Overview About Auto Insurance Laws In Florida

In Florida, there are two motor vehicle insurance laws: the Financial Responsibility Act and the No-FaultLaw. It is necessary for you as a driver to understand these laws because if you do not have the proper insurance, you can lose your driver ‘s license and your vehicle’s registration and you would have to pay high costs to get them again.

The Financial Responsibility Law

The purpose of the law of financial responsibility is to require that the owners and drivers of motor vehicles assume financial responsibility for damages or injuries they may cause to other people in a car accident.

This law requires each person to have bodily injury liability insurance at the time the following occurs:

A DUI fine resulting in a revocation.
These cases require the following minimum insurance coverage:

  • $ 100,000 Personal Injury Liability.
  • $ 300,000 Bodily Injury Liability for two or more persons.
  • $ 50,000 Property Damage Liability (PDL).

If you do not have insurance coverage to comply with the Financial Responsibility Act, your driver ‘s license and/or license plates will be suspended for up to three years. You will have to pay a restitution fee and you will need to show the Department a certificate of insurance on Form FR-44 for three years from the original date of the suspension to regain your driving privilege.

A suspension for having too many points against your driver ‘s license.
An accident in which you are to blame and injuries have occurred.
A revocation for being a Regular Traffic Offender.
A revocation for any offense where this department is forced to revoke its license.
You must have the following insurance coverage as a minimum:

  • $ 10,000 Personal Injury Liability (BIL).
  • $ 20,000 Bodily Injury Liability to two or more persons.
  • $ 10,000 Property Damage Liability (PDL), or
  • $ 30,000 Combined Individual Limits

If you are involved in any of the above violations (excluding DUI) and do not have insurance coverage to comply with the Financial Responsibility Act, your driver ‘s license and/or your license plates will be suspended for three years as a maximum. You will have to pay a $ 15 restitution fee and you will need to show the Department a certificate of insurance on Form SR-22 for three years from the original date of the suspension to regain your driving privilege.

In addition, if you are the driver or owner of a vehicle involved in an accident for which you are at fault, this department may require you to pay the damages before restoring your driving privilege.

Under this law, in order to protect yourself and others, you must have insurance coverage for all motorized vehicles you own or drive, including motorcycles.

The No-Fault Law

It is mandatory in Florida that motor vehicle owners with four or more wheels to purchase a no-fault insurance. However, taxis and limousines are exempted from this law. Vehicles that have stayed for at least 90 consecutive or non-consecutive days during the last 365 days must avail of the insurance policy delivered or issued for delivery in Florida. The following is the minimum coverage:

$10,000 of Personal Injury Protection

  • $10,000 of Property Damage Liability

Insurance policy with coverage issued in Florida is also required to buy a license plate and registration for four-wheeled vehicles. It is also required that you notify the state anytime you renew, fail to renew or cancel the insurance. Failure to provide proof of insurance will result in suspension of driver’s license and license plate for up to three years.

The Concept Of Insurance Fraud

In Florida, an Insurance Fraud charge can take many forms from health, property, to auto insurance. Charges vary greatly such as the use of false Medicare and Medicaid insurance, fraudulent claims made to Workers’ Compensation, and Auto Insurance providers. Florida also experienced its own share of different insurance schemes.¬†With hurricanes, fire and flood, real estate insurance have been quite popular recently. In addition, due to complex billing and coding procedures today, many doctors and health care providers are being investigated by the State Attorneys for Health Insurance Fraud (Disability).

Another type of insurance scam that is becoming more popular is the personal injury scams. The person committing the fraud will claim that he or she suffered physical injury after an accident. The number of incidents for this type of fraud increased after Personal Injury Protection(PIP) became mandatory in Florida. Normally, the state law enforcement agency prosecute this type of case. However, the practice became so widespread that it got the attention of federal law enforcement.

The State of Florida can also prosecute those suspected of making False Claims. Specifically, a very widespread charge in Central Florida is Fire to Defraud the Underwriter, ( Florida Law 817.233 ), a charge that may also be related to Provocative Fire, ( Florida Law 806.01 ). In a case of Insurance Fraud, State Prosecutors have to prove that the act of defrauding the insurer was done on purpose, which makes this charge particularly difficult for them to prove before a judge or a jury. These cases are considered Third Degree Crimes and are subject to a possible sentence of up to five (5) years in State Prison. If you have been charged with Insurance Fraud,

Credit card fraud occurs when an individual defrauds a person or company with the intention of obtaining money or goods. In Florida, State Attorneys can charge you with Credit Card Fraud when a person uses a credit card linked to a canceled account, or uses a stolen or lost card and makes purchases with it. Another form of Credit Card Fraud is embezzlement, which happens when a person gives a card number from a third party to make purchases. State and Federal agencies can pursue Credit Card Fraud cases, however, most of these cases are prosecuted by the US Secret Service.

Insurance Fraud offenses can be classified as minor or major, and in some situations, such as when a fake accident is alleged, the minimum mandatory period of imprisonment can be imposed by the Judge. Penalties for insurance fraud also vary and it usually depends on the amount or value of the claim. The severity of the penalty will increase as the value of the fraudulent claim will increase as well. For licensed professionals such as doctors and lawyers, they could lose their license.

The “Obamacare” Market And Registration

The Affordable Care Act or more popularly known as “Obamacare” was signed last March 23, 2010. It requires that most people have health insurance. In this article, let’s take a look at some details about “Obamacare.”

The Medical Insurance Market (also known as Marketplace) is a price comparison website where Americans can purchase their Quality and Affordable Medical Insurance, and receive financial assistance to lower premiums, and additional costs, and even qualify for Medicaid and CHIP. Every state has its own medical insurance market, find the medical insurance market of your state now.

Financial assistance

Those with incomes below 400% of the Federal Poverty Level (FPL) may qualify for financial assistance through the insurance market. 400% of the Federal Poverty Level is just $ 46,000 per year for individuals and $ 93,500 for families. Financial assistance is only available through your state’s insurance market. Learn more about what ObamaCare will cost you. The majority of Americans will be eligible for subsidized health insurance from 2% to 9.5% of their Modified Adjusted Gross Income (or for free Medicaid and CHIP coverage).

Open Registration

Health insurance must be obtained during the open registration. The 2014 open enrollment in the ObamaCare Medical Insurance Market has ended on March 31, 2014. After the open registration, the open enrollment period started on November 15, 2015. There is also a qualification for a special enrollment period to be covered in the insurance market as the next open registration period arrives.

Apply at healthcare.gov to see if you are eligible for financial assistance to reduce premiums and additional expenses, and even for Medicaid (Medicaid eligibility has spread to many states).


Generally, as long as you have registered during the open registration each year, you will avoid the monthly charges for Shared Liability Payments for not having coverage for at least one day in a given month. Other exemptions may be used to extend the time during which you can avoid a fee for longer periods of time; Some exemptions extend for up to one year. You may have coverage and financial assistance even if you qualify for some exemption

The Medical Insurance Market is only open during the corresponding open registration period each year unless you qualify for a special registration period. To avoid penalties make sure you get coverage and keep it during the open registration and throughout the year. Insurance purchased before the 15th of each month begins on the first day of the following month once you have paid your premium.