What You Need to Know about No Fault Car Insurance

Florida is a no-fault state for car insurance. When you start to buy car insurance in Central Florida, it's important to keep this in mind. Understand how it impacts the required insurance and what it means if you get involved in an accident.

State-Required Insurance

State required insurance in a no-fault state requires you to not only have bodily injury and property damage liability but also personal injury protection. PIP or personal injury protection is designed to take care of medical bills and lost wages of yours if you are involved in an accident. It can be a lifesaver because you won’t have to pay out of pocket for everything, even if the accident was your fault.

A no-fault state is the opposite of a tort state. It essentially means that no one is identified as being at fault. You will pay for the damages to your car regardless of who is at fault. This means that your insurance is likely going to go up in more instances. Even if it wasn't your fault, your insurance company will pay for the damages. Your financial responsibility will be the deductible that you have on the policy. Each time you’re in an accident, your fault or not, you run the risk of your insurance going up.

What Happens in an Accident

If you were involved in an accident, there will still be an exchange of insurance information. However, each party’s insurance will pay for car damages. The only time your insurance would pay for something of someone else's is if you are at fault and they have medical issues that need to be addressed. Then, your liability coverage would kick in to take care of what they have going on. You might also be sued if it was your fault as a way for the other party to not have to pay for the deductible or any other expenses.

Get the Right Coverage

Getting the right coverage in Florida is of the utmost importance. You need to adhere to the minimum requirements of the state. From there, you can look at other forms of insurance to add financial protection. This includes comprehensive and collision coverage so you are protected even when there’s damage as a result of something other than an accident with another driver. Additionally, it’s a good idea to add uninsured motorist coverage so that you can deal with a hit and run and other problems.

Everyone has different needs when it to comes to insurance. The coverage you need might be very different from someone else's. By working with an independent insurance agent, they will guide you through the process. It will allow you to learn more about getting coverage in a no-fault state and what coverage is recommended for you.