Florida Court Restores PIP Reforms But Challenges Expected to Continue

Florida’s no-fault automobile insurance law is fully in force for now after a district court lifted an injunction that blocked part of law on a legal technicality. But the ruling leaves open the possibility of further challenges in the future.

The case was brought by a group of acupuncturists and massage therapists that were excluded from being medical providers under the law. They were joined by chiropractors who were limited in the services they could provide when lawmakers reduced the amount of PIP benefits.

The medical providers argued that the changes enacted in 2012 unfairly infringed on their business. They also argued the changes could prevent accident victims from receiving needed medical treatment.

In March, state Circuit Court Judge Terry Lewis issued an injunction preventing the changes from going into effect. But the First District Court of Appeals then ruled that since the medical providers could not present an actual instance where the law infringed on their rights to access the courts, they had no standing to bring the case.

Adam Levine, of the Florida Legal Advocacy Group that represented the medical providers, said he is considering an appeal. He predicted that the ruling will trigger more legal challenges. “The problem of not ruling on the merits of the case is that it basically invited lawsuits from patients against every insurance company,” said Levine.

For now, however, insurers are relieved that the full PIP law is finally in force.

Property Casualty Insurers Association of America (PCI) state counsel Donovan Brown said he anticipates that “those who make a living on PIP to continue challenging the law. But for now Florida consumers are no longer stuck in neutral.”

Personal Insurance Federation of Florida Executive Director Michael Carlson said the ruling will clear up confusion in the industry. “Some companies have acted like the injunction will stand and been paying acupuncturists and massage therapists because they fear litigation if the law is found unconstitutional,” said Carlson. “Others have acted like the law is in place. This ruling is a signal to the industry that they can now move forward.”