Post-disaster contractor fraud costs hardworking Americans billions of dollars every year. To address this growing problem, the National Insurance Crime Bureau (NICB) and the Bucks County District Attorney’s Office are teaming up to educate homeowners on how to avoid becoming a victim of deceptive contractors after a natural disaster as part of its third annual Contractor Fraud Awareness Week. Unfortunately, these catastrophic events provide an opening for dishonest contractors looking to take advantage of homeowners. In 2021, insurers paid $92 billion in catastrophe losses, with upwards of 10% or $9.2 billion lost to post-disaster fraud. This can add hundreds of dollars to a homeowner’s annual premium. NICB’s Contractor Fraud Awareness Week runs from May 22 to May 26, 2023, and includes partnerships with fourteen states that have issued official proclamations recognizing the importance of combating post-disaster contractor fraud.
“Catastrophic events impact millions of Americans every year,” said David J. Glawe, President and CEO of NICB. “From hurricanes to floods and everything in between, these events are often scary and life changing. But what makes these events even worse is what happens afterward as homeowners affected by these natural disasters are targeted by dishonest contractors. Often before the flood waters recede or rescue operations are complete, unscrupulous contractors prey upon individuals who are at their most vulnerable. Before hiring anyone, call your insurance company first. If you didn’t request it, then you should reject it.”
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