Getting into a car accident is no fun, and it can often be difficult to decide whether you want to pursue your legal options or not. Many people who have sustained an auto accident injury have doubts about whether they should file insurance claims for their injuries or damage to their property. They often fear that the insurance company will cancel or not renew their policy, or even increase their premiums as a result. If you’ve been injured in an auto accident and live in the Florida area, you may be surprised to learn that there are laws in place that may protect you in the event you have been injured and wish to pursue your legal options.

auto-accident-injury-attorney-orlando-flOne statute is providing consumers with protection when it comes to dirty insurance schemes. Section 626.9541 of the Florida Statues acts to provide protection against insurance companies. Whether it’s these companies jacking up the rates or canceling coverage policies, these types of actions are considered ‘unfair or deceptive’ acts. Companies must have a valid reason to drop policy holders or raise their premiums. The result for violating this law is a civil liability of up to ten thousand dollars for each act and administrative penalties as well. Policy holders can rest easy knowing that there is a strong legal incentive in place for insurance companies to do right by their customers.

Policy holders in Florida are also protected in the following ways:

  • Insurance companies are not allowed to increase premiums or drop a customer in exchange for first party coverage after an auto accident– unless they have information that the policy holder was primarily at fault for the action. Otherwise, customers cannot be dropped for medical payments, collision coverage, or Personal Injury Protection.
  • Insurance companies cannot legally increase the cost of Uninsured Motorist coverage because you were involved in an auto accident or were adjudicated guilty for a moving violation.
  • An insurance company cannot drop their customer if you were at fault for an accident if it was the only accident you have been in for the past three years. They are able to legally drop you if you have been in three or more accidents in the past three years, whether you were at fault or not.
  • Insurance companies are not allowed to cancel a policy holder’s coverage or increase their premium over a traffic ticket. However, if it is a speeding ticket it must be 15 m.p.h. over the speed limit or less, and it must not be your 2nd ticket in 18 months or 3rd ticket in 36 months.
  • You may be able to get your money or coverage back if your insurance company does raise rates or drop you. If you can prove that you were parked lawfully at the accident time, you were paid by the other driver for the accident, you were hit in the rear/found not guilty of a moving violation, if you were hit by a hit and run driver and reported the crash within 24 hours, if the other driver has had a moving violation, or if you beat the traffic ticket that was issued to you.
  • An insurance company has to tell you why your rates were raised or why you were dropped. They must also provide proof.

If you’ve been in an accident and want to explore your legal options or think your insurance company is unlawfully punishing you for being in an auto accident and need a car accident attorney in Orlando, contact The Law Offices of Payas, Payas, and Payas today.