#United States #Texas #NICB #Contractor Fraud #Texas Flood

NICB Expresses Sympathy and Issues Caution in the Wake of Central Texas Flooding

In a tragic turn of events, Central Texas has faced catastrophic flooding that has not only claimed lives but also resulted in substantial damage to homes, schools, and businesses. The National Insurance Crime Bureau (NICB) has stepped forward to both express condolences and alert the community about potential scams from dishonest contractors looking to exploit this disaster.

As the water recedes and rescue efforts continue, NICB agents are actively collaborating with local, state, and federal law enforcement agencies, alongside member insurance companies, to support recovery and safeguard residents from fraud. NICB's Southwest Regional Director, Naimbi Tillman, shared a heartfelt message focusing on the ongoing grief faced by families in the region. “Our hearts continue to be with the residents of Central Texas as they mourn the loss of friends and loved ones,” she stated. “It is crucial that residents remain vigilant, as some contractors may offer quick assistance but can be deceptive, disappearing after payment without delivering any services.”

Unfortunately, predatory contractors often appear in the aftermath of disasters, preying on vulnerable homeowners and businesses. Common scams may involve companies promising services such as debris removal, home reconstruction, and even medical help. NICB emphasizes the importance of thorough research and caution by encouraging residents to consult their insurance providers and validate any contractor's credentials before engaging their services.

Warning Signs of Fraudulent Contractors

To protect themselves from becoming victims of fraud, residents are advised to look for several red flags when approached by contractors:
1. High-Pressure Sales Tactics: Be cautious of contractors who attempt to rush you into making decisions on the spot, particularly in door-to-door situations or unsolicited calls.
2. Incomplete Contracts: If a contractor pushes for you to sign a contract with blank spaces or vague terms, this could be a tactic to manipulate the final agreement later.
3. Upfront Payments: Firms that demand payment upfront or insist on an Assignment of Benefits (AOB) agreement, which transfers your insurance rights to them, should be treated with skepticism.

To assist those impacted by the flooding, NICB has made available a free downloadable contractor checklist, which can be found on their website. This document is designed to help homeowners navigate the process of hiring trustworthy contractors effectively. Moreover, NICB advises the public to adhere to several best practices:

• - Before a Disaster: Familiarize yourself with your insurance policy and compile a list of reputable contractors recommended by your insurance company.
• - After a Disaster: Stay calm and avoid giving in to contractors’ pressure. Verify their credentials by calling your insurance provider or the Better Business Bureau (BBB). Always obtain multiple bids and avoid cash payments.

Continued assistance and further resources for identifying reputable contractors can be accessed via NICB’s official website. For anyone suspicious of potential fraud, it is crucial to report such incidents to NICB’s hotline at 1-800-TEL-NICB.

About NICB

The National Insurance Crime Bureau (NICB) is headquartered in Oak Brook, Illinois, and is the leading non-profit organization dedicated to combating and preventing insurance crimes. Supported by over 1,200 property and casualty insurance companies, NICB plays a critical role in fostering intelligence and advocacy in insurance fraud prevention. More information can be found at NICB.org.

In times of crisis, the community must remain united and vigilant, and organizations like NICB continue to provide essential guidance for residents navigating recovery amidst disaster.