Protecting Your Rights For More
Than Four Combined Decades

Assignment of Benefits

At MoMo Law, our Assignment of Benefits attorneys have been protecting the rights of our residents and others throughout the state for more than four combined decades.

Our Assignment of Benefits lawyers focuses on representing those who are struggling with homeowner’s insurance claims and are considering making the decision to assign the collection of those claims to contractors amid distressed times when repairs must be made to their homes quickly. Assignment of Benefits contracts may seem straightforward when you need immediate repairs, but the complexity lies in your insurance coverage itself, and our lawyers can help you separate the allure of these contracts versus the reality of your responsibilities after signing the legally binding agreement.

What is An Assignment of Benefits?

An Assignment of Benefits contract is a document signed by the policyholder — the property owner — that allows a third party to seek direct payment from the insurance company for services rendered in the policy owner’s stead.

Assignment of Benefits, or AOB, is a popular resource for homeowners and other property owners who suffer damages from storms, water damage, or structural damage and need immediate repairs, but do not want to shoulder the costs of the renovations while their insurance policies lag in covering the overall expenses.

By signing the AOB, the property owner gives the roofer, plumber, or another third-party contractor the ability to bill the insurance company directly for the repairs, theoretically taking the policyholder out of the equation.

Why Would I Need A Lawyer Before Signing A Contract?

At MoMo Law, our Assignment of Benefits attorneys understand that immediate repairs to your home may be more than a want, but an actual need. Broken pipes, water damage, or even fires can disrupt your family’s quality of life in many ways, and when you cannot wait for the insurance company to pay before contracting the repairs, stress will begin to take over.

Consulting with an attorney before signing an Assignment of Benefits contract is imperative because insurance companies are balking at repayment, and the contractors who hold the benefits from your contract may stop work on your home immediately until the outstanding costs are paid.

Worse, you could become personally responsible for the total costs of the repairs if the insurance company denies the claim altogether, due to a technicality in your policy’s verbiage or coverage agreement.

Are Insurance Companies Legally Allowed To Deny Claims?

In December 2018, the Florida Supreme Court accepted the review of a case presenting the question as to whether the Assignment of Benefits restrictions should be permitted in homeowner’s policies.

In short, the case under review claims that the insurance policy in question states that “all” insureds, all additional insureds, and all mortgagee(s) named in the policy must sign the Assignment of Benefits before it can be enforced.

In this case, the wife was the only person who signed the AOB. The husband, whose name is also on the policy and the mortgage, did not sign the contract, making it void — according to the insurance company.

The result of this lengthy argument will likely change the way AOB are handled going forward, which further requires an attorney’s representation before any contract is signed.

You do not want to be held personally responsible for costly repairs simply due to the confusing verbiage in your insurance policy. Contact MoMo Law Assignment of Benefits lawyers by calling (512) 640-5138 before you sign any contract that may hold you liable for the expenses.

What If I Have Already Signed A Contract?

Our Assignment of Benefits Attorney understands that some repairs simply cannot wait and that an AOB contract may have been your only option in getting your home back in working order.

If you have already signed the contract, the control of the rights and benefits provided by your policy in resolving the claim may belong to the third-party contractor.

Contact our AOB law firm today and allow us to review the contract while supplying the legal representation you need to ensure the agreement is being fulfilled.

Keep in mind, that the breakdown in AOB contracts typically begins with the insurance policyholder, as most insurance companies are not in a hurry to pay a claim. What’s more, is that insurance companies are claiming that third-party contractors are taking advantage of their position as the collector, and are often unwilling to pay the full amount required for your repairs.

It is important to understand your rights during these circumstances, and our Assignment of Benefits lawyers in can help protect you before and after a contract is signed.

Contact Our Skilled Assignment of Benefits Lawyers Today For A Free Consultation

At MoMo Law, P.A., our boutique law firm has more than 25 years of experience representing policyholders as our Assignment of Benefits lawyers work tirelessly to protect your rights against large insurers and third-party contractors. If you have questions regarding your insurance policy and how signing a contract will affect you, call our skilled lawyer today at (512) 640-5138 to schedule a free consultation to ensure your rights are protected.

MoMo Law is an insurance law firm. Our attorneys offer free consultation in a safe, trusting, comfortable environment. Call our law firm now to learn how our Assignment of Benefits claim attorney can help you confront the insurance company for the financial recovery you deserve.