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Legislative Issues Looming on the Horizon for the 2017 Legislative Session
  • Assignment of Benefits (AOB): Look for legislators to address the misuse of assignment of benefits (AOB) for water loss claims that they say has become a rampant and costly problem in the state. The insurance companies are seeking legislation that would regulate homeowners’ ability to sign over their right to collect insurance benefits to third parties. Proposed regulation of AOB’s would not just cover water remediation but in all types of property claims, including
  • Florida’s Construction Lien Law: Make no mistake, incoming House Speaker Richard Corcoran has already put in motion a proposal that would eliminate statutory lien rights for contractors, subcontractors and/or material suppliers. The construction industry functions on a credit-based system. Without it, every general, residential and building contractor would have to have the financial ability to finance all of their ongoing projects themselves. In short, without the current credit scheme which relies upon the construction lien law as an additional remedy if payment is not made, many contractors would simply be unable to compete and do business.
  • Workers’ Compensation Insurance: The Florida Supreme Court recently handed down a decision that will drive up Workers’ Comp rates on every business in Florida. The court ruled that the existing attorney fee schedule provision in workers’ comp cases is unconstitutional. With this ruling, workers’ comp rates could skyrocket despite steady decline in recent years. House and Senate leadership expect the issue to be taken up during the 2017 session, which beings next March.
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