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Itemized Statements and AOBs in Florida

If you work in the restoration industry, you know that getting paid is important. Unfortunately, it can be a complicated process at times. Contacting and dealing with insurance companies can be a difficult task, especially when an assignment of benefits is involved. Not only can an AOB complicate payment for work done, but it also falls on you as the 3rd party contractor to ensure that all of your paperwork is in order. Making a mistake can be costly. Here’s what you need to know about itemized statements and AOBs in Florida.

What Is An Assignment Of Benefits?

Before discussing itemized statements, it is important to understand what an assignment of benefits is and why you might use one. An AOB is a legal agreement between two parties that gives you the right to claim insurance. For example, if you do restoration work on an individual’s house that’s covered by their insurance, they may sign an AOB, which would give you the legal right to contact the insurance company directly to claim those funds. 

It’s necessary to take great caution when submitting a financial claim. Incorrect information and documents can halt the process or void it entirely. All AOBs should include written, itemized, per-unit cost estimates for the services performed by the third party. They should also contain a notification in 18-point, uppercase, boldface font that states that the homeowner is relinquishing their right to claim to you, the third party. 

Given the potential for mistakes, it’s generally wise to discuss an AOB with your legal consultant before moving forward. This will ensure you understand the process and have everything you need to get your payment. 

What Are Itemized Statements?

One of the most important pieces of information to include when making a claim is an itemized statement detailing the per-unit cost estimates for each service performed for your client. Neglecting to include this could lead to major problems.

Recently, a restoration company in Florida filed a suit against an insurance company after receiving an assignment of the homeowner’s benefits under the insurance policy. Unfortunately, they failed to include an itemized statement and the insurance company moved to have the case thrown out in accordance with section 627.7152 of the Florida Statutes.

Since Florida’s assignment of benefits statues changed recently, it’s important to understand what the process is, what information needs to be included, and how you can quickly and efficiently get paid for the work you do. If you have any questions about itemized statements and AOBs in Florida, consider reaching out to a qualified attorney or restoration company to find out more.

What is the Mission of RAF?

RAF’s purpose is to protect the rights and make the voices of honest, hard-working, independent contractors heard. We advocate for professionals in the mold, fire, water, and wind damage industry. If you are interested in becoming a member of RAF or have any further questions, call us today.

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