Who Has to Have PIP Insurance in Florida?

PIP coverage is mandated in Florida. That means that everyone who registers a motor vehicle has to have it.

There are a few exceptions to the rule. Vehicles with fewer than four wheels, including motorcycles, don’t need to have PIP insurance. School buses aren’t required to have it – children injured in a school bus accident would be covered by their parents' insurance – but the school bus driver would still need to have PIP on their personal vehicle if they have one. Taxis and limousines aren’t required to carry PIP insurance, and inoperable vehicles don’t need it.

Most of the time, though, if you’re going to register a motor vehicle in the state of Florida, you will be required to show proof that you’ve purchased PIP insurance first (you will also have to purchase minimal property damage coverage, which is not discussed here).

What Does PIP Cover?

To understand what PIP covers, it’s important to remember that Florida is a no-fault state. This means that regardless of who caused the accident, each driver is supposed to carry a minimum amount of insurance that covers up to $10,000 of their own injuries. That’s what PIP is for.

PIP covers emergency treatment, hospitalization, lab testing, prescriptions, and physical therapy, up to a limit of $10,000. PIP can also cover economic losses, such as up to 60% of a person’s lost wages. Additionally, in the event of a fatality, PIP also covers a death benefit of $5000, which can be used to defray expenses such as funeral and burial costs.

Can I Still Sue After an Accident?

Many drivers don’t realize until they get into an accident that it’s their insurance that’s meant to pay for their medical bills, not the other driver’s insurance. If you also didn’t realize this, you may be wondering what you’d do if you were in an accident where the expenses added up to over $10,000.

The answer is that you can still sue the other driver. There are only about 10 states that have PIP, and in many cases, they only allow lawsuits if a death has occurred or if the injury results in severe disfigurement or is permanent.

The point of requiring PIP is to reduce lawsuits and reduce the waiting time for accident victims to receive compensation. If fault isn’t taken into account and each person’s own insurance company pays for their injuries, injured victims receive money to pay the bills from the accident more quickly. 

However, in Florida, drivers can sue the at-fault party not only for death, permanent injury, disfigurement or a permanent injury, but also for medical expenses in excess of $10,000.

It's important to remember that there are time limits on how long a driver can wait before taking legal action. That’s why one of the first things a person should do after a car accident is contact a personal injury lawyer. An attorney will be able to advise you on how to take the right actions at the right times to preserve your right to sue.

Is There Other Insurance I Should Have?

If you’re wondering whether PIP insurance is enough, it’s a good question! Legally, it’s enough – you’re allowed to drive your car as long as your PIP insurance is intact. Financially, though, it might not be. You know that if you’re injured in an accident, your treatments could easily end up exceeding the PIP limits. $10,000 only covers so much healthcare (and it’s not much to be honest). Other drivers have the same issue. That means that if you’re in an accident and you injure someone else with your car, they could end up suing you for fatalities, permanent injuries, disfigurements, or accident-related treatment totaling above $10,000. At that point, they would be able to sue for pain and suffering as well.

You'd be at risk if you don’t have additional insurance to cover this kind of claim. If the proceeds of a lawsuit have to come out of your personal funds, rather than insurance, it could be financially devastating for you and your family. It’s the reason why many drivers choose to add bodily injury liability coverage to their insurance policy. This allows an injured driver to recover money from your insurance company, not necessarily you personally.

Various other additions can also be helpful, such as medical payments, which add extra medical coverage for you, and various levels of insurance that protect the car, covering repairs. If you’re driving a car that’s leased or financed, the company you’re making payments to may require you to carry more than just the legally-required PIP insurance because the insurance protects their interest in the car until you’ve paid it off or traded it in.

Conclusion

PIP is the minimum mandated medical insurance you have to carry to drive a motor vehicle in Florida. It covers medical care, economic losses, and death benefits. Florida drivers still have the right to sue if their losses exceed the PIP limits, and additional insurance may be required to protect drivers from having to pay out lawsuit settlements from their personal funds. 

"The information provided herein is simply a brief overview of the Florida law on this particular matter. It should not be relied upon for legal purposes, as the facts and circumstances to any specific legal matter may vary substantially from the limited explanation and application of often complicated legal rules and principles that may be addressed herein, or applicable in your particular legal matter. You should only rely upon legal advice provided to you by a licensed attorney who has had an opportunity to fully evaluate your particular legal matter".