If you're new to Florida or just got your first car here, you've probably heard that Florida's insurance requirements are different from most states. That's putting it mildly. Florida is one of only two states that doesn't require bodily injury liability coverage—the protection that pays when you hurt someone else in an accident. Instead, Florida relies on a no-fault system centered around Personal Injury Protection, or PIP. It's confusing, it's often inadequate, and it's about to change completely. Here's everything you need to know about Florida's minimum auto insurance requirements in 2025.
What Florida Requires Right Now
Florida law requires you to carry two types of coverage when you register a vehicle with four or more wheels: $10,000 in Personal Injury Protection (PIP) and $10,000 in Property Damage Liability (PDL). That's it. No bodily injury liability unless you've had a DUI or been deemed a high-risk driver.
Personal Injury Protection covers your own medical expenses, lost wages, and injury-related costs up to $10,000, regardless of who caused the accident. It pays 80% of necessary medical expenses and 60% of lost wages. The Property Damage Liability portion covers damage you cause to someone else's property—their car, their fence, their mailbox. Ten grand doesn't go far when you've totaled someone's new SUV.
You can choose a deductible of up to $1,000 for PIP coverage and up to $500 for property damage liability. A higher deductible lowers your premium but means you'll pay more out of pocket after an accident. In a state where the average full coverage premium hit $3,795 in 2024—55% higher than the national average—many drivers opt for higher deductibles just to afford their policy.
Understanding Florida's No-Fault System
Florida's no-fault system sounds simple: when you're injured in an accident, your own PIP coverage pays your medical bills, no matter who was at fault. No arguing about liability, no waiting for the other driver's insurance to accept responsibility. In theory, it speeds up claims and reduces lawsuits.
In practice, it's more complicated. Your $10,000 PIP policy only covers 80% of medical expenses, leaving you responsible for 20%. And here's the kicker: unless a doctor diagnoses you with an Emergency Medical Condition within 14 days of the accident, your benefits cap at just $2,500. A whiplash diagnosis might not qualify as an EMC, leaving you with minimal coverage for ongoing treatment like physical therapy or chiropractic care.
The no-fault system also means you generally can't sue the at-fault driver for your injuries unless you meet specific thresholds—permanent injury, significant scarring, or substantial medical expenses beyond your PIP limits. If someone runs a red light and T-bones your car, causing $8,000 in medical bills and three weeks of lost wages, your PIP pays for most of it, but you can't go after the other driver for pain and suffering or the 20% your PIP didn't cover.
Why Minimum Coverage Often Isn't Enough
Ten thousand dollars sounds like a decent cushion until you actually need it. A single night in a hospital can cost $5,000 or more. An ambulance ride runs $1,000 to $2,000. If you're seriously injured, your PIP limit will evaporate before you're out of the emergency room. The remaining costs come out of your pocket unless you have health insurance willing to cover accident-related injuries.
Property damage is even trickier. The average cost of a new car in 2024 exceeded $48,000. If you cause an accident that totals someone's vehicle or damages multiple cars, your $10,000 PDL limit won't come close. You'll be personally liable for the difference, and the injured parties can sue you, garnish your wages, or place liens on your property to collect what you owe.
Then there's Florida's uninsured driver problem. With 20.4% of motorists driving without insurance—the second-highest rate in the nation—there's a one-in-five chance the person who hits you won't have coverage. Your PIP will cover your medical bills up to the limit, but if your car is totaled and the at-fault driver has no insurance, you're stuck with the repair or replacement costs unless you've added uninsured motorist property damage coverage to your policy.
Optional Coverage You Should Seriously Consider
Even though Florida doesn't require bodily injury liability coverage, you should absolutely consider adding it. If you cause an accident and seriously injure someone, they can sue you for medical expenses, lost income, and pain and suffering. Without bodily injury coverage, you're defending that lawsuit with your personal assets. Most experts recommend at least $100,000 per person and $300,000 per accident, though many drivers opt for $250,000/$500,000 for better protection.
Uninsured and underinsured motorist coverage is equally important in Florida. This coverage protects you when you're hit by a driver with no insurance or inadequate coverage. Given that one in five Florida drivers is uninsured, this isn't hypothetical—it's a real risk every time you get on I-95 or the Palmetto Expressway. UM/UIM coverage typically mirrors your bodily injury limits and adds minimal cost to your premium.
If you're financing or leasing your vehicle, your lender will require comprehensive and collision coverage. But even if you own your car outright, these coverages make sense if your vehicle is worth more than a few thousand dollars. Comprehensive covers theft, vandalism, weather damage, and hitting an animal. Collision pays to repair or replace your car after an accident, regardless of fault. In a state known for hurricanes, flooding, and severe storms, comprehensive coverage isn't a luxury—it's protection against Florida's reality.
Major Changes Coming in 2026
Florida's no-fault system has been in place for over 50 years, but it's ending. Legislation passed in 2025 will eliminate mandatory PIP coverage entirely starting July 1, 2026. Insurers won't even be allowed to offer PIP as part of motor vehicle policies in Florida after that date.
The new system will require bodily injury liability coverage of $25,000 per person and $50,000 per accident, plus $5,000 in medical payment (MedPay) coverage. This represents a fundamental shift from the no-fault approach to a traditional tort system where the at-fault driver's insurance pays for injuries they cause. Proponents argue this will reduce fraud and lower premiums. Critics worry it will lead to more lawsuits and leave injured parties waiting months for compensation while insurance companies fight over liability.
For now, though, you need to comply with the current requirements. When you register your vehicle, you'll need proof of PIP and PDL coverage. If your insurance lapses, the state can suspend your license and registration, and you'll face reinstatement fees and potential SR-22 filing requirements if you're caught driving without insurance.
How to Get the Right Coverage for Your Situation
Start by getting quotes that include more than the bare minimum. Ask for quotes with $100,000/$300,000 bodily injury liability, $100,000 property damage liability, and matching uninsured motorist limits. You'll be surprised how affordable it is to bump from minimum coverage to something that actually protects you. The difference might be $30 or $40 a month—a small price for financial security.
Compare quotes from multiple insurers. Florida's competitive insurance market means rates vary wildly between companies. One insurer might quote you $4,500 a year while another offers identical coverage for $3,200. Get at least three quotes, and make sure you're comparing the same coverage limits and deductibles.
Finally, review your coverage annually. Your needs change, car values depreciate, and insurance rates fluctuate. What made sense when you bought your policy might not be right two years later. And with the 2026 changes approaching, you'll want to understand how the new requirements will affect your coverage and premiums. The end of the no-fault system is the biggest change to Florida auto insurance in half a century—make sure you're ready for it.
