Gov. Scott Signs No-Fault Bill, But Don't Expect Your Premiums to Decrease

MIAMI, FL, May 14, 2012 (Press-News.org) Gov. Rick Scott has signed the no-fault insurance bill into law, as Brendan Farrington reports for the Associated Press. With Scott's signature, auto insurance premiums are likely to stay exactly where they are now: high.

But there are other changes, changes that don't benefit consumers. For instance, if you get into a car accident in Miami, you'll have more hoops to jump through to get no-fault benefits, such as a $2,500 cap that can only be increased if you have a qualifying "emergency medical condition."

This emergency medical condition can only be identified and vouched for by health care professionals like doctors, dentists and nurse practitioners; no longer can chiropractors vouch for the condition. Likewise, acupuncture and massage therapy are completely off the table for coverage.

Scott's motivation is "rampant fraud," as Farrington writes. Scott said, "This was an issue that was costing our citizens a lot of money. This is an opportunity to reduce the cost of living if we've done this right. If not, we're going to keep focusing on it."

The Miami area is said to be a "hotbed" of staged accidents that allow people to take advantage of no-fault benefits. Scott must be referring to these types of staged accidents. But one expense that contributes to the cost of living is certainly the auto premium itself, which is mandatory, and is an expense every Florida driver pays.

Therefore, it makes sense to reduce the premium itself, but Florida lawmakers gave insurance companies an "out" from the mandated 10 percent reduction in the cost of premiums: all the insurance companies must do is "explain" why they can't reduce the cost.

So there you have it. Florida consumers and drivers actually get less out of mandatory no-fault coverage, including less access to medical care after an accident, while the insurance industry gets to protect its bottom line.

The attorneys at Ferrer Shane, PL, are Miami injury lawyers who assist clients throughout south Florida with a variety of legal services. For more information about their Miami law firm, visit their Web site, http://www.ferrerlaw.com/ or call us at (305) 262-2728.

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Additional Resources:
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Auto Accident Blog: http://www.miamimotorvehicleaccidentsattorney.com/
DUI & Traffic Ticket Blog: http://www.miami-dui-defense-attorney.com/