When we sit down with clients to discuss their car accident cases, we often hear clients tell us that they have “full coverage.” Upon further investigation we often find that clients have limited or minimal coverage; part of the problem is that people don’t understand what full coverage is or they have been told that they have “full coverage” by a representative or agent. In this article we will attempt to simplify what “full coverage” is by defining what types of coverages are available in easy-to-understand terms.
Personal Injury Protection (PIP): Covers your medical expenses up to $10,000. You are however, required to see a physician within the 1st 14 days following an accident, otherwise you will be limited to $2500 of coverage.
Bodily Injury (BI): If that you are at fault for an accident, and you hurt the other person involved, this coverage will pay for their injuries.
Uninsured/Underinsured Motorist (UM): Pays for your injuries if the person responsible for the accident does not have enough coverage to cover your injuries.
Collision: Covers the damages to your vehicle and other vehicles if you’re at fault
Comprehensive: Covers the damage to your vehicle for non-car accident matter e.g., tree falls on your car.
There are other types of coverage like rental, medical payments coverage, and towing/lockout. These other coverages are important, but for purposes of a car accident the above coverages are most important. In the state of Florida, you are required to have PIP, collision and BI, however more than 25% of drivers are uninsured or underinsured, so if you’re in a car accident and it’s not your fault there’s a fair probability that the other driver will have limited coverage.
When purchasing coverage over the phone it’s important that you tell agents what coverages you want. Full coverage is a relative term and means different things to different people. If you ever have any questions about your auto insurance policy please don’t hesitate to contact us.