West Palm Beach, Florida Personal Injury Lawyers

AUTOMOBILE INSURANCE

• Personal Injury Protection (PIP)
• Property Damage Liability
• Additional Insurance
• Bodily Injury Liability
• Collision
• Comprehensive
• Uninsured/Underinsured Motorist (UM)
• Medical Payments
• Rental Reimbursement Coverage
• Factors That Affect Premiums
• Possible Premium Discounts or Deductions
• Select The Right Coverage for You
  
  Required Coverage
  
  When you own a motor vehicle with four or more wheels that is registered and licensed in Florida, the law says you must carry a minimum of $10,000 of personal injury protection (PIP) and $10,000 of property damage liability.
  
  Personal Injury Protection (PIP)
  
  -- Also called No-Fault Insurance Personal injury protection (PIP) insurance covers you regardless of whether you cause an accident (are "at-fault") - hence the name "No-fault" insurance.
  
  PIP is designed to reduce the necessity of suing for reimbursement of medical and related bills from auto accidents. PIP follows the individual and protects you if you are in your own or someone else's vehicle.
  
  Example: You own a vehicle, which maintains PIP insurance. You are injured while a passenger in your friend's vehicle. You would still collect PIP under your own insurance policy. PIP also protects pedestrians or bicyclists if they are injured in an accident involving a motor vehicle.
  
  PIP pays 80% of reasonable and necessary medical expenses related to the accident; 60% of lost wages and all reasonable expenses for replacement services such as childcare or housekeeping; and $5,000 death benefits.
  
  Although the minimum coverage requirement is $10,000, you can opt for a deductible up to $2,000. For an increased premium you can also opt for increased PIP coverage greater than that required by law. You should check with your insurance agent for coverage options available.
  
  Property Damage Liability
  
  This coverage pays for damage, which you or members of your family cause to other people's property with an automobile, even if you are driving someone else's automobile, however, it does not cover damage to your car. The term property may include a fence, telephone pole, another vehicle, etc.
  
  Property Damage and Bodily Injury Liability Insurance are required for drivers who are convicted of certain traffic violations. One example is driving under the influence of alcohol or drugs. If that driver had an accident where he or she was "at-fault" and could not pay for the damages, then he or she must thereafter obtain insurance coverage.
  
  Additional Insurance
  
  Unless you are financing your auto or must meet financial responsibility requirements, Florida law only requires you to purchase PIP and property damage coverage. Many drivers buy additional coverage such as: bodily injury liability, collision, comprehensive, uninsured motorist, medical payments and others.
  
  Bodily Injury Liability
  
  Florida law requires persons who have been convicted of certain traffic violations or who have had accidents but could not pay for damages, to carry property damage and bodily injury liability insurance of at least $10,000 per person and $20,000 per occurrence.
  
  Bodily injury liability coverage pays for serious and permanent injury or death to others if you have an accident with your automobile where you are at fault. This coverage will pay for injuries up to the limits of your policy and provide legal services if you are sued.
  
  Some policies have a split-liability limit which means if your policy specifies a 10/20/10 limit, the company will pay up to $10,000 for injuries to one person and a maximum of $20,000 if more than one person is injured; and up to $10,000 for property damages. Other policies have a single-liability limit. The maximum the company will pay for both injuries and property damages combined is listed as a single amount.
  
  Insurance companies offer liability ranging from 10/20/10 to 300/500/100 or higher. Individuals should meet the minimum requirements set by the state law for financial responsibility but it might be to your financial advantage to buy a higher coverage.
  
  If you lease a vehicle for more than one year, Florida law requires you to carry either bodily injury liability of at least $100,000 per person and $300,000 per occurrence and $50,000 property damage liability; or combined bodily injury and property damage liability of at least $500,000.
  
  Collision
  
  This coverage pays to repair or replace your vehicle if you collide with another auto, flip over or crash into an object, regardless of who causes the accident. Collision coverage is limited in two ways. First, the most the company will have to pay is the replacement cost of your car.
  
  If the vehicle is a total loss, you will receive an amount equal to the "retail value" immediately before the accident, as shown in standard price estimates such as the N.A.D.A. Official Used Car Guide. Second, if you chose a deductible provision when you purchased the coverage, you must pay that amount before the company pays the remainder. If you have a $500 deductible and the damage is $900, you pay $500 and the company pays $400. The higher the deductible provision in the policy, the lower the premium.
  
  Comprehensive
  This coverage pays for a loss not caused by a collision, such as losses from fire, theft, windstorm, vandalism, falling objects or hitting an animal. Your insurer may charge a deductible for comprehensive claims other than windshield replacement. If you have comprehensive coverage, windshield replacement is the only claim for which you may not be charged a deductible.
  
  Florida law requires this waiver to encourage drivers to immediately replace damaged windshields. You May Be Required To Purchase Comprehensive And Collision Insurance If Your Car Is Financed. It is illegal for the lending institution to require you to purchase insurance from a particular company or agent.
  
  Uninsured/Underinsured Motorist (UM)
  UM pays only if the person who hits you does not have insurance or does not carry high enough limits to pay your loss. This applies whether you are riding in your car, someone else's car or are struck by a car while walking.
  
  This coverage may also apply if you are struck by a "hit and run" driver and the "at fault" driver cannot be located. UM only covers medical expenses and lost wages beyond your PIP coverage.
  
  Medical Payments
  
  This coverage pays for medical expenses from accidental injury up to the limits of your policy regardless of who was at fault. It covers medical expenses for you and your family or passengers and applies if you travel in your car or some else's, are walking or riding a bicycle.
  
  Since basic PIP covers only 80% of medical expenses, 20% of medical expenses remain outstanding. Under prior Florida law Medical Payment coverage would take care of the remaining 20%. However, under newly enacted Florida law Medical Payment coverage does not apply until the limits under PIP have been exhausted.
  
  Check with your insurer for the option to purchase a PIP supplement to cover the 20% unpaid by PIP. Note that health insurance also covers medical expenses from auto accidents beyond those covered by PIP.
  
  Rental Reimbursement Coverage
  
  Rental Reimbursement Coverage will permit you to be reimbursed for car rental according to the terms of the policy, if you are in an accident with your own car and it is not driveable If the other driver was "at-fault," that driver's liability insurance coverage may reimburse you for renting a vehicle similar to your own.
  
  Check with your agent and the insurance adjuster. Rental cars companies often sell a collision damage waiver, which, although similar to insurance, is not insurance and does not fall under the regulatory authority of the Department of Insurance.
  
  If you have collision coverage or property damage liability, you may be covered for damage to rental cars driven by you, depending on the terms and conditions of your policy. Your credit card company may also automatically cover you if you used the card to rent the vehicle.
  
  Therefore, the collision damage waiver may not be necessary. Check your policy before you rent a car and call your agent if you have any doubts.
  
  Factors That Affect Premiums
  
  Automobile insurance rates are based primarily on the dollar amount paid out by the companies. The more dollars paid in claims, the higher the cost of your insurance.
  
  Although each company has its own way of constructing rates, they are sure to reflect the following factors to some degree:
  
  Type of Car.
  More expensive, high performance and sports cars cost more to repair or replace and may be targeted for theft or vandalism more often so insurers will usually charge a higher premium for coverage.
  
  Where You Drive.
  If you drive in a densely populated area where accidents are frequent and where repairs, medical costs and hospital costs are high, premiums will be high.
  
  Use of Car.
  Driving more miles and using your car for business will increase the premiums.
  
  Age.
  Drivers younger than age 25 or older than 65 make up a disproportionate share of motorists involved in accidents according to their percentage of the driving population, so companies use these statistics when computing rates to justify higher rates for persons in these age groups.
  
  Gender.
  According to the National Safety Council, male drivers are much more likely to have accidents than females. This does not mean female drivers are necessarily more skillful drivers.
  
  Statistics suggest that males drive more miles per year, and that they are more likely to drive in dangerous areas and in bad weather or at other times when accidents are more likely to occur.
  
  Still, insurance companies generally charge higher premiums for males, especially young males, than females.
  
  Marital Status.
  Statistics show that married drivers, at least in the under 30-age group -- have fewer accidents than those who are unmarried. Marital status may decrease some premiums.
  
  Driving History.
  Drivers who have caused an accident or have been charged with serious traffic violations may prove more likely than others to have additional accidents so they may be charged higher premiums than those without accidents or violations.
  
  Possible Premium Discounts or Deductions Mature Driver.
  A driver age 55 or older may qualify for a discount after successfully completing an accident prevention course approved by the Department of Highway Safety and Motor Vehicles.
  
  Driver-Improvement Courses.
  A policyholder who successfully completes a driver improvement course approved by the Department of Highway Safety and Motor Vehicles may qualify for a discount.
  
  Deductibles.
  You can choose a deductible or increase your deductible on PIP, comprehensive and collision coverage. However, you must pay the deductible each time you file a claim so you have to decide how much you can afford to pay for each claim and compare that to the premium amount saved with the increased deductible.
  
  Vehicle.
  When you shop for a vehicle, remember insurance rates are usually higher for cars that are newer, cost more to repair, offer less passenger protection in accidents, and are often targets for thieves or vandals.
  
  Good Driver.
  Many companies offer discounts to policyholders with driving records free of accidents and violations for an extended period of time.
  
  Vehicle Age.
  Because of the decreased value, some policyholders may choose to drop collision or comprehensive coverage to reduce premiums.
  
  Equipment.
  Some companies offer discounts for equipment such as anti-lock brakes, air bags, anti-theft devices or vehicle recovery systems.
  
  Younger Driver.
  If a young driver completes a driver education course successfully and achieves a stated grade point average in school, he or she may qualify for a premium discount.
  
  Select The Right Coverage for You
  
  For most car owners, the best strategy is to use automobile insurance as a device for avoiding financial disaster. This means buying plenty of liability coverage, and if you have to, skimp on other types of coverage. Here are some guidelines:
  
  Liability.
  If a jury finds you have negligently caused an injury, or if the matter is settled out of court, you will have to pay the injured person (or person's family in the case of death) for losses connected with the injury.
  
  These losses may include out-of-pocket medical expenses, 'pain and suffering' associated with the injury, and past and future income the injured person (or the family) would have received.
  
  If the injury is very serious, the total amount may be hundreds of thousands of dollars.If you do not have enough liability coverage, you may be forced to sell your property -- stocks, bonds, and anything else of substantial value to pay the debt. Then too, a court might order deductions from your wages; even bankruptcy is a possibility.
  
  Insurance experts seem to agree that your minimum coverage in a Personal Policy should be 100/300/50. If your property is unusually valuable or if you have a high income, you should probably raise your liability limits to 300/500/100 or more.
  
  If you have a Special Policy, the comparable limits are $300,000 as a minimum and $500,000 to one million or more for families in the upper income brackets. Depending on your situation, additional liability protection may be relatively inexpensive. Medical Payments.
  
  If you have a separate insurance policy to cover medical and hospital bills, there is no point in duplicating this coverage with a medical expense provision in your auto policy. With a Personal Policy, take out enough medical-payments coverage to have a total of about $5,000 per person per accident, including any coverage you may have under a separate health insurance policy.
  
  With a Special Policy, your options are fairly narrow because the medical-payments limit is tied to the liability limit. Once you have decided on the coverage you want, the next step is to call 1-800-342-2762 with the names of two or three companies to make sure they are licensed to do business in Florida.
  
  After you are sure they are licensed, call each to inquire about prices because premiums can vary among companies. Other factors to consider when making your decision are the dependability and service of the company in addition to the cost of the policy.