No-Fault Auto Insurance is Dead, But May Not Be Gone

While many of Florida’s auto insurance companies are gearing up to welcome a new era that includes car insurance without no-fault, some auto insurance companies think that it is a mistake to get rid of the law. As of October 1st, the law will expire, and many auto insurance companies say that they will be able to lower the amount of premiums that people are paying for their policies.

However, others say that to get rid of the no-fault auto insurance provision is a mistake, and they should keep it. Some drivers don’t have regular health insurance, and they are asking to keep their no-fault coverage. The PIP would cover them should they be in an accident even if it is their fault.

Gary Landry, VP of the Florida Insurance Council, said that auto insurance companies can offer it, but it will not be required. He said that it is probably a good thing to keep for those that do not have health insurance, because if there is an accident their auto insurance will cover their bills.

Whether or not no-fault is completely dead in the water is another thing, for Governor Charlie Crist says that he might add the item to the special session they are holding next month to see if they should reinstate it. State Farm has already said that if the law is not renewed they will be eliminating it from their auto insurance offerings. Allstate and Progressive have also said that they would be eliminating the car insurance option as well.

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