Texas Homeowners Warned of Post-Flood Contractor Scams

David J. Glawe, President and CEO of the NICB, urged residents to prioritize verification before committing to any repair agreements. The bureau advises homeowners to contact their insurance carriers immediately upon discovering damage, rather than relying on the guidance of door-to-door solicitors who may lack legitimate credentials.

Property owners should be wary of contractors who pressure them to sign Assignment of Benefits agreements, which transfer insurance rights to the vendor. To minimize risk, the NICB recommends obtaining multiple estimates, demanding physical identification from workers, and avoiding any contract that contains blank sections. Payments should never be made in full until the project is completed, and any request for a deductible payment over the phone should be treated as a red flag for potential fraud.