NICB Offers Post-Hurricane Irene Consumer Advice

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Aug 29, 2011, 06:23 ET

If You Didn't Request It – Reject It

DES PLAINES, Ill., Aug. 29, 2011 /PRNewswire-USNewswire/ -- As East Coast residents begin to rebuild and recover from Hurricane Irene, the National Insurance Crime Bureau (NICB) wants victims to know that, unfortunately, they may be the targets of quick-buck scam artists. After a disaster, some professionals will often go door-to-door in neighborhoods, which have sustained damage to offer clean-up and/or construction and repair services. Most of these business people are reputable, but many are not. The dishonest ones may execute schemes to defraud innocent victims. One such scheme is to pocket the payment and never show up for the job, or never complete a job that was started. Another scheme is to use inferior materials and perform shoddy work not up to code in order to pocket more profit.

Almost all of these scams begin with a knock on the door—an unsolicited visit from a contractor. That is why we say, "If you didn't request it, reject it." If you have damage from Irene, make contact first with your insurance company.

Right now the nation's property and casualty insurance companies — nearly 1,100 are members of NICB — are in the field working hard to get victims back on their feet as rapidly as possible. Still, they may not reach you before a scam artist does; NICB suggests you consider these tips before hiring a contractor:

Get more than one estimate
Get everything in writing; cost, work to be done, time schedules, guarantees, payment schedules and other expectations should be detailed
Demand references and check them out
Ask to see the salesperson's driver's license and write down the license number and their vehicle's license plate number
Never sign a contract with blanks; unacceptable terms can be added later
Never pay a contractor in full or sign a completion certificate until the work is finished and be sure reconstruction is up to current code
Make sure you review and understand all documents sent to your insurance carrier
Never let a contractor pressure you into hiring them
Never let a contractor interpret the insurance policy language
Never let a contractor discourage you from contacting your insurance company

If you believe you have been approached by an unlicensed or unscrupulous contractor or adjuster, or have been encouraged to fabricate an insurance claim, contact your insurance company or call the NICB Hotline at 1-800-TEL-NICB (1-800-835-6422). You may also text your information to TIP411, keyword "FRAUD" and remain anonymous if you so desire.

In the weeks and months ahead, information about vehicles that are declared "salvage" by insurers participating in NICB's VINCheck program will be available through queries of the database which is available at www.nicb.org. VINCheck allows consumers to check to see if a car has been declared as salvage and alerts them to potential issues before they buy a used car.

About the National Insurance Crime Bureau: headquartered in Des Plaines, Ill., the NICB is the nation's leading not-for-profit organization exclusively dedicated to preventing, detecting and defeating insurance fraud and vehicle theft through data analytics, investigations, training, legislative advocacy and public awareness. The NICB is supported by more than 1,100 property and casualty insurance companies and self-insured organizations. NICB member companies wrote over $317 billion in insurance premiums in 2010, or approximately 80 percent of the nation's property/casualty insurance. That includes more than 93 percent ($151 billion) of the nation's personal auto insurance. To learn more visit www.nicb.org.

SOURCE National Insurance Crime Bureau