Hurricane Helene made landfall as a dangerous, Category 4 storm on Sept. 26 over Florida’s Big Bend area, bringing with it a life-threatening storm surge, strong winds and heavy rain. Given the catastrophic damage it has caused in Florida, Georgia, North Carolina, South Carolina and Tennessee, the National Insurance Crime Bureau, the nation’s leading nonprofit association dedicated to preventing insurance fraud and crime, is warning homeowners and business owners to be vigilant against potential contractor fraud schemes and those looking to exploit vulnerable victims as they attempt to take the first steps in recovery.

“Hurricane Helene has already caused enough devastation to the honest, hard-working residents of the Southeast, and in the days to come, unscrupulous contractors may try to take advantage of their situation for personal gain,” said David J. Glawe, NICB president and CEO. “We are urging residents to take extra caution in avoiding these scams. Be wary of door-to-door contractors who demand up-front payments, try to pressure you into signing quickly written contracts or discourage you from talking to your insurance company first.”

As residents begin to pick up the pieces in the wake of Hurricane Helene, they are encouraged to report any suspicious or fraudulent activity to local authorities and NICB’s fraud hotline, which is 1-800-TEL-NICB.

Four Tips to Avoid Fraud After a Storm

1. Contact your insurance company immediately.
   • If your property has been damaged, contact your insurance company first before signing any agreements with a contractor or making any decisions.
   • Ensure you understand all documents related to your claim.
   • Be cautious of signing an Assignment of Benefits agreement, which could transfer your insurance rights to a contractor.
   • Report suspicious activity. If something seems off or you suspect fraud, report it to your insurance company immediately.
2. Verify all contractors.
   • After a disaster, individuals may encounter contractors offering immediate cleanup and repair services. While many are reputable, some may be fraudulent.
   • Obtain multiple estimates to compare prices and services.
   • Request references and conduct background checks on the contractor.
   • Verify the contractor’s identity by asking for their driver’s license and recording their license number and vehicle plate.
   • Be cautious of out-of-state licenses and vehicle registrations, which may indicate potential fraud.
3. Scrutinize offers and contracts.
   • Avoid contractors who pressure you into making immediate decisions or signing contracts on the spot.
   • Get all agreements in writing, including costs, work to be done, timelines and payment schedules.
   • Do not sign contracts with blank spaces. These can later be filled in with terms you did not agree to.
   • Never pay the full amount up-front or sign a completion certificate until you are satisfied that the work is finished.
4. Trust your instincts.
   • Avoid sharing personal information over the phone, especially with callers claiming to represent a national carrier.
   • Provide information only after verifying their identity.
   • Insurance companies will never ask you to pay your deductible up-front or over the phone.

By following these guidelines, consumers can protect themselves from fraud and ensure that they are working with reputable contractors and businesses. For more resources and information on avoiding fraud after a disaster, visit NICB.org.