TAMPA, Fla. — Governor Ron DeSantis has vetoed a controversial bill that would have done away with no-fault insurance, also known as PIP coverage.
The veto follows months of debate between insurance companies and consumer advocacy groups.
Critics of the bill known as SB 54 warned the elimination of PIP would trigger drastic rate hikes on drivers. The proposal would have forced drivers to carry a minimum of $25,000 on bodily injury coverage.
Supporters pointed to the current system saying it was ripe with fraud and bogus lawsuits along with the fact that other states that did away with PIP did not see significant rate hikes.
In a veto letter sent to Secretary of State Laurel Lee, DeSantis said.
“While the PIP system has flaws and Florida law regarding bad faith is deficient, (SB 54) does not adequately address the current issues facing Florida drivers and may have unintended consequences that would negatively impact both the market and consumers.”