Exploring the Most Popular Insurance Topics: A Week in Review

Florida's Assignment of Benefits Crisis

Florida's assignment of benefits (AOB) crisis has been a hot topic in the insurance industry. The AOB process allows policyholders to assign their insurance benefits to a third party, often a contractor, who then deals directly with the insurance company. This has led to a surge in litigation and inflated claims costs, costing insurers millions of dollars. According to the Florida Office of Insurance Regulation, AOB-related claims have increased by 1,100% since 2010.

Credit Card Rental Car Insurance Coverage

Credit card rental car insurance is a popular alternative to purchasing coverage from a rental car company. However, it's important to understand what's not covered. Most credit card rental car insurance policies do not cover liability, meaning you're responsible for any damage you cause to others. According to a survey by CreditCards.com, 40% of respondents were unaware of this limitation.

Allstate and State Farm's Legal Battle Against Fraudulent Billing

Allstate and State Farm have filed lawsuits against medical providers for fraudulent billing practices. These lawsuits allege that the providers have inflated medical bills, leading to higher insurance payouts. This issue is not unique to these two companies; a study by the National Insurance Crime Bureau found that insurance fraud costs the industry $80 billion annually.

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