In Start to Finish Restoration LLC v. Homeowner’s Choice Property & Cas. Ins. Co., 2D15-2206 (Fla. 2d DCA June 10, 2016), the Second District doubled down on its holding in Bioscience West, Inc. v. Gulfstream Property & Casualty Insurance Co., 185 So. 3d 638 (Fla. 2d DCA 2016). There the appellate court made it clear that policyholder’s contract rights to policy proceeds accrue after the policyholder suffers a loss and may be assigned to an AOB company.
The brief opinion, which does little more than reiterate the settled, century-old proposition that post-loss insurance claims are freely assignable without the insurer’s consent, does not reveal other arguments that were raised by the insurer and rejected by the court without comment. The insurer had argued that the AOB, in this case, was an invalid partial assignment; that it was based, impermissibly, on rights that had not fully accrued under the policy; and that it violated Florida Statutes sections 627.405, which restricts recovery of insurance proceeds to persons with an actual insurable interest in the damaged property; and that it violated section 626.854, which prohibits a licensed contractor from adjusting a claim on behalf of an insured.
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