• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
MENUMENU
MENUMENU
  • Home
  • About
    • Contact Us
    • FlaglerLive Board of Directors
    • Comment Policy
    • Mission Statement
    • Our Values
    • Privacy Policy
  • Live Calendar
  • Submit Obituary
  • Submit an Event
  • Support FlaglerLive
  • Advertise on FlaglerLive (386) 503-3808
  • Search Results

FlaglerLive

No Bull, no Fluff, No Smudges

MENUMENU
  • Flagler
    • Flagler County Commission
    • Beverly Beach
    • Economic Development Council
    • Flagler History
    • Mondex/Daytona North
    • The Hammock
    • Tourist Development Council
  • Palm Coast
    • Palm Coast City Council
    • Palm Coast Crime
  • Bunnell
    • Bunnell City Commission
    • Bunnell Crime
  • Flagler Beach
    • Flagler Beach City Commission
    • Flagler Beach Crime
  • Cops/Courts
    • Circuit & County Court
    • Florida Supreme Court
    • Federal Courts
    • Flagler 911
    • Fire House
    • Flagler County Sheriff
    • Flagler Jail Bookings
    • Traffic Accidents
  • Rights & Liberties
    • Fourth Amendment
    • First Amendment
    • Privacy
    • Second Amendment
    • Seventh Amendment
    • Sixth Amendment
    • Sunshine Law
    • Third Amendment
    • Religion & Beliefs
    • Human Rights
    • Immigration
    • Labor Rights
    • 14th Amendment
    • Civil Rights
  • Schools
    • Adult Education
    • Belle Terre Elementary
    • Buddy Taylor Middle
    • Bunnell Elementary
    • Charter Schools
    • Daytona State College
    • Flagler County School Board
    • Flagler Palm Coast High School
    • Higher Education
    • Imagine School
    • Indian Trails Middle
    • Matanzas High School
    • Old Kings Elementary
    • Rymfire Elementary
    • Stetson University
    • Wadsworth Elementary
    • University of Florida/Florida State
  • Economy
    • Jobs & Unemployment
    • Business & Economy
    • Development & Sprawl
    • Leisure & Tourism
    • Local Business
    • Local Media
    • Real Estate & Development
    • Taxes
  • Commentary
    • The Conversation
    • Pierre Tristam
    • Diane Roberts
    • Guest Columns
    • Byblos
    • Editor's Blog
  • Culture
    • African American Cultural Society
    • Arts in Palm Coast & Flagler
    • Books
    • City Repertory Theatre
    • Flagler Auditorium
    • Flagler Playhouse
    • Flagler Youth Orchestra
    • Jacksonville Symphony Orchestra
    • Palm Coast Arts Foundation
    • Special Events
  • Elections 2024
    • Amendments and Referendums
    • Presidential Election
    • Campaign Finance
    • City Elections
    • Congressional
    • Constitutionals
    • Courts
    • Governor
    • Polls
    • Voting Rights
  • Florida
    • Federal Politics
    • Florida History
    • Florida Legislature
    • Florida Legislature
    • Ron DeSantis
  • Health & Society
    • Flagler County Health Department
    • Ask the Doctor Column
    • Health Care
    • Health Care Business
    • Covid-19
    • Children and Families
    • Medicaid and Medicare
    • Mental Health
    • Poverty
    • Violence
  • All Else
    • Daily Briefing
    • Americana
    • Obituaries
    • News Briefs
    • Weather and Climate
    • Wildlife

Eliminating Florida’s No-Fault Auto Insurance System Could Save $81 a Year Per Car

September 14, 2016 | FlaglerLive | 7 Comments

no-fault insurance florida reform
What would Herbie want? (Giovanna M.)

Eliminating the state’s no-fault auto insurance system could save average Florida motorists 9.6 percent on their liability-coverage packages, or about $81 a year per car, according to a study released Wednesday by the state.

The $125,000 study by Illinois-based Pinnacle Actuarial Resources Inc. also found that premiums on personal-injury protection insurance coverage, also known as no-fault, dropped 15.1 percent statewide following a 2012 legislative effort to reduce fraud in the system.

However, the premium reduction is nearly 10 percent less than targeted for consumers. And the Pinnacle actuaries found that since 2014 there has been “a small erosion in the cost savings from this legislation.”

The study, commissioned by the state Office of Insurance Regulation in advance of the 2017 legislative session, doesn’t offer recommendations. A spokeswoman for the office said it is “carefully reviewing the results.”

The findings come as critics contend the 2012 reform attempt has failed to meet expectations and that bodily-injury coverage, which most motorists in Florida already have, should be a replacement for no-fault coverage.

The study, which used state records and data from six of the top auto insurers in Florida, projected that eliminating no-fault would save $272 a year per vehicle for motorists in Miami-Dade County.

The savings would be $39 in Escambia County, $28 in Brevard County, $105 in Orange County, $130 in Broward County, $97 in Hillsborough County and $47 in Duval County.

Ashley Carr, a spokeswoman for state Chief Financial Officer Jeff Atwater, said the CFO’s office will need to thoroughly review the 416-page report “before any thoughts about possible recommendations can take place.”

Atwater, who along with Gov. Rick Scott backed the 2012 reform effort, last year said repeal of no-fault may be needed if consumers aren’t getting the intended relief.

Bills calling for the repeal of no-fault in the 2016 session (SB 1112 and HB 997) didn’t advance out of their first committees.

The insurance industry may not be ready to give up on no-fault, which was designed to streamline payments to injured people and reduce the need for lawsuits after accidents.

Logan McFaddin, regional manager for the Property Casualty Insurers Association of America, said the study indicates the 2012 reforms have reduced fraud while providing cost savings to Florida motorists. He added that the association, which represents numerous insurers, is open to talk about additional reforms.

“While PCI (the association) and our members are still reviewing the results of the study, so far we are pleased with the results,” McFaddin said in a statement. “Evidence shows PIP reforms enacted in 2012 continue to reduce fraud and abuse, protecting the hard earned premium dollars of the citizens of Florida. PCI and our members, however, are always willing to consider additional reforms to continue to reduce fraud and protect our policyholders.”

Under the decades-old no-fault system, motorists are required to carry personal-injury protection coverage that includes $10,000 in medical benefits.

The 2012 legislation (HB 119), aimed at reducing fraud, included capping non-emergency care at $2,500 and requiring people seeking PIP medical benefits to receive initial care within 14 days of accidents.

In advancing the law, state officials claimed the number of no-fault claims had increased 28 percent from 2006 to 2010, with the dollars paid by insurers in that time growing 66 percent, from about $1.5 billion to $2.5 billion.

–Jim Turner, News Service of Florida

Support FlaglerLive's End of Year Fundraiser
Thank you readers for getting us to--and past--our year-end fund-raising goal yet again. It’s a bracing way to mark our 15th year at FlaglerLive. Our donors are just a fraction of the 25,000 readers who seek us out for the best-reported, most timely, trustworthy, and independent local news site anywhere, without paywall. FlaglerLive is free. Fighting misinformation and keeping democracy in the sunshine 365/7/24 isn’t free. Take a brief moment, become a champion of fearless, enlightening journalism. Any amount helps. We’re a 501(c)(3) non-profit news organization. Donations are tax deductible.  
You may donate openly or anonymously.
We like Zeffy (no fees), but if you prefer to use PayPal, click here.

Reader Interactions

Comments

  1. Buylocal says

    September 15, 2016 at 9:51 am

    I’m sure the insurance companies and the attorney’s are in favor. Without PIP you would have to sue to recover damages under the 10,000 threshold.

  2. Mike says

    September 15, 2016 at 11:27 am

    .22 per day savings?

  3. Sw says

    September 15, 2016 at 12:03 pm

    Not a good idea in this State

  4. Mitch says

    September 15, 2016 at 12:03 pm

    Eliminating PIP will just make it harder for people to get treated after an accident. It will clog up the court systems and people will be pushed out of the ER because they do not have coverage. The author is parroting the lie that “most Floridians already have Bodily Injury coverage” NO THEY DONT! That is why they offer uninsured motorist coverage because there are a lot of uninsured and under insured drivers in this state. Leave PIP alone Florida, any “savings” promised by State Farm puppets will not materialize!

  5. YankeeExPat says

    September 15, 2016 at 3:34 pm

    “10 states with the most uninsured motorists”, ……from the Insurance Research Council (IRC).

    1. Oklahoma: 25.9%
    2. Florida: 23.8%
    3. Mississippi: 22.9%
    4. New Mexico: 21.6%
    5. Michigan: 21.0%
    6. Tennessee: 20.1%
    7. Alabama: 19.6%
    8. Rhode Island: 17.0%
    9. Colorado: 16.2%
    10. Washington: 16.1%

  6. woodchuck says

    September 17, 2016 at 7:47 am

    That would be great if people obeyed the law.As usual the honest people would suffer,I will really sleep better at night if PiP was eliminated.

  7. Katie Semore says

    September 17, 2016 at 1:44 pm

    I think this is a bad idea. There are too many uninsured drivers around to leave yourself wide open like this if you are injured in an accident by an uninsured driver. $81 a year is a small amount to pay to be covered by the same limits that you pay for your liability insurance to protect others.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

  • Conner Bosch law attorneys lawyers offices palm coast flagler county
  • grand living realty
  • politis matovina attorneys for justice personal injury law auto truck accidents

Primary Sidebar

  • grand living realty
  • politis matovina attorneys for justice personal injury law auto truck accidents

Recent Comments

  • Joe D on Palm Coast Will Not Charge Residents ACH Autopay Check Fees in Utility Payments After All
  • Ray W, on The Daily Cartoon and Live Briefing: Friday, June 6, 2025
  • Jf on Without Prior Discussion, Palm Coast Council Approves $300,000 Plan Integrating City Surveillance with Sheriff’s Crime Center
  • Skibum on Without Prior Discussion, Palm Coast Council Approves $300,000 Plan Integrating City Surveillance with Sheriff’s Crime Center
  • Joe D on Without Prior Discussion, Palm Coast Council Approves $300,000 Plan Integrating City Surveillance with Sheriff’s Crime Center
  • Pierre Tristam on David Jolly Makes It Official: He’s Running for Governor as Newly-Minted Centrist Democrat
  • Pierre Tristam on Why Some Towns Lose Their Local News and Others Don’t
  • Me on Palm Coast Will Not Charge Residents ACH Autopay Check Fees in Utility Payments After All
  • Bo Peep on Palm Coast Will Not Charge Residents ACH Autopay Check Fees in Utility Payments After All
  • Penny for your thoughts on Palm Coast Will Not Charge Residents ACH Autopay Check Fees in Utility Payments After All
  • Steve on Palm Coast Will Not Charge Residents ACH Autopay Check Fees in Utility Payments After All
  • Bo Peep on Why Some Towns Lose Their Local News and Others Don’t
  • Samuel L. Bronkowitz on The Daily Cartoon and Live Briefing: Friday, June 6, 2025
  • Robjr on Palm Coast Will Not Charge Residents ACH Autopay Check Fees in Utility Payments After All
  • Billy on Palm Coast Will Not Charge Residents ACH Autopay Check Fees in Utility Payments After All
  • Wally on Judge Dresses Down Ex-Palm Coast Physician John Cascone Over Probation Violation

Log in