Maybe you just bought a new car and you are wondering if you need to buy auto insurance, if you live in the state of Florida, and your car has four wheels on it, you must have car insurance, sorry it’s the law. Florida auto insurance is unfortunately a necessary evil however there are things you can do to lower the bill, by obeying the law, and by shopping around. Don’t just take it for granted that the auto insurance company you have, even if you have been using them for years is giving you the best deal. Every company has different guidelines and what may be a risk for one company may not be to another.
It is important that you know the Florida state laws regarding auto insurance, what this means is when you are buying insurance for your vehicle pay attention to the deductibles as the amounts you choose drastically affect the rate.
Florida insurance laws regarding car insurance is as follows:
- If you have a valid Florida license plate, the minimum amount of insurance you must have is $10,000 – of personal injury protection . This is true for every vehicle you own, drive or store in the state of Florida.
In English please, often it is difficult to understand policies and the law, so here it what you need in simple English:
The lowest amount of auto insurance, you will need to purchase is
$10,000 of PIP insurance.
This auto insurance policy covers you – no matter who is at fault, up to the limits of your policy. Other passengers who have a license and their own insurance will be covered by their own policy.
Bodily Injury Liability (BIL) Is Recommended
While Florida drivers are not required to have Bodily Injury Liability coverage, it is highly recommended. Having a Bodily Injury policy will protect you if you cause an accident to another person. Also your insurance provider will grant legal representation if the injured party sues you.
PDL(Property Damage Liability) Insurance Is Not Required – But Highly Recommended
Property Damage Liability coverage pays the other driver or passengers for damages to their vehicle. What this means if you cause an accident, if you have this type of Property Damage coverage, they will pay for the damage to the other persons car.
If you have moved to Florida from another state, it is common to ask if you can keep your previous auto insurance, the answer is no you must have to minimum amount of Florida car insurance. You may be able to have your current car insurance agent transfer your policy to a Florida Auto Insurance Company.
If you have a car in Florida and are not driving it, no matter the reason and you don’t want to buy auto insurance the recommend action to take is to turn in your Florida state license plate.
Car Insurance Is The Law – Here Are Some Ways to Lower Your Car Insurance
I recommend you go with a low deductible for comprehensive insurance. If you have someone run into you in a parking lot and leave without notifying you, this type of auto coverage will protect you from getting caught with the bill. If your vehicle is worth less than $3,000 I would drop the collision altogether because the money you save over a couple of years could replace the vehicle.
When buying a new or used car you will save money by staying away from sports cars and four-wheel drive vehicles. Both of these vehicle classifications are substantially higher than others especially if you are under 25 years old!
If your vehicle doesn’t have an anti-theft device have one installed. The cost for installing a system can be as little as $100 and some insurance companies give big discounts for anti-theft devices.
Don’t make frivolous claims! This may sound like common sense just like keeping a clean driving record but you would be surprised how many people make claims for petty things. If you have an issue that will cost you less than $300 or $400 pay it out of pocket. Many companies will reward you for staying claim free.
Don’t exaggerate the value of your car. The more expensive you say your vehicle is the higher the insurance rate will be. Just give the amount needed to replace it and update this figure annually.
Pay your insurance premiums annually instead of monthly or even quarterly if at all possible. This will save you quite a bit in the long run since the companies charge substantial interest rates for carrying the balance.
Shop around for your car insurance both locally and on the Internet, you will be surprised how much you can save by doing this.
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