No fault insurance covers you against losses regardless of who actually caused the injury. Thus, if you have no-fault car insurance, you will be compensated for any injuries you suffer directly by your insurance company instead of processing the claim through the at-fault driver’s car insurance.
Not every state is a no-fault state. Most states use a traditional tort system to determine liability. A few states have adopted no-fault rules for auto insurance coverage in order to reduce the number of personal injury lawsuits in the courts and to reduce the costs of medical expenses. Although this may be laudable, it presents several problems for those seriously injured in an accident, or those who have been injured by reckless or impaired drivers.
- Limits damages recovered
- Restricts litigation options
- Raises insurance premiums overall
- Subject to fraud or misuse
Florida let its no-fault rules lapse in October 2007, only to reinstate them at the beginning of 2008. The new no-fault rules in effect in Florida limit the types of medical clinics that can bill services to no-fault policies. Under the new no-fault rules, motorists must carry a minimum $10,000 personal injury protection, which covers the injuries suffered by the policyholder and the passengers of the policyholder’s car. Florida no-fault rules also call for a minimum $10,000 property damage liability, which pays for damages caused by the policyholder.
These minimums are often far lower than the actual costs of injury or property damage. If you have been seriously injured by a motorist, you may be able to recover the real costs of your injury. In Florida, a no-fault liability threshold may determine if your injuries are severe enough to pursue standard tort based litigation.
James O. Cunningham is a Florida auto accident lawyer with over 30 years experience fighting for fair compensation for auto accident victims. He has the experience to determine if your personal injury case meets the tort threshold, and to vigorously represent your interests in an auto accident lawsuit. Please contact the Florida Law Offices of James O. Cunningham, P.A. today and set up a consultation about your case.