If your home is suddenly damaged by water, weather, or some other event, you will want to do whatever it takes to get the damage fixed as soon as possible. This is especially true when the damage to your home makes it impossible for you to remain there until repairs are made. Unfortunately, this places you in a vulnerable position, a position in which unscrupulous contractors could take advantage of you. In fact, there has been a dramatic increase in recent years of instances of fraud involving assignment of benefits forms. These forms, when used legitimately, enable homeowners to get their properties repaired quickly and without having to pay for the repairs up-front by allowing payments to go directly from the insurance company to the contractor.
When assignment of benefits forms are used in a fraudulent manner, contractors often submit inflated claims to insurance companies, exaggerating the value of the work that was performed. Since a homeowner who signs an assignment of benefits form gives the contractor control of that portion of the insurance claim when they sign the form, the contractor can also sue the insurance company “on your behalf” for payment of the inflated claim.
The services provided by legitimate contractors after a loss are valuable. But an insured should be wary of unscrupulous contractors. Be sure to check licenses, credentials, and obtain recommendations before signing any forms.
You can reach Miami Insurance Claims Lawyer J.P. Gonzalez-Sirgo by dialing his direct number at (786) 272-5841, calling the main office at (305) 461-1095, or Toll Free at 1 (866) 71-CLAIM or email Attorney Gonzalez-Sirgo directly at[email protected].