As a homeowner, you carry homeowner’s insurance to protect yourself in case of damage to your home. Horrifically, unscrupulous contractors use an insidious trick to defraud thousands of Florida homeowners every year – convincing them to sign away their rights through an Assignment of Benefits (AOB) form.
What is an “AOB” form?
A contractor or repair company representative will often tell you that an Assignment of Benefits or “AOB” form is necessary for them to do work on your home. They may promise it will make the process easier for you as it will allow them to “handle everything.” They might even offer to lower or eliminate your deductible if you sign the form immediately.
This tactic is often used by roofing contractors after storms, or by water restoration companies if you have water damage caused by a leak in your home. However, signing an AOB form efficiently turns over your rights under your insurance policy. If someone can gain access to the roof or the interior of your home before your insurance adjuster arrives, they may intentionally cause extra damage so they can inflate repair costs
Don’t allow roofing contractors up on your roof to “investigate,” or water restoration companies to start work before the damage is assessed. Most importantly, don’t sign an AOB form. We are here for you and can help you navigate the claims process and avoid contractor abuse and fraud.
You can help stop AOB contractor fraud by knowing your rights (including the right to cancel a contract, including a signed AOB form, within three days) and you can also help others avoid a nightmare like Barbara’s by sharing this information with friends, family, and neighbors. Together, we can put an end to contractor abuse and AOB contractor fraud.
Most contractors are very professional, but there are a few that follow disasters and try to take advantage of you.