Florida Car Insurance Laws

Mandatory Florida Car Insurance Laws

Mandatory Florida Car Insurance Laws

  • In the state of Florida, every person driving a registered vehicle must carry the state’s minimum coverages. No that doesn't mean find a non registered vehicle to drive ;-)

  • Minimum auto insurance coverages in the state of Florida are: $10,000 bodily injury for one person, $20,000 bodily injury to two or more people, and $10,000 property damage liability.

    Florida’s Financial Responsibility Law states that drivers must also have minimum coverages in the following circumstances:

  • DUI citation and subsequent license revocation
  • A crash that you caused, involving injuries
  • Driver license suspension for too many points
  • License revocation for habitual traffic offenders

    In the state of Florida, all insurance policies must be issued through a Florida agent with an insurance company licensed to sell in Florida. Drivers cannot legally maintain their current policy issued in their previous state of residence.

    Minimum Liability Coverage (Bodily Injury amounts per person, per accident, and property damage amounts):

    If you buy automobile insurance in the state of Florida, your policy must include minimum liability coverage of:

  • 10,000 bodily injury for one person
  • $20,000 bodily injury to two or more peopleand
  • $10,000 property damage liability.

    What are the Rental Car Insurance Requirements?

    In the state of Florida it is against the law to operate a motor vehicle without minimum liability, this includes rental cars. If your credit card or your current auto insurance policy does not cover car rentals, the state of Florida requires that you carry a copy of the rental agreement when renting a motor vehicle, which specifies the insurance coverage.Note: Car rental companies are required by law to offer the minimum amount of liability insurance coverage. Usually, insurance offered by the rental company costs an extra $8-$16 a day; depending on your credit, driving record etc.

    What are the Florida Car Insurance Laws pertaining to Uninsured/Underinsured Motorist Coverage?

    In the state of Florida, Uninsured/Underinsured Motorist Coverage is not required by state law. However, Florida law requires all insurance companies to offer Uninsured/Underinsured Motorist Coverage. If you elect not to carry Uninsured/Underinsured Motorists coverage, Florida Car Insurance Laws requires that the insurance company provide a declaration page indicating that you have selected not to carry these coverages.

    What are the Florida Car Insurance Laws pertaining to the exclusion from coverage of a driver living in household?

    Florida Car Insurance Laws do not require you to list all drivers in the household on your auto insurance policy, but the vast majority of Florida insurance companies will require that you do. If a member of your household is not listed on the policy and he or she is involved in an accident, the insurance company can legally deny the claim... Ouch!, Look into this with your insurance provider if it applies to you.

    What are the Florida Car Insurance Laws regarding whether a driver has prior insurance? That is, how does state law handle it if a driver has no prior insurance or has let their previous insurance lapse?

    If you fail to keep insurance on your vehicle that is registered in Florida for any reason, whether it lapses or it is suspended, the Department of Highway Safety and Motor Vehicles is authorized to suspend your driving privilege for up to three years or until proof of Florida insurance is provided. Florida Car Insurance Laws are very strict in these regards. This suspension includes your vehicle tag and registration. There is also a penalty to reinstate your license. A fee of $150 and up to $500 for subsequent violations must be paid before you can reinstate your license, and you must also provide proof of current Florida insurance.

    What are the Florida Car Insurance Laws and guidelines auto insurance companies must follow regarding the use of Personal Credit History in selecting applicants and setting rates?

    In the state of Florida, Personal Credit History can be used to determine rates and the types of products an insurance company will offer. It is estimated that most Florida customers receive a rate decrease based on their credit score.

    Is the state a No Fault or Tort state? What does either mean to the policy owner?

    While Florida's no-fault system expired on October 1, 2007, a new no-fault law was passed by the Florida legislature, creating a new no-fault system by January 1, 2008. Florida’s no-fault system means that the state does not require its citizens to carry Personal Injury protection (PIP) insurance, Comp and Collision insurance, or uninsured motorist insurance.

    What is the average auto insurance premium in the state of Florida?

    As of 2006, Florida’s resident’s average insurance premium was approximately $1,069 5th most expensive in the nation. This was down 0.5% from the previous year. The national average was $817.Here Is Some Frequently Asked Questions About Florida Car Insurance LawsQ: I am registering a vehicle for the first time in Florida. Is automobile insurance mandatory?

    A: Yes. If you own a vehicle with at least four wheels and are registering it, you must have Florida insurance.

    Q:What type of insurance is required to purchase and maintain a Florida license plate and registration?

    A:Florida's minimum coverage is $10,000 personal injury protection (PIP) and $10,000 property damage liability (PDL) as long as you have a valid Florida license plate.

    Q:What is “Personal Injury Protection” (PIP) insurance?

    A:Also called Florida No Fault Insurance, Personal Injury Protection (PIP) Insurance covers you – regardless of fault (i.e. whether or not you cause the crash) – up to the limits of your policy. Your PIP will also cover your child, members of your household, certain passengers who lack PIP Insurance as long as they do not own a vehicle. People riding in your vehicle who carry PIP will receive coverage under their own PIP for their injuries, and certain licensed drivers who drive your vehicle with your permission. PIP also covers your child if he or she suffers an injury while riding on a school bus. PIP coverage protects you while in someone else’s vehicle, as a pedestrian, or bicyclist if you suffer an injury in a crash involving a motor vehicle. The Florida Motor Vehicle No-Fault Law, requires all owner/registrants of a motor vehicle with four wheels or more to carry a minimum of $10,000 of Personal Injury Protection (PIP) and $10,000 of property damage liability (PDL) if you own a motor vehicle in Florida. Florida Car Insurance Laws requires you to maintain PIP/PDL insurance continuously throughout the licensing and registration period.

    Q:What is " Bodily Injury Liability" (BIL) insurance?

    A:Bodily Injury Liability coverage pays for serious and permanent injury or death to others when you cause a crash involving your automobile. Your insurance company will pay for injuries up to the limits of your policy and provide legal representation for you if you get sued. In particular, your company pays for injuries caused by you or members of your family who live with you, even if they were driving someone else's vehicle. It may also cover others who drive your automobile with your permission. This coverage also provides you with legal defense in the event you are sued by the injured party.

    Q:What is "Property Damage Liability" (PDL) insurance?

    A:This coverage pays for damages you or members of your family cause (and are liable for) to other people's property in a crash involving a motor vehicle.

    Q:What is meant by "Florida Coverage"?

    A:Florida coverage is an insurance policy delivered or issued for delivery in Florida by an insurance company licensed by the Florida Department of Financial Services.

    Q:Can I maintain my current policy issued in my previous state of residence?

    A:No. The minimum required insurance must be issued through a Florida agent with an insurance company licensed to sell in Florida. Most insurers have Florida agents and are licensed to issue policies in Florida. Just ask your agent to transfer your current insurance to Florida when you register a vehicle in Florida.

    Q:What if I fail to keep insurance on my vehicle that I have registered in Florida? What are the Florida Car Insurance Laws?

    A:The Department of Highway Safety and Motor Vehicles is authorized to suspend your driving privilege, including your vehicle license plate and registration, for up to three years or until proof of Florida insurance is provided, whichever is first.

    Q:If my driving privilege is suspended because I am not properly insured, is there a penalty to reinstate my license?

    A:Yes. A reinstatement fee of $150 up to $500, for subsequent violations, must be paid and you must provide proof of current Florida insurance.

    Q:I live outside Florida for six months a year. When not in Florida, my vehicle is in storage and not used. Must I maintain automobile insurance?

    A:Yes. Any vehicle holding a valid Florida license plate and registration must be covered by a Florida insurance policy throughout the entire registration period. When you leave Florida, you may surrender your license plate and registration at the nearest driver license or Tax Collector office to avoid maintaining your policy. You can always register your vehicle upon your return to Florida, at which time you can provide proof of Florida insurance.

    Q:I am not a resident of Florida but I have business that keeps me in Florida sometimes for several months at a time. Must I comply with Florida Car Insurance Laws?

    A:Yes. Any person who has a vehicle in Florida for more than 90 days during a 365-day period must purchase personal injury protection and property damage liability insurance coverage. The 90 days do not have to be consecutive.

    Q:I own multiple vehicles. Some are not used for different reasons, but the county I live in requires that the vehicles remain registered. Must I maintain insurance coverage on these vehicles?

    A:Yes. Insurance coverage must be maintained throughout the entire vehicle registration period, whether the vehicle is used or not.

    Q:What can I do to avoid a driving privilege suspension when I choose not to insure a vehicle?

    A:To avoid a driving privilege suspension, surrender the vehicle's license plate and registration at any Florida driver license or Tax Collector office, prior to canceling your insurance policy.

    Q:If my driving privilege is suspended for no insurance, will I be granted a temporary driver license for Business or Employment purposes?

    A:No. There is no provision in Florida Car Insurance Laws for the issuance of any sort of temporary or restricted driver license for financial responsibility suspensions.

    Q:I am self-employed as a taxi driver and the only vehicle I own is registered as a taxicab. Do Florida Car Insurance Laws Require me to carry automobile insurance?

    A:Yes. Florida Car Insurance Laws require you to carry Bodily Injury Liability (BIL) coverage of $125,000 per person, $250,000 per occurrence and $50,000 for property damage liability (PDL) coverage.

    Q:I am moving out of state and will not be registered in Florida any more. Can I cancel my insurance?

    A:Do not cancel your insurance until you have registered in the other state. Florida insurance is required as long as you are registered in Florida, regardless of whether you drive in Florida. Once you are registered in the other state, you can cancel Florida insurance and comply with the insurance requirements of the state you have moved to. If you are retaining the same carrier, they can switch you simultaneously with registration change.

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