One item that is not discussed is that this flawed legislation now extends BI coverage to any resident relative driving any car. There is no way for the industry to price for unknown drivers driving unknown cars. This also sets up bad faith. If the son who is undisclosed but lives with your insureds is involved in an at-fault accident technically, as written, both policies apply. Which is primary? Do they stack? Is there an offset? Bad faith will explode.
As a long time FL agent, this will be disruptive to the insurance marketplace. Most of claims structures developed in both personal and commercial insurance revolve around the standard non-fault/PIP laws, rules, regulations and coverage limits. Reworking processes, repositioning personnel, unlayering payment systems, redirecting legal representation will take time and money. This will be followed by a lot of missteps, communications issues and over/underpayment of BI losses. It is definitely cost insurance companies some serious $ to get in the right place.
The other major factor is the chiropractic industry… Chiropractors, whether they admit it or not, make a considerable amount more from auto accident cases than treating major med or cash patients. Due to insultingly low health insurance reimbursement rates for chiropractors this change will decimate the chiropractic community. Most chiropractors who haven’t been well established will have to close their doors as it would be extremely difficult to thrive on just health insurance and cash payments. This will possibly cripple an entire industry and profession.
Just something to think about as obviously the politicians greasing their pockets to make this happen could care less…
Anyone ever look at the financial advertising spend of attorney’s in Florida? Specifically around auto claims?
Maybe legal reform could lower auto premiums. Just a thought.
One item that is not discussed is that this flawed legislation now extends BI coverage to any resident relative driving any car. There is no way for the industry to price for unknown drivers driving unknown cars. This also sets up bad faith. If the son who is undisclosed but lives with your insureds is involved in an at-fault accident technically, as written, both policies apply. Which is primary? Do they stack? Is there an offset? Bad faith will explode.
As a long time FL agent, this will be disruptive to the insurance marketplace. Most of claims structures developed in both personal and commercial insurance revolve around the standard non-fault/PIP laws, rules, regulations and coverage limits. Reworking processes, repositioning personnel, unlayering payment systems, redirecting legal representation will take time and money. This will be followed by a lot of missteps, communications issues and over/underpayment of BI losses. It is definitely cost insurance companies some serious $ to get in the right place.
The other major factor is the chiropractic industry… Chiropractors, whether they admit it or not, make a considerable amount more from auto accident cases than treating major med or cash patients. Due to insultingly low health insurance reimbursement rates for chiropractors this change will decimate the chiropractic community. Most chiropractors who haven’t been well established will have to close their doors as it would be extremely difficult to thrive on just health insurance and cash payments. This will possibly cripple an entire industry and profession.
Just something to think about as obviously the politicians greasing their pockets to make this happen could care less…
Anyone ever look at the financial advertising spend of attorney’s in Florida? Specifically around auto claims?
Maybe legal reform could lower auto premiums. Just a thought.
Dave, when your hurt and you cant find an attorney to take your case good luck.