What is a No-Fault State?

If you live in Florida, you’ve likely heard that we are a no-fault state. What does that really mean? We get this question often. Many people presume it to mean that in a car accident, neither party is held liable for the accident. This is simply untrue. When we say Florida is a no-fault state, rather, it refers to the insurance policy every Florida vehicle is required to carry.

Every insurance policy in Florida has a provision called Personal Injury Protection, or PIP. $10,000 in PIP coverage is required by law. Through PIP, you’re provided partial reimbursement (80%) up to $10,000 for medical treatment—regardless of who caused the accident. It’s this feature that triggers the term no-fault insurance.

Additionally, $10,000 in property damage liability is required by Florida law. With this coverage, the insurance company will pay for the damage to someone else’s car or other property that you (or someone else operating your vehicle) caused up to $10,000.

Unfortunately many people misunderstand what it means when we say Florida is a no-fault state. It does not mean you can’t or won’t be held responsible for another person’s injuries or property damage if you are at-fault in an accident. If you have questions about Personal Injury Protection coverage, feel free to contact a car accident attorney at 888-783-8378. We will be happy to explain in greater detail how to handle your injury and property damage claims as well as recommend what we believe to be the best steps moving forward.

While PIP and property damage liability are the only insurance policies required by law, the State is not making the claim that this is an adequate amount of coverage. In fact, we recommend more than what is legally required. For more information on the amount of insurance we suggest Florida drivers carry, download our free insurance e-book called The Adjuster is Not Your Friend: Your Guide to FL Auto Insurance. In this short booklet, we outline the different types of drivers on the road and what is recommended to protect yourself in the event of an accident, regardless of whose fault it is.