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Shop Operations/Legal
August 2, 2018 4:17 pm

State Farm Florida Asks Judge to Block Disclosure of Assignment of Benefits Info

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Property Casualty 360 recently published a news story reporting that State Farm Florida Insurance Co. is asking a judge to block disclosure of detailed company information related to “assignment of benefits,” an insurance practice that many collision repair facilities have used to recover money that insurers shorted them on repairs.

The practice, known as AOB or also assignment of proceeds, involves policyholders signing over benefits to contractors, who then pursue payment from insurers — often leading to disputes and lawsuits. Contractors and plaintiffs’ attorneys argue it helps ensure that damage claims are paid properly.

State Farm contends the information is a trade secret and is exempt from disclosure under Florida’s public-records laws. A state trade-secret law allows companies to ask courts to keep information confidential.

To read the full story, click here.

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