All motorists in Florida are suddenly dealing with a new risk since PIP (Personal Injury Protection) insurance is no longer required by state law. PIP is the portion of auto insurance that provided $10,000 of medical coverage and payment of 60% of lost wages if you are hurt in a motor vehicle accident.
In other words, even if someone did not have health insurance there would still be coverage for the medical treatment. That all changes October 1, 2007 for every car, truck, motorcycle or any other motor vehicle insurance policy up for renewal. It is now more important than ever to review your insurance coverage and to determine what coverage you need.
The most common auto insurance companies (Allstate, Nationwide, Progressive, Geico and State Farm) do not like providing coverage for medical costs so they have tried to quietly shift the risk to the drivers of this state.
That is why a complete review of your policy and an understanding of what is and is not covered can mean the difference between getting the medical treatment you need or financial disaster and ruin. Make sure that you elect Uninsured/ Under insured Motorist (UM)coverage.
Many insurance agents will tell you it is not necessary to have this coverage. However, if you are hit by someone with little or no insurance at all then the only type of protection for you would be the UM you purchased.
If you do not have health insurance they you will also want to consider medical payment coverage through your auto policy. It is crucial that you set the amount of coverage that will help you adequately so evaluate your financial needs very carefully.
Remember a review of your auto coverage can be done anytime and the coverage amounts and type of coverage can be adjusted during the coverage period.