Politics

Legislature revives no-fault insurance

Starting Jan. 1, Florida motorists will again have to carry PIP.

By JENNIFER LIBERTO, Times Staff Writer
Published October 6, 2007

Florida Senator Bill Posey describes his PIP Bill to members of the Senate. The bill passed Friday.
	[Scott Keeler | Times]

ADVERTISEMENT [Scott Keeler | Times] Rep. Ellyn Bogdanoff gets a hug from Rep. Dean Cannon after the PIP bill she helped to negotiate passed Friday.

TALLAHASSEE - The Legislature passed a bill on Friday that would revive the state's lapsed no-fault system starting Jan. 1, 2008.

The Senate voted unanimously, 37-0, and the House voted 105-4 in favor of legislation that would again require all Florida drivers to carry $10,000 worth of personal injury protection auto insurance, which covers injuries and lost wages no matter who caused the accident.

Gov. Charlie Crist is expected to sign the bill.

Despite the past week's worth of political and special interest bickering, including a last-minute effort to derail the bill, many drivers won't notice that anything happened -- especially those who continue carrying PIP and don't get into crashes.

However, for a period that began Monday and will extend through Jan. 1, drivers will be required by law to carry only property damage liability coverage.

With the no-fault system temporarily suspended, there is a risk of more lawsuits if drivers get into wrecks with other drivers who don't carry PIP.

"You can buy PIP if you want it, we just don't require you to have it until Jan. 1," said Sen. Bill Posey, the Senate's lead negotiator on the issue.

The Legislature decided to delay reimplementing PIP, because insurers said they needed time to retool their computers and insurance regulators said they needed time to process new rate forms and filings.

When asked what kind of new insurance drivers should carry during this transition between the tort system and the new no-fault system, Rep. Ellyn Bogdanoff said she would advise picking up more uninsured motorist coverage in case of crashes with those who have dropped PIP.

The bill doesn't include limits on what kind of fees attorneys can charge for taking on PIP cases, but it does include limits on prices some medical facilities and doctors can charge insurers for nonemergency care. It also requires that PIP clinics be owned or overseen by licensed doctors.

Lawmakers also agreed to add $2-million to the state budget to hire more anti-fraud prosecutors.

"We have a product that's going to go a long way toward eliminating abuse and fraud in the system," said Bogdanoff, a Fort Lauderdale Republican who was the House's lead negotiator on PIP.

Those voting against the bill: Republican Reps. Don Brown of De Funiak Springs, Aaron Bean of Fernandina Beach, Will Kendrick of Carabelle and Carlos Lopez-Cantera of Miami.

Crist said on Friday morning, before the bill passed, that "it looks like we're on a good path."

Jennifer Liberto can be reached at jliberto@sptimes.com or 850224-7263.

[Last modified October 5, 2007, 23:55:04]