The Florida Legislature today passed assignment of benefits reform legislation introduced by Senator Doug Broxson. The action is aimed to reduce related fraudulent insurance lawsuits which state officials say spiked from 19 in 2008 to around 36,000 in 2018.
“We’re really very fortunate to be part of this solution,” said Broxson, chairman of the Senate Banking and Insurance Committee and leader of the effort.
Broxson on Wednesday afternoon met with Florida Governor Ron DeSantis. “He’s excited about it,” stated Broxson, pointing out that a bill signing is planned to take place in the Panhandle.
“Everybody cannot believe that after seven years and 18 bills this happened,” Broxson said. ” We got buy in from the House, the Senate and the Governor.”
“The exponential growth in (assignment of benefits) abuse has contributed to mounting insurance costs for Floridians for far too long,” Governor Ron DeSantis said. “In recent years, there have been calls for reform and today, the Legislature took action. I thank them for their efforts in getting this done and I look forward to signing this meaningful legislation into law.”
Signed assignment of benefits agreements transfer insurance claims rights to a third party, authorizing the filing of a claim, repair decisions and the collection of insurance payments without the consumer’s involvement.
“With this reform, Florida is taking a strong step to fight insurance fraud and its impact on rising insurance costs for Floridians,” DeSantis said.
