Florida Car Insurance

Florida requires its residents to have car insurance on their vehicles in order to legally drive.

Even though virtually every state makes it mandatory to have some type of auto liability insurance, not every state has the same requirements. Find out more about what you need to know about having car insurance specifically in the state of Florida.

How much car insurance is required in Florida?

There are two types of insurance that Florida requires:

• $10,000 Personal Injury Protection
• $10,000 Property Damage Liability

Personal injury protection, also known as Florida no-fault insurance, will cover you regardless of whether the accident was your fault or someone else's. This type of protection goes beyond covering damage to your vehicle.

An accident can  leave you with expensive medical bills along with lost wages and other unexpected expenses. Personal injury protection insurance can help you cover these additional expenses and can even help protect passengers who may have also been injured in the accident.

Because personal injury protection is considered "no-fault" insurance, the insurance company doesn't need to take the time to assess whose fault the accident was. If your vehicle was covered, then you can expect the medical and lost income payments to come just when you need it--right away.

Property damage liability helps cover any damage that you cause to another vehicle in an accident.

This is the most typical kind of scenario, but there are instances where a motor vehicle accident may cause damage to another type of property other than another vehicle. This is also covered under property damage liability.

It is important to know that $10,000 personal injury protection and $10,000 property damage liability are the minimum requirements for Florida. However, if your damage exceeds these limits then you will be responsible for paying the remaining costs.

You can usually opt to purchase limits higher than the minimum, but always remember the more coverage you have the higher your premium will be. It is always important to know what you can comfortably afford.

Why should I consider other forms of car insurance in Florida?

Although personal injury protection and property damage liability are the minimum requirements in Florida, there may be other types of car insurance that you may want to have in order to fully protect yourself.

Here are some of the most common:

– Bodily Injury Liability

Not to be confused with personal injury liability, bodily injury liability pays for serious injuries or death in the event you are the cause of an accident. It also can help protect you in case you are sued by another party.

Often, you will see a bodily injury liability described as 20/50 or 100/300. The number on the left relates to how much the insurance company will pay out for a single person's injuries, and the number on the right relates to what they will pay out for everyone who was injured in the car you hit.

For instance, in a 20/50 policy, the insurance company will pay out $20,000 for a single person or $50,000 for an entire party. Although bodily injury liability is generally not required in Florida, it is mandatory for a three year period if you have ever been convicted of a DUI.

– Collision

Collision coverage is another popular type of car insurance because it will pay for repairs to your car if you have a head-on collision with another vehicle, crash into an object, or turn your vehicle over.

It pays regardless of who causes the accident. Collision insurance does not cover injuries to people or damage to the property of others.

– Comprehensive

Comprehensive coverage is an especially valuable type of insurance to have in Florida. It pays for losses from accidents other than a collision. For instance, hurricanes are a big threat to Florida and comprehensive insurance will cover any damage caused to your vehicle because of a hurricane.

Other examples of comprehensive coverage would include fire, theft, vandalism, flood or hitting an animal with your vehicle. Damage caused by falling objects is also covered under this policy.

Unique to Florida, if you have a damaged window comprehensive insurance kicks in and you are not required to pay the deductible. This waiver encourages drivers to replace their window as soon as possible.

If your vehicle is a lease, the financing institution itself may require that you purchase collision and comprehensive insurance in order to protect their interests. This is another thing to consider if you are on the edge of leasing or purchasing a vehicle.

– Uninsured Motorist Insurance

This type of coverage protects you in the case you, your passengers, or your family members are hit by someone who is at fault and does not have car insurance.

Another case where you are covered by uninsured motorist insurance is if the other person has insufficient liability insurance to cover the total damages sustained.

Whether you are riding in your car, riding in another person's car, or are a pedestrian hit by a car, you are covered up to the limits of your policy. This kind of insurance also applies to a hit-and-run situation, which happens more often than you may think.

Uninsured motorist insurance covers medical expenses, lost wages, bodily injury, sickness, disease or even death, that results from a car accident caused by another party.

Getting the Best Car Insurance for the Best Price

Fortunately, Florida offers some of the lowest minimum car insurance rates in the country. However, if you are planning on more than the minimum requirements for Florida car insurance, it can quickly get expensive if your don't carefully do your research.

One of the best ways to get the best insurance for the price is shopping around and comparing rates.

Don't be afraid to negotiate your rate with the insurance company. Ensuring that you get the cheapest rate is one thing, but ensuring that you are working with a reputable company is even more important.

Don't hesitate to research the company with the Florida Better Business Bureau to make sure they are licensed and in good standing.

There are other ways that you yourself can lower your premium. Purchasing cars that are less likely to be targeted for stealing may lower your premium. You can find out what cars are on the top of the theft list in Florida at the National Insurance Crime Bureau.

Also, cars with a high safety rating are more likely to lower your premium.

Keeping a clean driving record, free of speeding tickets and DUIs is also a factor that insurance companies use when determining rates. Always read your policy before you commit to signing and make sure that it lines up with what you agreed to.

What happens if I don't have car insurance in Florida?

If you own a vehicle in the state of Florida but it is not insured, it is considered illegal.

If you are caught, the Department of Highway Safety and Motor Vehicles has the authorization to take away your driving privilege, as well as suspend your vehicle license plate and registration, for up to three years or until you can provide proof of insurance.

In some cases, the state can even impound your vehicle. Reinstatement fees can cost anywhere from $150 upwards of $500. It doesn't pay to be caught without insurance.

Getting the right car insurance starts with knowing Florida's basic insurance requirements. Once you figure what kind of insurance and the amount of coverage you need, it's time to start shopping. Keeping in mind this valuable information, you should be able to choose Florida insurance that is just right for you.