Contrary to what you may think, full coverage auto insurance in Florida means that a policy holder has both Personal Injury Protection (PIP) and Property Damage (PD) coverage. These are two basic coverage options required by Florida law. Although they're important to have, these two types of coverage don't necessarily ensure you're fully protected in the case of an automobile accident. You can purchase additional coverage options which provide extra protection depending on how much you're willing to spend.
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Personal Injury Protection (PIP) Coverage
Florida is one of 12 no-fault states, which means that a policy holder's medical bills and other related expenses are paid without having to prove the other driver caused the crash. In return, the injured driver can't sue the at-fault driver for pain and suffering as a result of the crash. Since Florida is a no-fault state, PIP is also a no-fault insurance. It compensations 80 percent of your medical bill costs and 60 percent of wages lost. The most the insurer reimburses is $10,000 under PIP coverage. PIP includes liability, collision and comprehensive coverage.
Property Damage (PD) Coverage
In Florida, PD only protects you if you damaged another person's property with your car, but doesn't protect you from damages caused to another person by your carelessness.
Limitations to Full Coverage
Just as it's important to understand the benefits full coverage provides, it's also good to know what it doesn't cover. For
example, if you're injured in a car accident through no fault of your own, then you may also claim damages from the person who caused the accident. You may be entitled to additional medical and related expense reimbursement for the amount not covered by your PIP policy. To be eligible, the at-fault party must have Bodily Injury (BI) liability insurance.
Uninsured Motorist (UM) Coverage
Uninsured Motorist Coverage is a supplemental coverage option to consider that provides you the right to claim damages from an accident caused by the other driver even if the other driver doesn't have Bodily Injury (BI) insurance. BI insurance essentially insures against the negligent driver's missing BI insurance. UM insurance provides the added peace of mind that you're completely covered in the event of a crash, particularly in accidents involving uninsured drivers.
Med Pay Coverage
Med Pay coverage is another supplemental plan. It covers the remaining 20 percent of medical bills that PIP doesn't pay and allows you to save your PIP coverage to reimburse you for lost wages. Med Pay covers the cost of your medical bills first so that PIP coverage can be used to pay for your lost wages until benefits under Med Pay are exhausted. Since UM and Med Pay coverage are supplemental plan options, they each add to the total cost of your car insurance premium, but may be a small price to pay to ensure that you and your family are fully protected.