Florida Governor Vetoes Liability Coverage Auto Insurance

Florida auto insurance will continue to be one of the most expensive in the country.

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Recently, Governor DeSantis vetoed the Mandatory Bodily Injury Liability law that was overwhelmingly passed by the Florida legislature. (In April, the Florida House passed the bill 99-11 and the Senate passed it 38-1). The bill would have repealed Florida’s No-Fault Law and require that every driver carries at least $25,000 in liability coverage for injuries they cause after an accident.

After the bill was passed, here was a lot of opposition, claiming the new law would have raised rates. Although there was disagreement on that issue, the concern about raising rates was enough to convince the governor. As he stated in his veto letter, “While the PIP system has flaws and Florida law regarding bad faith is deficient … SB 54 does not adequately address the current issues facing Florida drivers and may have unintended consequences that would negatively impact both the market and consumers.” Lawmakers and insurers agree that the current system is outdated and subject to fraudulent claims. However, the Legislature has tried and failed for the past several years to change the system.

The bill would have repealed FL’s No-Fault Law and require that every driver has at least $25,000 in liability coverage. Unfortunately, this means Florida auto insurance remains one of the most expensive in the country and Florida will continue to be one of only two states that doesn’t require some form of liability coverage. That’s bad for Florida drivers and especially bad for anyone involved in an accident with an underinsured driver.

That means, as always, it’s extremely important to protect your family. Be sure to get the most uninsured motorist coverage you can afford. Hopefully, the legislature will revisit the issue next year and finally fix Florida’s insufficient, unfair, and expensive, auto insurance system.