Skip to Content

Fraud Education

ThinkTwice-Header

Weather Scams

When mother nature comes knocking, so do the fraudsters. While we may be distraught and trying to recover after a weather disaster, scam artists quickly take advantage of the disarray. 

How can you spot weather scams?

While not everyone trying to offer you their services after a weather disaster are scammers, it is still good to do our due diligences. This is where we can ask ourselves the following questions:

  • Doe this person have a proper business license?
  • Is this person trying to pressure me into making a quick decision? 
  • Has this person been going door-to-door soliciting their services? 
  • Does this business have a proper Google Business Profile?

Being able to answer these questions can help identify any early signs of red flags. Don't let yourself be pressured into making any hasty decisions when it comes to hiring a contractor. 

Weather Scams

What steps help prevent weather scams?

Following these steps below can greatly reduce your risk of falling victim to a weather disaster scam:

  • Make sure the contractor you hire for home repairs is legitimate. Check for online reviews and find out if there are complaints against the contractor with the Better Business Bureau. Remember, FEMA does not certify or endorse contractors. Anyone who claims they are with FEMA is not telling you the truth. 
  • Know the warning signs of a shady business. A reputable business will not pressure you into making a quick decision, nor will they ask you to pay money upfront. 
  • Get an estimate from at least three different contractors. An estimate from a contractor that is much lower than any of the others doesn't always mean it's the best deal. Make sure all the quotes you receive include the same amount labor and/or parts.
  • Get a written contract. The contract should include every task and repair the contractor plans to make. It should also include start and finish dates with the prices for repairs and materials. NEVER sign a blank contract, because the contractor can fill it in later with any information they want. 
  • Be cautious about signing an assignment of benefits (AOB). This is an agreement a policyholder signs that allows a third party, such as a contractor or public adjuster, to act on behalf of the insured. AOBs allow direct payment from your insurance company.

If you believe that you have been a victim of fraud, you can call 1-800-95-FRAUD to report it. Consumers are encouraged to contact the South Carolina Department of Insurance's Office of Consumer Services for more information and for helpful tips on navigating the claims process. 

Sources: SC DOI