I see a lot of confusion about this, and it’s something I’ve been researching lately.
In Florida (a no-fault state), your own insurance is usually the first to pay medical bills, regardless of who caused the crash. This is called Personal Injury Protection (PIP). But here’s where it gets tricky:
• PIP only covers up to $10,000 in medical costs.
• If your injuries are considered “serious” (permanent injury, significant scarring, loss of bodily function, etc.), you may step outside the no-fault system and sue the at-fault driver for damages.
• If the other driver doesn’t have enough coverage (or disappears in a hit-and-run), uninsured/underinsured motorist coverage may kick in — but only if you have it on your policy.
• Health insurance can also come into play, but often they’ll expect reimbursement later if you get a settlement.
This leaves a lot of people stuck wondering: Who pays when costs go beyond that $10k PIP limit?
So my question to the community is:
Has anyone here in Florida (or another no-fault state) gone through this process? Who ended up covering your bills in the end?
I think hearing real experiences would help others avoid surprises.
Location: Florida
Comments
Your PIP will pay out first. Then your uninsured (under) motorist will pay out the rest if you have that coverage. Your insurance company will then try and recover from the at fault party.
If your health insurance pays your medical bills, your health insurance company will likely attempt to recoup that money from your insurance coverage or from you directly if circumstances allow for it (like you get a settlement).
If you’ve exhausted PIP and all insurance coverage/options, then generally, you pay the balance of your own medical bills. You can sue the other driver for those costs, but unless they have insurance that steps in and pays for them or they have the cash/assets to satisfy a judgement against them, there’s a chance you might not see any of that money from them (or rather, might see that money slowly, over a long period of time).
Which is why it’s important to make sure you’re not driving around woefully under-insured. Trying to save a buck each month through lower premiums and coverage can actually turn out to be a lot more expensive for you if and when something happens.
Is this actually happening to you, or is this mere curiosity/for discussion’s sake?