A Florida state senator is asking colleagues to support his proposal to do away with the no-fault auto insurance once viewed as the state’s claim to fame.
The insurance industry continues to weigh the pros and cons – and, indeed, the implications – of the proposals to end no-fault insurance.
But if Republican State Sen. Jeff Brandes gets his way, Florida’s no-fault car insurance system will fall to a bill he authored and proposing to kill the law.
While some analysts are applauding the move that would end the requirement for Personal Injury Protection (PIP) medical coverage by drivers, the insurance industry is sitting pat and mum.
The Personal Insurance Federation of Florida says it has“yet to consider and discuss this legislation,”executive director Michael Carlson told the Palm Beach Post.
Currently, Florida drivers pay some of the highest car insurance premiums in the country. Those costs have ruffled some feathers in a state with no personal income tax.
Brandes’s bill, SB 1112, would do away with the $10,000 PIP coverage currently must buy to cover the injuries – those of both drivers – springing for a collision.
The system was viewed as revolution when it was launched in the 1970s as a way to stem increasing litigiousness. Fraud, nonetheless, has been a perennial concern for critics.
While the Person Insurance Federation hasn’t yet commented on the propose, the industry has come out in favor of preserving the status quo with past attempts to 86 no-fault insurance.