Sun Sentinel Ron Hurtibise Some property insurance companies are not taking on new business in ZIP codes with high claims rates in South Florida and canceling or deciding not to renew customers in high-risk areas. The action is a result of rising water damage claims in the region, the same problem that is leading to…Details
Assignment of Benefits (AOB) abuse is a fast-growing fraud scheme that is hurting Florida’s insurance consumers. While AOB is a long-established legal tool intended to allow vendors to receive prompt payment from insurers after doing emergency repair work in a home – without having to directly involve the homeowner – this process is being abused by a cottage industry of unscrupulous trial lawyers, water remediation firms and roofers. These bad actors are persuading homeowners to sign over the benefits of their insurance policies as a means for fraudulently inflating claims, filing thousands of lawsuits against insurers, and driving up attorney’s fees.