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NICB Raises Alarm on Contractor Fraud Amid Oklahoma Wildfires

Recent wildfires in Oklahoma, fueled by dry conditions and intense winds, have left behind a trail of destruction, affecting countless homes, schools, and businesses. In light of these disasters, the National Insurance Crime Bureau (NICB) is stepping forward to alert both residents and business owners about the increasing threat of contractor fraud that often emerges in the aftermath of such events.

The NICB, a leading non-profit organization committed to combating insurance fraud, is actively coordinating with local, state, and federal law enforcement as well as insurance companies to aid recovery efforts. As the first response phase of the crisis starts to wind down, NICB agents are preparing to deploy into the area to assist in identifying and addressing fraudulent activities as the rebuilding process begins.

The Importance of Awareness

Niambi Tillman, the regional director of NICB, emphasizes that the unique weather patterns in spring can lead to catastrophic incidents, like those seen in Oklahoma. Residents must remain vigilant to avoid falling victim to unscrupulous contractors who may offer their services under false pretenses. These contractors often make grand promises, request upfront payments, and may request an Assignment of Benefits (AOB) that allows them to access insurance claims directly, then vanish after receiving payment.

To help consumers navigate these turbulent times and safeguard themselves, the NICB has shared key advice to spot potential fraud:

1. Vigilance is Key: Individuals in affected areas should promptly contact their insurance providers regarding any property damage. Understanding the claims process and consulting with one’s insurance carrier is crucial before finalizing any agreements or making decisions.

2. Do Your Homework: It’s advisable to obtain multiple bids from various contractors. This practice not only helps in comparing prices but also in verifying the legitimacy and reputation of service providers. Asking for references and conducting background checks on potential contractors can significantly reduce the risk of hiring fraudsters.

3. Recognize Red Flags: Be cautious of high-pressure sales tactics, especially those that involve door-to-door solicitation. Contractors urging quick signing of contracts, particularly those with blank spaces, should raise alarms; these could lead to unfavorable terms being filled in later.

4. Be Cautious with Payments: NICB advises never to pay the entire cost upfront. Establish clear payment schedules tied to project milestones, ensuring satisfaction with completed work before finalizing payments.

5. Report Suspicious Activity: If anything appears suspicious, residents are encouraged to reach out to law enforcement as well as their insurance companies without delay. Sharing personal information over the phone with unverified callers is also discouraged.

Resources for Assistance

For those looking for more information and resources, the NICB provides a wide array of tools for consumers. Their official website, NICB.org, offers additional guidance. For immediate assistance, individuals can also call the NICB hotline at 1-800-TEL-NICB.

The NICB's proactive stance in this crisis represents a critical step in fighting contractor fraud during one of the most vulnerable times for Oklahoma residents. By staying informed, vigilant, and prepared, consumers can protect themselves and their hard-earned assets in the recovery process following these devastating wildfires.