Florida Uninsured Motorist Coverage Explained: Why Every Driver Needs UM Insurance

On Florida roadways, there are a high number of drivers that are uninsured or underinsured. Florida law only requires a driver to carry (1) Personal Injury Protection (PIP) coverage, and (2) property damage to cover damage caused to another vehicle. Florida does not require Bodily Injury coverage to protect personal injury caused to another person. This gap can leave a person vulnerable or exposed following a car accident. This is why uninsured (UM) is one of the most important coverages that a person can purchase on their own auto policy.

In Florida, every person is required to be expressly given an option to select UM coverage on their policy. This is done by a person physically accepting or rejecting UM coverage when obtaining auto coverage. You are allowed to select UM coverage for the same about of your Bodily Injury coverage. You may also elect to have UM coverage in an amount less than your Bodily Injury coverage. When obtaining auto coverage, make sure you review your application and are clear on whether you want UM coverage to be included. If you are unsure, ask your insurance agent or broker if your policy includes UM.

Uninsured motorist coverage can help with the cost for medical expense, lost wages and pain and suffering that may have been suffered by a person in a car accident caused by the carelessness of another driver who has no Bodily Injury coverage or not enough Bodily Injury coverage to cover the full value of the injuries or damages suffered. Many drivers on the road in Florida carry minimal or no Bodily Injury coverage, making UM coverage an important benefit for a person that has suffered serious injuries or damages in a car accident.

Here is an example how UM coverage works. You are driving down I-95 in Melbourne, Florida and are rear ended by another car. The driver of the other car has $10,000 of Bodily Injury coverage. You are seriously hurt and require physical therapy, surgery and you miss 3 months of work. Certainly, the cost for all that medical treatment will cost more than $10,000. Without UM coverage, you could be left having to pay for all that yourself. However, if you have UM coverage, your own insurance can step in and help cover those eligible expenses that exceed the $10,000 Bodily Injury coverage the other driver had up to the amount that you choose to carry on your own policy.

There are generally two scenarios in Florida where UM benefits will apply: (1) uninsured motorist coverage, where an at-fault driver does not have any Bodily Injury coverage and (2) underinsured motorist coverage, where an at-fault driver does not have sufficient Bodily Injury coverage to cover the full extent of your injuries or damages suffered. UM benefits can offer a tremendous benefit to you in both situations.

Another important option that is available for UM benefits is stacked vs. unstacked coverage. This can allow you to multiply the amount of coverage you have by the number of vehicles you have insured under your policy. For example, lets say you have $25,000 in UM benefits and you have 3 vehicles insured under you auto policy. This would mean you actually have $75,000 in UM coverage available to you individually. Make sure to discuss this option with your insurance agent or broker to be clear on what coverage you have on your auto policy.

Many people assume their health insurance or PIP will cover their costs after an accident. While this can be true, it is sometimes not that simple. PIP will apply to cover certain damages associated with medical treatment and missed work, these benefits are typically limited to $10,000. Often the PIP benefits are not enough to cover the full extent of damages after a car accident. Likewise, while health insurance may cover some medical expenses caused by an accident, any health insurance benefits will be subject to the terms of your policy, an co-pays, deductibles and any potential pre-approval for covered services and treatment. Additionally, both PIP and health insurance will not cover any pain and suffering experienced for someone that has suffered a permanent injury.

Ultimately, UM coverage can help provide piece of mind to you and your family. It can provide protection from personal financial consequence that is typically unforeseen and unexpected after a car accident caused by another driver who is at fault for causing it. In Florida, where UM coverage is available to drivers, it is a smart investment to the protection of you and your loved ones. If you have any questions about your policy, Alpizar Law is always available for a free review your policy to determine what coverage you have on your auto policy.