Does auto insurance follow the car or the driver?

Does auto insurance follow the car or the driver?

This is a question we often get asked at Chrinco because, let’s face it, auto insurance can be confusing.  In Florida, most insurance coverages follow the car that you insure. For example, the comprehensive or collision coverage you purchased for Vehicle A cannot be used to cover Vehicle B.  There may be some caveats to this rule with reference to rental vehicles which will require you to reference your auto insurance policy in such a case, but, in general, your coverage follows your vehicle.

However, in the state of Florida, there is one coverage that follows you around almost everywhere you go.  It’s a required coverage for every auto insurance policy purchased in the state.

What is this coverage that follows you around called?

It’s called Personal Injury Protection.  Some people call it pip or P.I.P. or no-fault coverage but regardless the name given, the coverage is still the same.  Personal Injury Protection is the coverage that covers a portion of your injuries and lost wages should you get in an accident – regardless who is at fault.  In Florida, it covers injuries from a car accident before your health insurance kicks in.

Your Personal Injury Protection will cover your injuries if you’re a passenger in a friend’s car when they’re involved in an accident.  We’ve also seen it cover pedestrians who are hit by cars.  We’ve even seen it cover someone’s injury when they hit their head getting into their own car.

The coverage only covers the first $10,000 and it’s a co-insurance which means it only covers a certain percentage of the covered claim, but it’s probably the most versatile coverage in the auto insurance policy.

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