Car insurance is mandatory in Florida. Motorists who own vehicles generally need to carry insurance policies indemnifying them in case they cause harm to others. In fact, they typically also need to carry personal injury protection (PIP) coverage that provides no-fault support when people incur medical expenses or lose income because of a car crash.
Many personal factors influence what people pay for car insurance. Premiums depend in part on the value of the vehicle, the neighborhood where the driver lives and even their age. Their driving history is also a key consideration. Those who have a history of issues may pay more than those who have clean traffic records.
If the state determines that one driver is at fault for a crash, how can that determination of fault affect their insurance?
Premiums increase with risk levels
Insurance companies tend to charge more for coverage when they believe that drivers are likely to generate large claims in the future. Any driver who has an at-fault collision on their recent record can expect their insurance premiums to increase noticeably. Even a single crash can cost drivers hundreds of dollars in increased premiums over the course of a year.
The average cost of insurance increases substantially after a single at-fault collision. Insurance industry experts estimate that Florida drivers pay an average of $68 per month for minimum coverage that complies with state law if they have a clean record. That increases to $100 per month after an at-fault crash.
Those with full coverage can also expect to pay more. Drivers with clean records pay an average of $225 per month for full coverage, but those with a prior wreck on their records pay $322 per month. In scenarios where drivers have multiple at-fault collisions or collisions combined with recent citations, what they pay for insurance may be far more than what drivers with one minor fender bender on their record may pay.
Establishing who was at fault after a crash and holding the other driver accountable whenever possible can help victims of negligence minimize the insurance implications of a motor vehicle collision. Reviewing press reports and policy paperwork with an attorney can help those affected by collisions work to reduce the long-term financial impact of a crash.