Though it was signed into law more than year ago, theinsurance industry has yet to enjoy the full benefits of reform toFlorida's no-fault, personal injury protection auto insurancesystem.

It remains unclear whether the industry got closer to andfurther away from enacting the provisions in HB 119, signed by Gov. Rick Scott in May 2012 after an appealscourt hearing Sept. 17.

Arguments were heard by the First District Court of Appealsregarding the temporary injunction placed on the law.

A group of acupuncturists, massage therapists and chiropractorsfiled for the injunction. For a short time the injunction wasstayed until it was again enforced. In April, the SolicitorGeneral's Office filed an appeal on behalf of the Florida Office ofInsurance Regulation.

Donovan Brown, state government relations counsel for theProperty Casualty Insurers Association of America, says, "In orderto address fraud and abuse within Florida's no-fault insurancesystem and provide Floridians relief from being the No. 1 state inthe nation for questionable auto claims, it is imperative thatconsumers receive the benefits from the PIP reforms becoming fullyeffective."

PCI and other trade association filed court briefs in support oflifting the injunction. The industry has alleged PIP fraud costsFlorida residents $1 billion.

Donovan says there is no timeframe for a decision from thecourt.

Some insurers—because the group of medical pros are suing theOIR, not insurers—are using provisions in HB 119, which aims to banPIP to acupuncturists and massage facilities and requires thatclaimants seek treatment with 14 days of an accident from ahospital or physician.

Other insurers have yet to enact to measures in HB 119.

Meanwhile, Jeff Atwater, the Sunshine State's CFO, announced thearrests of three people for PIP fraud. 

"PIP fraud schemes drive up auto insurance rates for allFloridians, so we must do everything we can to put a stop to them,"said Atwater, in a statement.

One person used fake media credentials to obtain accidentreports he used to solicit accident victims. Another coupleoperated an unlicensed accident clinic.

Add this additional wrinkle to the PIP reform saga: theLegislative Session is just around the corner and some lawmakersare expected to contemplate repealing the PIP system entirely, saysBrown.

Last session, legislation floated to end PIP but it did not gainmomentum.