Post No. 28. Automobile
Insurance Coverage in Florida
Automobile Insurance is a vital need for many reasons. One is
that a single accident can cause involved persons to lose our income, health,
and cause a financial distress if the policy limits are not enough to cover
damages, hospital bills and in general terms cause a disaster in our life. Also,
a good coverage protects the purchaser from the risk of liabilities due to
lawsuits and claims. We need to have at least a basic idea of what our policy
covers, exclusions and limitations.
This is just to provide general information and for more
details you need to ask about the policy.
Every person has an specific insurance policy but we can
learn how to establish a conversation with the automobile insurance advisor.
Bodily injury liability coverage is the part of the
insurance policy that pays for the costs associated with injuries to the other
person or people involved. This coverage also provided a legal defense in the
event that the person is sued for damages. State minimums don’t come close to
covering the cost of a serious accident. The minimums of bodily injury coverage
are at least $100,000 per person, and $300,000 per accident, and
property-damage of $50,000, or a minimum of a $300,000 on a single-limit
policy.
Pays if you are responsible for another person’s injury or
death in an auto accident. It also pays for your legal defense if you are sued
as a result of an accident. (Wikipedia)
Personal injury protection (PIP) pays the hospital, medical
and funeral expenses for you, your passengers and/or any pedestrians that you
hit. This insurance covers you regardless of whether you cause an accident.
Coverage is often sold with a per person and total per loss
maximum amount. For example, 100/300/50 coverage means that you have coverage
of $100,000 bodily injury liability insurance per person, $300,000 total bodily
injury liability insurance per accident, and $50,000 property damage liability
per accident.
The main difference between PIP and bodily injury liability
is that bodily injury liability makes payments to the people you’re legally liable
for hurting while PIP only covers your own medical expenses.
PIP works by covering medical expenses, death benefits, work
loss, replacement services expenses. It is a mandatory coverage and includes
protection for the following expenses:
Medical
Benefits: Pay up to 80% of all reasonable medical expenses which are medically
necessary, pursuant to the Fee Schedule of maximum charges contained in the
Florida Motor Vehicle No-Fault laws.
Disability
Benefits: Pays up to 60% of loss of gross income and loss of earning capacity
per individual from their inability to work as result of injuries caused by the
accident and 100% of replacement services expenses.
Death
Benefits: Pays $5000
Coverage is provided for the named insured (includes
resident spouse). It is also provided for dependent relatives who reside with
the named insured, passengers and pedestrians who are not required to have
their own Personal Injury Protection coverage and who are injured in an auto
accident regardless of who is at fault. It enables you to collect immediately
for medical expenses, loss of earnings, and replacement services expenses
without waiting for the outcome of a lawsuit. However, you still have the right
to sue to recover damages for pain, suffering, and mental anguish resulting
from certain types of injuries caused by the negligence of another person.
Medical Payments coverage pays, subject to the coverage
limit, the portion of any claim for Personal Injury Protection medical expense
benefits otherwise covered but not payable due to the coinsurance provision of
the Personal Injury Protection coverage.
This coverage pays, subject to the coverage limit, any
reasonable and necessary medical expenses not paid under the Personal Injury
Protection coverage on the policy because the coverage limit under Personal
Injury Protection has already been paid. The coverage also pays reasonable and
necessary medical expenses, subject to the coverage limit, incurred by an
insured or relative that result from injuries received while occupying a motor
vehicle or as a pedestrian when involved in an accident outside the state of Florida
References:
Florida Motor Vehicle No- Fault laws. Title XXXVII. 627.7407:
The 4 Parts of An Insurance Policy. Time: 16:38:
Comments
Post a Comment