All drivers in Florida are required to have Personal Injury Protection (PIP) as part of any automobile insurance policy. Instead of going through the court system, these policies are meant to pay medical bills quickly. Yet the Florida system appears to have multiple problems with fraud, and the Florida Legislature is considering getting rid of the no-fault system.
No-fault automobile insurance began in the 1970s. As advocates explain, “its central idea was that an injured accident victim would simply receive compensation from his or her own insurance company instead of having to show the fault of another driver to recover losses from the other driver’s insurance company.” This insurance scheme was meant to reduce insurance premiums because every case would not have to go through the judicial system to be resolved.