Contractor fraud after KY’s wind storm could cost you big. Here are tips to spot a scam
Seeking to get ahead of a fresh wave of fraud, Kentucky’s attorney general is warning of storm-related repair scams after severe weather blew through the state and raked up millions of dollars in damage.
“As Kentuckians recover from the severe storms and damaging winds that struck the Commonwealth last week, we urge consumers to watch out for possible construction and repair scams,” Attorney General Daniel Cameron said in a news release Wednesday.
“We encourage Kentuckians to report suspected scams to our office immediately at ag.ky.gov/scams,” Cameron said.
To protect yourself, make sure you understand how to spot contractor scams. To help, here’s some tips from the attorney general’s office and State Farm insurance.
Contractor fraud in Kentucky after a big storm
In the wake of the Western Kentucky tornadoes in December 2021, the attorney general’s office received at least 55 scam reports, according to a spokesperson.
That’s likely an undercount because people report scams in different ways — if they report them at all due to shame and embarrassment about being duped.
In recent years, especially during the coronavirus pandemic, Kentucky has seen an explosion of scams, from the traditional kind to more elaborate romance scams. Senior citizens are often the target.
How to spot a scam and avoid falling victim
While many of these tips might seem like common sense, they’re often taken for granted, and it only takes one slip up to fall victim to a scam.
Contact your insurance company first. Sure, this might seem like a no-brainer, but your insurer can also likely recommend reputable contractors to help with repairs.
Do your homework. If you are shopping for a contractor yourself, make sure to dig around and look at the contractor’s background. According to the Federal Emergency Management Agency, you should ask for references from past customers. You can also look at their profile at the Better Business Bureau at BBB.org. Your family and friends or even local government might be of assistance, as well. The Association of Home Builders also has tips online to help you avoid contractor scams.
Don’t cave to the hard sell. Be mindful of any “special pricing” contractors might offer for hiring them on the spot, and never pay upfront for their services. Don’t feel forced into a hasty decision by high-pressure sales tactics. Be proactive not reactive, and treat door-to-door pitches with strict scrutiny.
Get it in writing. Don’t hire anyone who tells you a contractor “won’t be necessary,” and make sure you start by getting a cost estimate in writing, as well.
Hold them accountable. According to State Farm Insurance, you should watch out for unexpected expenses, low-grade construction materials, lack of activity at the work site and poor progress updates.
Report fraud to Kentucky Attorney General’s office. Even if you ultimately can’t get your money back, reporting a scam can help the state go after criminals in the long run so others aren’t hurt. You can make a report at ag.ky.gov/scams or by calling 888-432-9257.
Do you have a question about scams or fraud in Kentucky for our service journalism team? We’d like to hear from you. Fill out our Know Your Kentucky form or email ask@herald-leader.com.