As any Florida subrogation attorney knows, in general, there is no PIP subrogation in the state. Right? Not exactly. In this episode of On Subrogation: Florida PIP Subrogation, Rathbone Group insurance attorney Jason Sullivan provides an introduction to PIP subrogation in Florida and best practices for subrogation professionals pursuing recovery from a hefty PIP payout.
This article and video are part of a series on Florida PIP subrogation and HB 837; find links to the remaining episodes and articles at the end of this piece.
PIP stands for Personal Injury Protection, and is a required, mandated coverage in Florida auto insurance policies:
- PIP covers 80% of reasonable medical expenses caused by the collision.
- If you have a non-emergency condition, PIP coverage is up to $2500.
- If you have an emergency medical condition, PIP coverage extends to $10,000.
- PIP covers 60% of lost wages up to $10,000.
- Policy includes a $5000 death benefit for a death resulting from the collision.
The problem for Florida insurers is that, once you have paid out a PIP claim to your insured, in general, Florida provides no right to subrogation for PIP claims. However, there are two exceptions to the rule:
- Uninsured parties can be pursued.
- Some commercial vehicles can be pursued.
PIP Subrogation Involving a Commercial Vehicle
The uninsured motorist exception is clear. But the commercial vehicle exception is not as transparent, particularly in Florida subrogation.
A commercial vehicle is generally defined as anything that is not a private passenger motor vehicle. However, in Florida, a commercial vehicle is defined solely by its purpose (occupational/business), not by its size or weight.
Commercial vehicles can be pursued under subrogation if:
- The insured was a passenger in the commercial vehicle, or
- If the insured was a pedestrian or cyclist
In these cases, the insurer’s right of subrogation is against the owner/insurer of the vehicle, whether or not the operator of that vehicle was the one at fault.
For In-Depth Looks at Components of Florida PIP Subrogation:
Florida HB 837 was a big deal in PIP subrogation; in general, this state’s laws make subrogation involving PIP complex. For discussions on some of those complexities, visit:
- Florida HB 837 & Rolling With the PIP Subrogation Changes: a comprehensive look at important aspects of Florida HB 837 and links to accompanying video episodes, including:
- State Subrogation Laws: How Does PIP Coverage Work in Florida?: a discussion on how emergency medical conditions affect PIP payouts in Florida’s no-fault status, with link to the accompanying video episode.
Looking for More Information on Subrogation Law & Practice?
Interested in learning more about subrogation, including tips for managing claims and explanations of nuanced legal mechanisms, visit our Subrogation Blog and YouTube channel or podcast library for more episodes of On Subrogation – Rathbone Group’s free educational resource for subrogation attorneys, claims specialists, and other legal professionals on subrogation process and insurance law.
Have a question or suggestion for a new episode? Reach out at blog@rathbonegroup.com. And for more about our nationwide subrogation services, inquire at info@rathbonegroup.com.