Driver’s EducationVehicle Insurance

What kind of Insurance do you need in Florida?

1. In Florida there are two vehicle insurance laws, the Financial Responsibility Law and the No-Fault law.

2. This first law requires vehicle operators to be financially responsible for damages & injuries they cause

3. This requires you to have bodily injury liability insurance at the time of the infraction

4. In most cases if you don’t have the proper liability insurance your license will be suspended for up to 3 years, plus fines.

5. Additionally, if you are the driver or owner of a vehicle involved in a crash that is your fault, the department can require you to pay for damages before you get your driving privileges back

6. No-Fault insurance is a system in which the insurance company pays your medical bills resulting from a collision related-injury

7. It’s called No-Fault because blame is not considered before the insurance company pays your bills

8. However, in serious injuries, the injured party can still go to court and sue the person responsible for damages

What factors affect cost of Insurance?

1. You purchase insurance by paying a premium or set amount, usually every 6 months

2. Companies will determine their rates based on statistic. They use age, gender, or martial status to determine the likelihood that someone will be involved in an accident

Factors affecting your Premiums

1. Your Age - Those under the age of 25 pay the highest

2. Your Driving Record - Traffic violations, collisions and insurance claims can increase the cost of your insurance.

3. Some companies will give discounts for drivers who go months or years without a collision or a ticket.

4. Mileage per year - The farther you drive the more your insurance will cost you

5. Your gender - Women will pay lower insurance rates. Stats show that men drive more often, farther & are involved in more collisions

6. Your Marital Status - Young married men pay less than single men of the same age. Stats show that the married men are involved in fewer collisions

7. The Value of your Vehicle - the more expensive your vehicle the higher the cost of your insurance (cost to fix it is higher)

8. Type of Vehicle - SUV cost more because of the risk of roll-over

9. Some insurance companies will offer a discount for drivers who complete a driver education program

10.Some companies offer discounts to drivers with grades of “B” or higher

11.Companies also give discounts to drivers of cars with air bags, antilock brakes, alarms and drivers who park their cars inside a garage

FYITypically insurance companies will only pay damages up to a vehicle’s “book” value.

This is usually far less than what an owner thinks the vehicle is worth.

Special or custom equipment may not be covered unless it was specifically stated in the insurance policy.