Posted this question here on UE4 forums but thought I'd throw it up here both to ask as well as reference for anyone that runs into this issue in the future.
So I tried that and you're right it is the post process AO. Is there a way I can turn this off for skeletal meshes only without having to turn it off globally? I'd rather handle it via texture and if I make it soft enough that it looks good on the character it makes the environment look bad.
Update: K so I think the issue lies in my material, working on fixing it.
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Update: K so I think the issue lies in my material, working on fixing it.