Citizens Say Assignment Of Benefits Law Works
Citizens Property Insurance says the number of cases involving AOB or assignment of benefits is down. The company credits the decrease to changes made by lawmakers last session.
AOB is when a homeowner signs over their insurance policy to a contractor who then works directly with the insurance company. The process has been plagued with fraud, causing homeowners insurance to increase across the state. But lawmakers passed a bill to crack down on the issue and Chief of Claims Jay Adams says a change is already noticeable.
“So for the month of July, we received 708 assignment of benefits agreements. When we moved into august we received 471 assignment of benefits, and through where we are yesterday in September we only have 165 assignment of benefits agreements,” said Adams.
Insurance rates are going down for homeowners with Citizens Property Insurance and officials expect it’ll have the same effect in the private market.