Assignment of Benefit (AOB) is an agreement signed by a policyholder that gives authority to a third party to file claims on his/her behalf. In other words, it is the transfer of insurance claims decisions from the policyholder to a third party. It gives the third party the power to file a claim, make repair decisions, and collect damage claims compensation directly from the insurance provider.
To some extent, AOB can be beneficial to homeowners. If you sign an AOB with a third-party company and experience damages to your home before filing a claim, the third party will make emergency home repairs to prevent further damages. Also, it could speed up the claims process. Nevertheless, there are numerous challenges associated with AOB.
AOB issues often arise when the insurance provider declines to compensate both the third party and the policyholder for an insurance claim. Basically, as a homeowner, you buy an insurance policy from an insurance provider to cover home damages. When your home is damaged and requires emergency measures to protect it from further losses, you hire a contractor through the service agreement in the AOB to repair your home.
After finishing the work, the contractor files a claim directly to your insurance provider for payment. Also, as the homeowner, you make separate claims to your insurer for the home damages. Upon receiving the notification of claims, your insurance provider will inspect your home to determine whether the claimed damages were covered or not. Also, the insurance provider will evaluate the work done by the contractor to make a decision about your claim.
The problem arises if your insurance provider is not ready to pay for the damages and the emergency repairs, or does not pay up to expectations. Under the law in Florida, both the contractor and homeowner have the right to sue the insurance provider. Our competent lawyers can stand in for you to file a lawsuit against the insurer. We’ll make sure you get fair remuneration/compensation for your damages and repair work.
AOB issues can be worrisome, which is why you need the help of professional attorneys. The Louis Law Group is a team of competent and knowledgeable lawyers committed to helping policyholders file claim lawsuits. We’ll look into your claim to determine if it’s right. If we conclude that litigation is the appropriate next step, we’ll help you sue the insurance provider by way of an AOB. You can count on our attorneys to provide a solution to your AOB issues.
Our goal is to offer the best services to all our clients. If you’re a policyholder or contractor and you find yourself in a dispute, contact the Louis Law Group to help with your AOB litigation.