Assignment of Benefits Break Down
The Cohen Law Group put out an informative article and punch list of the facts and myths regarding assignment of benefits.
Assignment Has Been Recognized In Florida for Over 100 Years
Cohen Law Group says that there are a few insurance companies that explicitly state in their marketing brochures and websites that Assignment of Benefits, or “AOB” as it is also known as, is a new or recent phenomenon. However, Cohen states that the fact is that Assignment of Benefits “have been recognized by Florida law for over 100 years!”
Of course, there are several more facts and myths provided by Cohen that help explain what the status on AOB is and isn't. For example, a popular myth is that when a contractor receives an AOB from a homeowner, that contractor takes ownership of the entire claim! However, and according to Cohen which specializes in insurance claims, [AOB] “only transfers the right to receive payment for contracted services, not an entire claim.”
Many Florida homeowners are usually not aware of this.