Risk of Contractor Fraud Surges After Tornadoes and Severe Storms in Illinois
The National Insurance Crime Bureau Warns of Fraudulent Contractor Schemes After Two Weeks of Severe Weather
OAK BROOK, IL, JUNE 18, 2026 – Following a series of severe storms, tornadoes, heavy rains and damaging winds across Illinois, the National Insurance Crime Bureau (NICB), the nation’s leading not-for-profit organization dedicated to preventing and combatting insurance fraud and crime, is warning residents and business owners to be alert for potentially fraudulent contractors who may attempt to exploit disaster-impacted communities.
Over the past two weeks, Illinois has experienced multiple rounds of severe weather, including a derecho that produced widespread wind damage across northern Illinois, a tornado outbreak that damaged homes and businesses, and heavy rainfall that prompted flooding concerns across parts of the Chicago metro area. This year alone, Illinois has led the nation with 140 tornadoes, far surpassing the state’s average of 54 tornadoes per year.
As residents begin cleanup and repairs, NICB urges those affected to exercise caution, contact their insurance carrier early in the restoration process and verify the credentials of anyone offering repair, debris removal, roofing, construction, water mitigation or other post-storm services.
“After destructive storms, most families and businesses want to start the recovery process as soon as possible,” said NICB President and CEO David J. Glawe. “This is when home and business owners must be most vigilant, as fraudsters use this opportunity to swoop in, targeting those who may be deserving of payouts from their insurance policies. Knowing the warning signs can help Illinois residents protect themselves and their property as they begin the rebuilding process.”
In response to severe weather and natural disasters, NICB agents coordinate with local, state and federal law enforcement agencies, as well as NICB member insurance companies to help identify and prevent fraud before it can take root.
Post-disaster fraud schemes may involve companies or individuals offering debris and tree removal, emergency roof repairs, water extraction, home reconstruction, vehicle repairs or other storm recovery services.
Residents should be cautious of anyone who appears immediately after the storm, claims to be affiliated with an insurance company without verification, offers a “free” inspection, demands payment in cash, or says a deal is only available if a contract is signed immediately.
Common red flags also include high-pressure sales tactics through door-to-door solicitation, online messages or phone calls; contracts with blank spaces; demands for full payment before work begins; offers to waive deductibles; and requests for an Assignment of Benefits agreement that transfers insurance rights to the contractor.
NICB offers consumers a free downloadable contractor checklist to help evaluate contractors before hiring them at https://www.nicb.org/media/2509/download/.
Review these tips to avoid fraud after a catastrophe:
Working With Insurance
- Call your insurance company first if you think you might have damage from a storm or other disaster.
- Make sure you review and understand all documents sent to your insurance carrier. Signing an Assignment of Benefits agreement transfers your insurance rights to the contractor. Know what that means for you.
- Never let a contractor interpret the language of your insurance policy or discourage you from contacting your insurance company.
- Be on the lookout for people calling and saying they are with a national carrier. Do not provide ANY personal information over the phone without them first confirming a claim number. If something sounds fishy, report it to your insurance company immediately.
- Note that insurance carriers will never ask you to pay your deductible up front or over the phone.
Hiring a Contractor
- Get more than one estimate.
- Request references and do the research.
- Ask to see the salesperson’s driver’s license and write down the license number and their vehicle’s license plate number.
- Look out for out-of-state contractor licenses and vehicle registrations, as these may indicate possible fraudulent contractors.
- Never let a contractor pressure you into making a quick decision or hiring them.
- Remember, if you didn’t request it, reject it!
Getting the Work Done
- Get everything in writing. Cost, work to be done, time schedules, guarantees, payment schedules, and other expectations should be detailed and itemized.
- Never sign a contract with blanks; terms you don’t agree with can be added later.
- Never pay a contractor in full or sign a completion certificate until the work is finished.