Gov. Scott to Sign PIP Fraud Bill

By: Associated Press
By: Associated Press

JACKSONVILLE, Fla. (AP) -- Gov. Rick Scott is signing a bill designed to crack down on rampant fraud in Florida's no-fault automobile insurance system.

Even before Friday's signing ceremony in Jacksonville, though, some were working on ways to exploit a loophole in the legislation.

Existing state law requires motorists to purchase personal injury protection coverage. It pays for injuries and lost wages up to $10,000 regardless of who is at fault in a crash.

Fraudsters submit bogus injury claims and stage fake accidents, aided and abetted by some treatment providers.

The new legislation puts a 14-day limit on seeking treatment. Benefits are capped at $2,500 unless a doctor determines the injured person has an "emergency medical condition."

At least one company is offering to send doctors to chiropractors' offices to do that.

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