The Florida Legislature passed three new laws that directly impact the insurance industry as well as Florida residents and consumers. Here are three that directly impact your insurance and what you need to know:
HB 7065- AOB (Assignment of Benefits) Reform
An Assignment of Benefits, or AOB, is a document signed by a policyholder that allows a third party, such as a water extraction company, a roofer, a plumber, or healthcare provider to “stand in the shoes” of the insured and seek direct payment from the insured’s insurance company. These documents can be confusing as they can contain language preventing you from communicating with your insurance company about your claim or give the other party the ability to negotiate and endorse the claim payments on your behalf. There are other risks in signing AOBs so before you sign anything generated by a third-party vendor, be sure to call your insurance agent.
Because of the potential fraud and hundreds of instances where people have signed AOBs (that failed to be un-done in a court of law), the recent change in legislation is a step in the right direction for Florida insureds. The change defines “assignment agreement” and establishes requirements for the execution, validity, and effect of such agreement. Arguably, the most important change is that service providers are required to give an insurer and the consumer prior written notice of at least 10 business days before filing suit on a claim.
HB 617- Flood Insurance Disclosure
It’s no secret that Flood Insurance is not typically covered in a regular Homeowners Policy but with the risk of flooding continually rising, lawmakers are making sure that consumers know the ins and outs of their policies. The revision to HB 617 requires new and renewal policies to have a specified statement relating to flood insurance with the homeowners policy documents.
There are more options than ever when it comes to Florida Flood Insurance, so if you would like to know your options, please fill out our Quick Quote Request Form.
HB 107- Hands Free Driving REQUIREMENT
This new law prohibits a person from operating a motor vehicle while using a wireless communications device in a handheld manner in a designated school crossing, school zone or work zone and authorizes a law enforcement officer to stop motor vehicles to issue warnings to persons who are driving.
DNT TXT & DRV.
Please help us in sharing these legislative improvements with your friends and family. To learn more about these laws (and others) you can visit http://snip.ly/lb66su.
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LEGAL DISCLAIMER
Views expressed here do not constitute legal advice. The information contained herein is for general guidance of matter only and not for the purpose of providing legal advice. Discussion of insurance policy language is descriptive only. Every policy has different policy language. Coverage afforded under any insurance policy issued is subject to individual policy terms and conditions. Please refer to your policy for the actual language.
