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How To Avoid Contractor Insurance Scams

contractors insurance

As a homeowner, you carry homeowner's insurance to protect yourself in case of damage to your home. A devastating storm can leave flooding waters, property damage, and personal injuries in its wake. Perhaps one of the least expected dangers that follow a storm is fraudulent contractors. Most contractors are honest and work hard, but some will follow disasters and try to take advantage of you.

After recent storms and major disasters, a few unscrupulous contractors use a trick to defraud homeowners every year - convincing them to sign away their rights through an Assignment of Benefits (AOB) form.

A contractor or repair company representative will often tell you that an Assignment of Benefits or "AOB" form is necessary for them to do work on your home. They may promise it will make the process easier for you as it will allow them to "handle everything." They might even offer to lower or eliminate your deductible if you sign the form immediately.

Don't allow contractors to start work before the damage is assessed by your insurer. Most importantly, don't sign an AOB form. We are here for you and can help you navigate the claims process and avoid contractor abuse and fraud.

  • Use well know contractors
  • Ask for a written contract
  • Ask to see proof of insurance and licensing from the contractor
  • Make sure your agent and insurance company is involved. 
  • Have your claims adjuster inspect all damage?

Founded in the Belltown neighborhood of Seattle in 2004, we now service the entire west coast, including Washington, Oregon and California, with office locations in Seattle and San DIego. At Belltown Insurance Group, each one of our clients are given a dedicated team of experts that work together to proficiently address all your concerns.

We offer all types of Personal Insurance coverages to our clients in Washington including Auto InsuranceHomeowners InsuranceIndividual Life InsuranceMotorcycle Insurance, and Boat & Watercraft.

Give one of our agents a call to save money on your Business Insurance. Some of our Commercial insurance coverages include Business Owners Policy (BOP)General LiabilityCommercial AutoWorkers Compensation, and Bonds.

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