaches, but the bill was good and that he was extremely supportive of the bill.

However, the bill seems to be quite unpopular with the Democrats who feel that it will limit personal choice. There seems to be opposition from trial lawyers and physicians as well.