Reader’s Question:

If you have one vehicle that you leased and another vehicle that you financed, is it in the law that you have to have the same coverage on both vehicles? Or can you different have car insurance coverage on both cars? I live in Delray Beach Florida.

Frances

Delray Beach, FL

the Florida state law requires minimum coverage of $10,000 personal injury protection (PIP) and $10,000 for property damage liability (PDL) and if you have been involved in an accident, or convicted of certain violations, you may be required to buy bodily injury liability coverage (BIL).

For financed and leased vehicles the insurance coverage required by the finance company (lien holder) or leasing company goes beyond the state minimum so to include physical damage by means of collision and comprehensive coverage. In your lease and loan agreements you typically agree to carry these coverages on the cars. The coverages you need to have on your leased and financed vehicles, above the state’s required coverage, will depend on the agreements you signed and by Florida state law. Typically a lease will require 100/300/50 for Bodily Injury Liability and Property Damage Liability. This coverage is a policy level coverage and all cars on the policy will have to have this level of liability coverage, even if they aren’t both leased.

If according to the loan and leasing documents you have different requirements you can therefore carry different coverages on each car.

Tags: auto insurance