A Free Public Service

SCAMS BULLETIN Host Jay White is an inactive attorney in San Mateo County, California.

September 4, 2021

POST-DISASTER SCAMS

Courtesy AARP

Disasters can bring out the best in people as neighbors and strangers alike roll up their sleeves and open their wallets to help those recovering. They also bring out the worst in scammers, for whom others’ misfortune is just a chance to make a fast buck. This includes aftermath of hurricanes, floods, wildfires, tornadoes, earthquakes, explosions and chemical spills.

Disaster fraudsters often prey directly on those struggling to recover from extreme events. Specious contractors descend on affected communities, offering quick, cheap fixes for battered homes and businesses or rapid removal of debris—for payment up front. Since many lack local licensing, your homeowner’s insurance might not cover it. Others are outright scammers who take your money and run.

In another “post-disaster” con game, fraudsters claim to work for the Federal Emergency Management Agency (FEMA) or other government bodies. They contact victims with promises of grants, building permits or help speeding up insurance claims—if you pay a deposit or fee up front. A genuine FEMA inspector will not ask for money or personal information. Scammers may also pose as a claimed public insurance adjuster, charging high fees for doubtful damage assessments or directing you to disreputable contractors with whom they’re in league.

Warning Signs:

*A contractor offers to do post-disaster work on the spot and asks for payment in advance.

*A claimed government agent asks for payment to do an inspection or help you apply for disaster assistance.

*You receive a call from someone asking to verify your FEMA registration when you have not yet applied to the agency for assistance.

*A phony disaster charity’s name or web address resembles but does not quite match that of an established aid organization, and its website offers few details about it (for example, its leadership, physical location or history of relief work).

Dos:

Do due diligence before hiring a contractor. Get references, look up their local Better Business Bureau (BBB) profile and check that they are licensed with your state. Make sure they carry liability and workmen’s compensation coverage.

Do get detailed written estimates for repairs. Read contracts thoroughly before signing and keep copies Look for a business name and phone number of all paperwork.

Do make sure, before repair work starts, that your insurance company will cover it.

Do verify that a claimed public adjuster seeking to handle your claim is licensed. You can check that with your state’s insurance department.

Don’t give personal or financial data to someone claiming to be from FEMA. The agency may ask for Social Security and bank account numbers when you apply for disaster assistance online or by phone, but a FEMA representative will not do so in person.

Ask to see a purported FEMA representative’s official ID. A real agent will have a laminated photo badge. If you want to double-check, call the FEMA Helpline at 800-621-3362.

Don’ts:

Don’t agree to door solicitations for donations or repairs. Even if they seem legitimate, ask for more information rather than giving money on the spot.

Don’t sign over insurance checks to contractors or sign documents giving them rights to your insurance claims.

Don’t donate by text before checking with the charity to confirm the number.

Don’t take disaster solicitations on social media or crowdfunding sites at face value. Research the messenger before hitting the “donate” button.

Don’t be swayed by vague, sentimental appeals. Ask for specifics about how the charity helps disaster victims.

Don’t click on links or open attachments in email and social media solicitations unless you’re sure who sent them. They could be delivery systems for malware.

Bogus Charities:

Disasters also unleash a torrent of bogus charities. They pump out calls, text, emails and social media posts soliciting donations for relief work. Other faux fundraisers imply a connection to well-known aid organizations like the Red Cross or Oxfam.

Check a charities bona fides with a proven track record of disaster work before donating. Use online resources like Charity Navigator, CharityWatch, GuideStar or the BBB’s Wise Giving Alliance.

More information on spotting charity scams can be found in the AARP Fraud Resource Center.

You can call the AARP Fraud Watch Network Helpline: 877-908-3360.

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