History

• In 1972, Florida became the second U.S. state to switch to a no-fault insurance system. The law was allowed to expire on Oct. 1, 2007 with a new no-fault law going into effect on Jan. 1, 2008. During this time, personal injury protection (PIP) coverage was not required by law.
  
  

Requirements

• Under Florida law, drivers of vehicles with four or more wheels must carry Florida no-fault PIP coverage. This requirement does not cover vehicles such as motorcycles, scooters or mopeds.
  
  

Less Litigation

• Under the Florida no-fault insurance system, unnecessary litigation between drivers has been reduced by limiting the type and scope of lawsuits permitted. Only cases involving extreme circumstances are allowed.
  
  

Medical Payments

• In the event of injury from an automobile accident, PIP coverage will pay 80 percent of necessary medical bills including X-ray, dental, medical and surgical costs. The insured is liable for the other 20 percent. This 20 percent liability was put into place to discourage drivers from reckless driving, while providing payment for the bulk of medical treatment.
  
  

Misconceptions

• Florida's no-fault insurance system covers only medical payments. Coverage for issues such as vehicle damage, towing, rental car and other insurance features must be purchased separately.