Florida Auto Insurance: Choices To Consider When Purchasing Your Policy

Buyers of Florida auto insurance policies have many options that are different from other states. Beyond required minimum levels of insurance, there are several optional coverage levels buyers must select themselves. Three choices that must be made include property damage and bodily injury liability limits, auto insurance policy deductible levels, and rental reimbursement insurance. When deciding how much is enough, consider all options and discuss these choices with your independent Florida auto insurance agent.

It is up to you, the buyer, to select how much Property Damage Liability (PDL) coverage you want to carry. PDL coverage pays for damage to other people’s property when driving your vehicle. Florida only requires $10,000 of auto insurance liability coverage, but you can add a higher level if you wish. In many cases the cost to increase coverage is very low, even a $5 annual premium increase can double your protection. If you have assets to protect, you may want to select a high coverage level, so you are better protected in case of a car crash. Ask your agent about the best level of protection for auto insurance liability in your policy.

Florida auto insurance law does not require Bodily Injury Liability Coverage, but it is highly recommended for every driver. The two required coverages—Personal Injury Protection (PIP) and PDL—cover injury to you and your family, and damage caused to other people’s property, but they do not cover injury caused to another person. Bodily Injury Liability is available in many increments, and you should determine the amount that is right for you based on your reason for purchasing insurance. In order to be financially protected, you should buy Florida auto insurance limits higher than the total value of your assets, while also making sure that you have enough auto insurance liability protection to cover the average bodily injury/property damage claim. Discuss your auto insurance policy with your agent to determine what coverage is right for you.

Comprehensive and collision coverage on your auto insurance policy will include deductibles. The deductible is the amount of money you pay before your auto insurance takes effect and pays the rest of the claim. Choosing a high deductible can reduce your insurance premium, but you must be sure you can afford to pay the deductible in case of an accident. Also, you may have chosen a high deductible when you purchased coverage for a new car, but now that the car is older, the amount you save by choosing a high deductible becomes minimal. If you have aging vehicles, check with your insurance agent to find out what it would cost to lower your Florida auto insurance deductible. If you have a newer vehicle and a low deductible, find out what you could save by choosing a higher deductible.

Rental Reimbursement Insurance pays for a rental car after a covered auto insurance policy claim. If you have this coverage, you should check your limit. Many people still carry a limit of $20/day, $600 Max for rental reimbursement insurance. You would have a tough time getting a rental vehicle for $20/day in today’s market, so find out from your Florida auto insurance agent how much an increased coverage level would add to your policy cost.

When you buy Florida auto insurance, selecting the basic minimum coverages and deductibles can set you up for a world of financial problems in the future. There are many important choices, and your best asset is an experienced auto insurance agent you can trust. By evaluating your needs, your assets, and your driving habits, a qualified Florida auto insurance agent can help you choose the perfect level of coverage at the best price.