There are several different forms of coverage you can have on your automobile insurance plan. Some types of coverage are not required in Florida and can save you money by not having them included on your plan.
If you own a vehicle that has four wheels or more, you are required to have at least $10,000 of personal injury protection insurance, and at least $10,000 of property damage liability insurance. Personal injury protection insurance (PIP) covers expenses incurred for you or your passengers, whether or not you were at fault. 80% for medical expenses, 60% for lost wages, and $5,000 for death benefits. Property damage liability insurance covers damage caused to another person’s property you, or your family has caused. This coverage applies even in cases when you drive another persons vehicle. “Property” includes buildings, fences, poles, and other vehicles.
Bodily injury liability (BIL) coverage is not required by Florida law. BIL covers permanent injury or death in cases where the driver of your vehicle is found at fault and PIP has been exhausted. BIL is required if you have been convicted of a DUI and must be held for 3 years after your license has been reinstated.
If your vehicle is financed, you may be required to hold both comprehensive and collision coverage on your insurance plan. Comprehensive coverage covers any damage unrelated to an accident. Weather, animal collision, and theft are some examples. Certain applications on your vehicle, such as anti-theft and tracking can reduce the cost of comprehensive coverage. Collision coverage pays for any damage to your vehicle and if your vehicle is totaled it will pay for the current value of your vehicle. This damage does not have to be caused by an accident but can be if your vehicle flips over, crashes into an object, or collides with another vehicle.
Uninsured/Uninsured Motorist (UM) coverage applies in cases where the driver at fault does not have insurance, or does not have enough coverage to cover expenses incurred due to the accident. This also comes in to effect during a “hit-and-run” accident.
Rental Reimbursement coverage will cover the cost of renting a vehicle if yours cannot be driven. If the other party is at fault, that driver ‘s liability coverage should cover the costs of renting a vehicle.