American Property Casualty Insurance Association: Don't Get Scammed Following the Storm

BOSTON, Massachusetts, Oct. 30 (TNSOps) -- The American Property Casualty Insurance Association issued the following news release:

As residents move forward with the clean-up and rebuilding process following the Nor'easter that recently ripped through New England, the American Property Casualty Insurance Association (APCIA) urges them to use caution in hiring a contractor and to watch out for scams and other fraudulent activity.

"Following a natural disaster, it is normal to be in a hurry to begin making repairs, but we encourage people to take the time to check the credentials of the businesses and individuals they are considering hiring to repair their property," said Frank O'Brien, vice president for APCIA. "While the overwhelming majority of contractors are honest and above-board, as the rebuilding process gets underway, unlicensed contractors and scam artists may be looking to cash in on the misfortune. Consumers can save a lot of time, money and frustration by taking the time to check references, sign a clear contract and pay as work is completed on the home."

* There are resources available to assist consumers if they experience price gouging, home repair scams or charitable giving fraud. If you suspect fraudulent activity be sure to contact the Massachusetts Attorney General's consumer hotline at (617) 727-8400. You can also verify a home improvement contractor's registration online on the Massachusetts Office of Consumer Affairs and Business Regulation's website.

If you live in Rhode Island and suspect fraudulent activity, be sure to contact the Rhode Island Attorney General's Consumer Protection Unit at (401) 274-4400 or the Rhode Island Contractors' Registration and Licensing Board.

APCIA urges homeowners to follow these "Do's & Don'ts" when hiring a contractor:

Do's:

* Be suspicious of any contractor who tries to rush you, especially on non-emergency or temporary repairs.

* Shop around for a contractor by getting recommendations from friends and neighbors. Be wary of anyone knocking on your door offering unsolicited repairs to your home. FEMA does not endorse repair contractors.

* Always inspect the work and make sure you are satisfied before you pay the contractor.

* Get three written estimates for the work and compare bids. Check credentials with the Better Business Bureau or state attorney general's office to see if the firm has any outstanding complaints.

* Always have a written, detailed contract that clearly states everything the contractor will do, including prices for labor and materials, clean-up procedures, and estimated start and finish dates.

DON'Ts:

* Never pay for work up front. Don't hire a contractor that requires all payments before work is completed. Most contractors will require a reasonable down payment on work, but don't pay anything until you have a signed written contract.

* Never sign a contract with blank spaces, which a crooked contractor can alter after he's gotten your signature.

* Don't believe a contractor who says he's supported by the government. The Federal Emergency Management Agency (FEMA) does not endorse individual contractors or loan companies; call FEMA toll-free at 1-800-621-FEMA for more information.

* Avoid paying with cash; use a check or credit card instead. This creates a record of your payments to the contractor.