PIP reform clears Senate hurdle

Feb 3, 2012

The House and Senate are getting closer to an agreement on fixing the state’s no-fault auto insurance law. Lynn Hatter reports, Members of the Senate Banking and Insurance Committee approved changes to a bill that would try to bring an end to a system that’s riddled with fraud.

The panel approved Senate Bill 1860 with a unanimous vote. The proposal, drafted by Republican Senator Joe Negron eliminates treatments like massage therapy and acupuncture from the list of services that personal injury protection insurance currently pays for after accidents.

 “Those two elements alone, will reduce by tens of millions of dollars, the amount of claims coming in to the system," Negron said.

The measure also cracks down on pain clinics and requires more detailed police reports. But it doesn’t include caps on attorney’s fees—something that’s a part of the House version of the bill. Florida is the top state for staged accidents which have resulted in increased car insurance premiums.