What is an assignment of rights?

An assignment of rights is a legal document that transfers the rights of a claim from one party to another. In Mississippi, an assignment of rights is an agreement between an insured (the party making the claim) and the insurance company (the party paying the claim). This agreement states that the insured has transferred their rights in the claim to the insurance company. The insurance company then becomes the party responsible for compensating the insured for the claim. In some cases, the insurance company may also be responsible for the legal costs associated with the claim. An assignment of rights is important to protect the rights of both parties. It ensures that the insured person can properly pursue their claim without the interference of the insurance company. It is also beneficial for the insurance company as it allows them to handle the claim without the risk of legal action from the insured. The assignment of rights also allows the insured to receive the benefits of their policy. The insurance company can use the agreement to deduct any money owed to the insured from the claim. They can also evaluate the claim to ensure that they are paying the correct amount. In Mississippi, an assignment of rights must be in writing and signed by both parties. It should also include an explanation of the terms and conditions of the agreement. The document should be filed with the Department of Insurance to make it legally binding.

Related FAQs

What is a liability limit?
What is an insurance subrogation?
How is a liability claim handled?
What is a waiver of subrogation?
What is the difference between a claim and a lawsuit?
What should I do if I don’t agree with an insurance adjuster’s decision?
How do I dispute an insurance claim decision?
What is the difference between an insurance policy and a benefit?
What is a contractual liability insurance policy?
What happens if an insurance company fails to act in good faith?

What is an assignment of rights?

Related FAQs

Related Blog Posts