Links that Matter
- Type of Insurance (this page)
- Instructions for Securing Insurance
- Insurance Companies you can Call
|
7 Basic Types of Insurance
There are 7 basic kinds of insurance. Each kind of insurance is designed to cover different things. PIP, BIL, UM and medical payments coverage are designed to pay for injuries and lost wages. PDL, collision, and comprehensive are designed to pay for damages to property. Only PIP and PDL are required by the state of Florida. |
|
Personal Injury Protection (PIP)
Personal injury protection (PIP) insurance is designed to pay for personal injuries to you and your immediate family (and certain other people), regardless of fault. PIP insurance also covers your lost wages. PIP insurance is required by Florida law. No matter who is responsible for causing the accident, your PIP insurance is designed to pay for your injuries and your family's injuries. PIP insurance used to cover 80% of your medical bills and 60% of your lost wages up to $10,000. However, in the last legislative session, our Florida Legislature changed the PIP law and eliminated your benefits unless you seek treatment within 14 days after an accident. Even if you seek treatment within 14 days, your benefits are reduced to only $2,500 unless you are diagnosed with an "emergency medical condition." You still have to pay for $10,000 in PIP insurance, but you may receive no benefits or only $2,500 in benefits in many circumstances.
Personal injury protection (PIP) insurance is designed to pay for personal injuries to you and your immediate family (and certain other people), regardless of fault. PIP insurance also covers your lost wages. PIP insurance is required by Florida law. No matter who is responsible for causing the accident, your PIP insurance is designed to pay for your injuries and your family's injuries. PIP insurance used to cover 80% of your medical bills and 60% of your lost wages up to $10,000. However, in the last legislative session, our Florida Legislature changed the PIP law and eliminated your benefits unless you seek treatment within 14 days after an accident. Even if you seek treatment within 14 days, your benefits are reduced to only $2,500 unless you are diagnosed with an "emergency medical condition." You still have to pay for $10,000 in PIP insurance, but you may receive no benefits or only $2,500 in benefits in many circumstances.
Property Damage Liability (PDL)
Property damage liability (PDL) insurance is designed to pay for damage caused by you to other people's property. PDL insurance is required by Florida law. If you cause an accident, then your PDL insurance is supposed to protect you by paying for the property damage you caused. The most common property damage is damage to the other person's car or motorcycle, but it also covers damage to buildings, telephone poles, and anything else that might be damaged in a car accident. PDL insurance does not pay for damage to your car; it only covers damage to other people's property. If the other person was at fault for the accident, then his or her PDL insurance should pay for the damage to your car. However, as many as 3 out of 10 drivers in Florida do not carry PDL insurance, even though it is required by law.
Property damage liability (PDL) insurance is designed to pay for damage caused by you to other people's property. PDL insurance is required by Florida law. If you cause an accident, then your PDL insurance is supposed to protect you by paying for the property damage you caused. The most common property damage is damage to the other person's car or motorcycle, but it also covers damage to buildings, telephone poles, and anything else that might be damaged in a car accident. PDL insurance does not pay for damage to your car; it only covers damage to other people's property. If the other person was at fault for the accident, then his or her PDL insurance should pay for the damage to your car. However, as many as 3 out of 10 drivers in Florida do not carry PDL insurance, even though it is required by law.
Collision & Comprehensive Coverage
YOU ARE REQUIRED TO HAVE BOTH Collision and Comprehensive Coverages when Renting from us.
Florida motorists are not required to carry collision insurance as a part of their automobile insurance policy under Florida law. Collision insurance provides coverage for damage which occurs to the policyholder’s vehicle in an accident. Some examples of situations in which collision coverage would kick in would be damage to your vehicle caused by hitting a tree, backing into another car in a parking lot, or, most commonly, being hit or hitting another car in an automobile accident.
Collision Insurance covers damage to your vehicle in the event of a covered accident involving a collision with another vehicle. Comprehensive car insurance pays for damages to your vehicle caused by covered events such as theft, vandalism or hail, which are not collision -related.
In some cases, comprehensive insurance covers the situations that collision insurance does not, which is why bundling the two together is required when renting from us.
YOU ARE REQUIRED TO HAVE BOTH Collision and Comprehensive Coverages when Renting from us.
Florida motorists are not required to carry collision insurance as a part of their automobile insurance policy under Florida law. Collision insurance provides coverage for damage which occurs to the policyholder’s vehicle in an accident. Some examples of situations in which collision coverage would kick in would be damage to your vehicle caused by hitting a tree, backing into another car in a parking lot, or, most commonly, being hit or hitting another car in an automobile accident.
Collision Insurance covers damage to your vehicle in the event of a covered accident involving a collision with another vehicle. Comprehensive car insurance pays for damages to your vehicle caused by covered events such as theft, vandalism or hail, which are not collision -related.
In some cases, comprehensive insurance covers the situations that collision insurance does not, which is why bundling the two together is required when renting from us.
Bodily Injury Liability (BIL)
Bodily injury liability (BIL) insurance is designed to pay for injuries caused by you to other people. BIL insurance is not required by Florida law under most circumstances. If you cause an accident, then your BIL insurance is supposed to protect you by paying for the medical bills, lost wages, and pain and suffering of other people.
Bodily injury liability (BIL) insurance is designed to pay for injuries caused by you to other people. BIL insurance is not required by Florida law under most circumstances. If you cause an accident, then your BIL insurance is supposed to protect you by paying for the medical bills, lost wages, and pain and suffering of other people.
Uninsured Motorist (UM)
Uninsured motorist (UM) insurance is designed to pay for injuries suffered by you due to the negligence of others. UM insurance is not required by Florida law, but it is the most valuable kind of insurance you can buy. If you are injured in an accident that is not your fault, then your UM insurance is there to protect you by paying for your medical bills, lost wages, and pain and suffering. UM insurance can be "stacked" or "non-stacked." Stacked UM is better because you are entitled to coverage equal to your base UM coverage multiplied by the number of cars on your policy. UM insurance only pays out if the person who caused the accident had no BIL insurance or not enough BIL insurance.
Uninsured motorist (UM) insurance is designed to pay for injuries suffered by you due to the negligence of others. UM insurance is not required by Florida law, but it is the most valuable kind of insurance you can buy. If you are injured in an accident that is not your fault, then your UM insurance is there to protect you by paying for your medical bills, lost wages, and pain and suffering. UM insurance can be "stacked" or "non-stacked." Stacked UM is better because you are entitled to coverage equal to your base UM coverage multiplied by the number of cars on your policy. UM insurance only pays out if the person who caused the accident had no BIL insurance or not enough BIL insurance.
Medical Payments Coverage (MPC)
Medical payments coverage (MPC) or Med-Pay is optional coverage in the state of Florida. Med-Pay may help pay your or your passenger's medical expenses if you're injured in a car accident, regardless of who caused the accident. If you have this type of coverage it can pay for the medical bills if you or one of your family members is hit by a car while on foot or riding in someone else's vehicle. Med-Pay may also cover some funeral related expenses. Bodily injury liability (BIL) insurance is coverage against you being at-fault in an auto accident in which there is bodily injury to a 3rd party most often in another car. Med-Pay is a coverage designed to cover the medical expense of individuals within your car. Since PIP only covers 80% Med-Pay would ensure that you get 100% of your medical expenses paid.
Medical payments coverage (MPC) or Med-Pay is optional coverage in the state of Florida. Med-Pay may help pay your or your passenger's medical expenses if you're injured in a car accident, regardless of who caused the accident. If you have this type of coverage it can pay for the medical bills if you or one of your family members is hit by a car while on foot or riding in someone else's vehicle. Med-Pay may also cover some funeral related expenses. Bodily injury liability (BIL) insurance is coverage against you being at-fault in an auto accident in which there is bodily injury to a 3rd party most often in another car. Med-Pay is a coverage designed to cover the medical expense of individuals within your car. Since PIP only covers 80% Med-Pay would ensure that you get 100% of your medical expenses paid.