If you own a vehicle in Florida, understanding your auto insurance coverage is critical. Unfortunately, many drivers do not realize that they may be financially exposed until after a serious accident occurs. This may be because, unlike many states, Florida does not require most drivers to purchase bodily injury liability coverage.
Florida operates under a no-fault insurance system. Drivers are required to carry personal injury protection (PIP) coverage, which pays for their initial medical bills and lost wages after a car accident, regardless of fault. Bodily injury liability (BIL) coverage, which pays for injuries to others if you cause an accident, is optional for most drivers.
At Gould Cooksey Fennell, we are deeply experienced in Florida’s complex auto insurance laws. We represent individuals and families who have been hurt in car accidents, truck accidents, pedestrian accidents, and other types of accidents. Contact our law offices today to schedule a free initial consultation with a Vero Beach personal injury lawyer.
What Is Bodily Injury Liability Coverage?
Bodily injury liability coverage is a type of auto insurance that pays for injuries suffered by other people when you are responsible for causing a motor vehicle accident. Unlike personal injury protection (PIP), which covers your own medical expenses regardless of fault, bodily liability insurance protects you financially when another person claims that you caused their injuries.
A BIL policy may help to pay for:
- Medical expenses
- Hospital bills
- Rehabilitation costs
- Lost wages
- Pain and suffering damages
- Wrongful death damages
- Legal defense costs in covered claims
For example, if you run a red light and seriously injure another driver, that person’s losses could quickly exceed $100,000. Bodily injury liability coverage may help you pay for those damages, up to your policy limits. Without this type of insurance, your personal assets could be at risk.
BIL coverage can be purchased by any Florida driver who wants to add it to their policy. However, unlike other types of insurance coverage (described below), it is not required for most Florida drivers. Without bodily injury liability coverage, you could be responsible for an accident victim’s losses if you cause a car crash.
There are certain situations where drivers are required to purchase BIL insurance. If you have been convicted of driving under the influence (DUI) in Florida, then you will probably be required to purchase this type of insurance. Similarly, if you caused a serious accident or have a history of traffic violations, the state may require you to purchase BIL coverage.
Even if you are not mandated to buy BIL insurance, it is generally still a good idea to have this type of insurance. If you cause an accident and the other party was injured badly enough to step outside of Florida’s no-fault system, you could be on the hook for their losses. That is why our team always recommends that Florida drivers carry this type of insurance.
How Does Florida’s No-Fault Insurance System Work?
Florida is one of a handful of states that uses a no-fault system. Under a no-fault system, drivers typically turn first to their own personal injury protection coverage after an accident. No matter who caused the crash, your own PIP coverage will pay for certain expenses immediately after an accident.
Florida law generally requires vehicle owners to carry a minimum of $10,000 in personal injury protection and $10,000 in property damage liability (PDL). These minimum requirements allow drivers to register and legally operate most passenger vehicles in the state.
In Florida’s no-fault system, if you are involved in a motor vehicle accident, PIP will cover 80% of all necessary and reasonable medical expenses resulting from a covered injury. It also covers lost income resulting from the accident and injuries, and $5,000 in death benefits. PDL coverage pays for damage to another person’s property caused by you or by another person driving your insured vehicle.
Under this system, a person injured in a car accident can only receive the full $10,000 in PIP coverage if they had an emergency medical condition related to the crash and their medical treatment was for that condition. If a car accident victim did not have an emergency medical condition, then they can only receive up to $2,500 of PIP coverage for medical expenses. The initial medical treatment for the injury must have been received within 14 days of the accident.
For minor car accidents, PIP coverage is often sufficient. However, if a person suffers a more serious injury, then they can step outside of the no-fault system and file a personal injury lawsuit. Under Florida law, a serious injury is defined as one that results in:
- Significant and permanent loss of an important bodily function
- Permanent injury, within a reasonable degree of medical probability
- Significant and permanent scarring or disfigurement, or
- Death
If a person’s injuries are considered serious, then they can pursue compensation for all of their losses. This may include their full medical expenses, lost wages, and other economic losses, plus non-economic losses like pain and suffering, reduced quality of life, and emotional distress.
Many drivers are surprised to learn that BIL coverage is not required for most Florida motorists. If you cause an accident and don’t have bodily injury liability insurance, then you may be personally on the hook for the victim’s losses if they suffered a serious injury.
Why Bodily Injury Coverage Matters
The absence of a statewide requirement to purchase BIL insurance does not eliminate your potential liability after a serious accident. Florida’s no-fault system only applies up to certain limits. When injuries are severe, victims may pursue claims against the at-fault driver for damages that exceed PIP benefits.
When these claims arise, bodily injury liability insurance often becomes the primary source of compensation available to injured victims. If the at-fault driver lacks sufficient coverage, injured individuals may be forced to pursue compensation directly from the driver’s personal assets. If they have uninsured/underinsured motorist coverage, they may also file a claim against their own insurance policy.
What Does Bodily Injury Coverage Pay For?
Bodily injury liability insurance is designed to compensate people who suffer injuries because of a driver’s negligence. Covered damages may include:
Medical Expenses
This may include:
- Emergency room treatment
- Ambulance transportation
- Surgeries
- Hospitalization
- Physical therapy
- Prescription medications
- Future medical care
Serious injuries often result in medical expenses far exceeding Florida’s minimum PIP limits.
Lost Income
Car accident victims frequently miss work while recovering from injuries. Bodily injury liability insurance may compensate for:
- Lost wages
- Reduced earning capacity
- Future lost income
Pain and Suffering
When injuries meet Florida’s serious injury threshold, injured victims may pursue compensation for non-economic damages such as:
- Physical pain
- Emotional distress
- Mental anguish
- Loss of enjoyment of life
- Scarring
- Disfigurement
Wrongful Death Damages
When a fatal accident occurs, surviving family members may pursue damages through a wrongful death claim. Bodily injury insurance often provides the primary source of recovery in these tragic situations.
Understanding Bodily Injury Liability Limits
Insurance policies typically express bodily injury coverage using two numbers. The first number represents the policy maximum for an individual person. The second number represents the policy maximum per accident.
For example, if you have 100/300 BIL coverage, this means that your insurance company will pay out a maximum of $100,000 per injured person and a maximum of $300,000 per accident. If three people are injured in a crash that you caused, then your insurer would pay no more than $100,000 to any one individual and no more than $300,000 total for the accident.
It is often tempting to go with lower BIL coverage because it is less expensive. However, higher policy limits generally provide greater financial protection. A serious accident can lead to damages that far exceed policy limits.
For example, consider a situation where you cause a crash that seriously injured the other driver. They required emergency surgery, hospitalization, and long-term rehabilitation. In this situation, the other driver’s medical bills alone could easily exceed $100,000. If your liability coverage is insufficient, you may become personally liable for the remaining damages.
How Bodily Injury Coverage Affects Personal Injury Claims
From the perspective of a car accident victim, bodily injury liability coverage often plays a major role in how much compensation may be available. If the at-fault driver does not carry BIL coverage, then you may be limited to PIP.
After a serious accident, an experienced Vero Beach car accident attorney will investigate insurance coverage, including:
- Available liability policies
- Coverage limits
- Additional umbrella policies
- Commercial insurance coverage
- Employer liability coverage
For example, if you were involved in a truck accident for someone who was delivering items for their employer, you may be able to file a claim against their employer. This can open up additional possibilities for compensation.
Even when coverage is limited, experienced personal injury attorneys can investigate whether additional sources of potential compensation exist. It may be possible to file a claim against a third party, for example, or against your own insurance company.
Consider a situation where you are t-boned by a driver who blew through a stop sign. That driver only has PIP and PDL coverage, but your medical bills are well over the policy limits for your own PIP insurance. If the driver ran the stop sign because it was hidden by overgrown foliage, then your Vero Beach car accident lawyer may determine that it is possible to file a claim against the government agency or property owner responsible for maintaining that area.
This is just one reason why it is so important to have legal representation if you are involved in a car accident in Florida’s Treasure Coast region. Your lawyer will thoroughly investigate all potential sources of compensation to make sure that you get the money that you need to move forward with your life.
The Role of Uninsured and Underinsured Motorist Coverage
Florida’s unusual insurance framework creates another problem. Because BIL coverage is not universally required, many drivers on Florida roads either have no BI coverage or carry very low limits. Even if another driver causes a serious accident, they may not have enough insurance available to compensate you.
This is why it is generally a good idea to opt into uninsured/underinsured (UM/UIM) coverage. This type of coverage can pay your losses when the at-fault driver has no insurance or has inadequate limits. It can also cover situations where a hit-and-run driver causes an accident.
If you are in a situation where you are seriously injured in an accident caused by a driver who does not have BIl coverage, UM/UIM coverage may become critical. Our Vero Beach car accident lawyers will fully explore every avenue to determine how to get you maximum compensation for your injuries.
How Our Law Firm Can Help
After an auto accident, understanding available insurance coverage is essential. Bodily liability insurance often becomes one of the most important factors in a personal injury claim. A skilled personal injury attorney can determine what coverage exists, identify additional liable parties, and maximize available compensation to help you get the best possible outcome.
At Gould Cooksey Fennell, our attorneys have decades of experience handling serious motor vehicle accident claims in Florida’s Treasure Coast region. We work to identify all available insurance coverage, investigate liability, and pursue the full compensation that our clients deserve. To learn more or to schedule a free consultation with a Vero Beach car accident lawyer, give us a call at 772-758-8791 or fill out our online contact form.
