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Assignment Of Benefit

Somehow between the signing of the assignment of benefits and contact with the insurance company, either the contractor’s estimates become inflated or they simply contact their normal attorney, who files suit against the insurance company. I believe that the vast majority of contractors are honest, hard working people who use assignments of benefits to make sure that they get paid for the work that they do. I also believe that there are a few people that think that all they’re doing is taking money from insurance companies and no one gets hurt. Whenever someone causes the costs of an insurance company to go up, like by inflating claims beyond what would be reasonable, those costs are not just absorbed by the insurance company.

In the end, the insurance company ends up paying more for the repair, the insured might end up having to write a check (or worse, end up with incomplete work), and homeowners’ rates for everyone go up. I’ve read the text of the bill that’s before the Florida legislature and it looks like it might help. They aren’t even just absorbed by those new insuretech companies that promise transparency and giving back. In the end, the company will turn a profit somehow. By the way, the contractors (and others that work hard to get extra money out of insurance companies) are making their money, too.

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When engaged by a member of the public to obtain insurance, an insurance broker is expected to possess reasonable knowledge of the types of policies, their different terms, and the coverage available in the area in which their insured seeks to be protected.

A recent Florida Insurance Bulletin notes that the new statute allows insurance companies to issue policies preventing an assignment of benefits if insurers offer a premium discount.…

Continue Reading Assignment of Benefits (AOB) is certainly a hot button issue in the insurance industry.

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It’s what allows them to send the bill to your health coverage without you having to pay the whole bill, submit it to the health coverage, and wait for the check to come from them.Anyway, I’m really interested in the what laws are passed and how the different regulators operate.I’m actually a fan of the way that insurance regulation in the US has evolved over the last 300 years or so.But, I call it like I see it when approached with debatable inquiries from contractors and restoration companies.…Continue Reading Assignment of benefits contracts for property damage claims may be going the way of the dinosaur in Florida.If the insurance broker neglects to procure the insurance or if the …Continue Reading My primary role as an attorney at Merlin Law Group is to represent the best interests of policyholders and get all benefits owed following a loss.This report discusses how AOB abuse works, how and why it is spreading, and how it is contributing to higher insurance costs for Florida consumers.Please click on the file name below to view the white paper in PDF format.An item that is particularly interesting where I live in Florida is the topic of Assignments of Benefits.For those among us who aren’t dealing with this issue yet, let’s define what we’re talking about before we dig into the problem and maybe what Florida is trying to do to fix it.


  1. Jan 17, 2018. An Assignment of Benefits is a simple document that allows someone, other than the insured to receive the money payable by an insurance.

  2. Have you heard the term Assignment of Benefits? Do you know how it impacts you? An AOB is an agreement that, once signed, transfers the insurance claims.

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