Tallahassee, Florida Republicans have been reviewing a large number of competing proposals in the effort to introduce significant reforms to the state’s auto insurance system, but there doesn’t seem to be a direct or simple solution to be found.
The lawmakers are currently struggling to find ways to make changes to the current no-fault auto insurance law in the state. At the moment, drivers are legally required to carry at least $10,000 in personal injury protection (PIP) coverage. This protection is no-fault in the state, which means that insurers are required to pay for claims regardless of who is responsible for the crash.
Unfortunately, as much as this system has a great deal of potential to be fair to both drivers and the insurance industry, it also provides a tremendous opportunity for abuse and fraud, which is now rampant in the state. According to lawmakers, there was an estimated $1 billion of auto insurance fraud in Florida in the last year.
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At the same time, there is no easy solution to this problem, and a number of different proposals are competing for Republican favor in Tallahassee. They are as different as they are numerous, with one forming a task force to help battle fraud face-on, while another provides stricter licensing procedures for medical clinics.
There is a proposal that would require victims of car accidents to receive their initial treatments only from emergency rooms and restricts the kinds of medical services that are included in the coverage. One measure would have the PIP law entirely repealed so that it could be replaced with an at-fault system where individual responsible for the accident must cover the costs.
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