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SB 1840

Attorney Fees and Costs for Motor Vehicle Personal Injury Protection Benefits

2025 Regular Session Introduced by Jonathan Martin

SB 1840 would modify attorney fee recovery rules in Florida auto insurance personal injury protection disputes, affecting litigation costs and claimant access to legal representation.

Died in Banking and Insurance
#insurance
0
WeVote Research Nonpartisan
Bill Summary · SB 1840

Legislative bill overview

SB 1840 would have modified Florida law regarding attorney fees and costs recoverable in personal injury protection (PIP) insurance disputes. The bill specifically addressed how and when attorneys could collect fees when handling PIP benefit claims, which are a mandatory component of Florida auto insurance policies.

Why is this important

PIP disputes are common in Florida's auto insurance system, and attorney fee provisions directly affect litigation costs for both insurers and injured parties. Changes to fee structures can influence whether injured people can afford legal representation and how insurance companies factor litigation costs into premiums, affecting all Florida drivers.

Potential points of contention

  • Access to legal representation: Restricting attorney fees could make it harder for injured people to afford lawyers for PIP claims, potentially disadvantaging unrepresented claimants against insurance companies
  • Insurance industry costs: Conversely, allowing higher attorney fees increases insurers' defense costs, which may be passed to consumers through higher premiums
  • Litigation incentives: Modifications to fee structures can either encourage frivolous claims or discourage legitimate disputes depending on the specific provisions, creating moral hazard concerns on both sides

Compiled from official sources — confirm details with the bill’s official record.

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