HB 267 - Motor Vehicle Liability Insurance Summary

• Repeals Florida's No-Fault Law: Eliminates the Personal Injury Protection (PIP) insurance requirement effective January 1, 2015, replacing it with a traditional fault-based system requiring bodily injury and property damage liability coverage.

• Increases Minimum Insurance Requirements: Raises mandatory coverage limits to $25,000 per person/$50,000 per accident for bodily injury and $10,000 for property damage (from previous lower amounts).

• Restructures Financial Responsibility: Shifts from no-fault PIP coverage to bodily injury liability coverage, requiring vehicle owners to maintain security to respond for damages caused by their operation of motor vehicles.

• Mandates Policyholder Notification: Requires insurers to notify policyholders by September 1, 2014 about the repeal of no-fault law, changes to coverage requirements, and the option to modify existing policies before the January 1, 2015 effective date.

• Addresses Transition and Fraud Prevention: Includes provisions for policy conversions, grandfathering of existing policies until renewal, and expanded insurance fraud penalties related to health care clinic licensure and motor vehicle accident claims.