Americans Affected by Disasters Face High Risk of Fraud

Strategic Insights -

A recent survey conducted by The Harris Poll on behalf of the American Institute of CPAs (AICPA) has revealed that 37% of Americans have experienced fraudulent activities after being personally and/or professionally impacted by a natural disaster. The survey found that individuals in the Northeast (40%) and South (40%) were more likely to have experienced such activities. The most common types of fraud reported were identity theft, government assistance fraud, loan scams, and vendor fraud.

Key Takeaways:

  • A staggering 37% of Americans have experienced fraudulent activities after being affected by a natural disaster, highlighting the need for effective disaster planning and relief strategies.
  • Individuals in the Northeast (40%) and South (40%) were more likely to experience fraudulent activities, emphasizing the importance of targeted support and resources in these regions.
  • The most common types of fraud reported were identity theft (14%), government assistance fraud (11%), loan scams (11%), and vendor fraud (10%).
  • Only 13% of Americans reported having personal insurance coverage that includes protection against fraud-related losses during disaster recovery.
  • Business owners were more likely to have insurance coverage that includes protection against fraud-related losses, with 64% reporting they have such coverage, compared to 48% of individuals.

Statistics:

  • 37% of Americans have experienced fraudulent activities after being affected by a natural disaster.
  • 40% of individuals in the Northeast and 40% in the South were more likely to experience fraudulent activities.
  • Identity theft was reported by 14% of respondents.
  • Government assistance fraud was reported by 11% of respondents.
  • Loan scams were reported by 11% of respondents.
  • Vendor fraud was reported by 10% of respondents.
  • Utility scams were reported by 10% of respondents.
  • Charity fraud was reported by 10% of respondents.
  • Insurance fraud was reported by 10% of respondents.
  • Contractor fraud was reported by 8% of respondents.
  • 48% of Americans reported that their personal insurance coverage doesn't include protection against fraud-related losses during disaster recovery.
  • 64% of business owners have insurance coverage that includes protection against fraud-related losses during disaster recovery.
  • 39% of Americans reported that their personal insurance coverage includes protection against fraud-related losses during disaster recovery.
  • 13% of Americans were unsure if their personal insurance coverage includes protection against fraud-related losses during disaster recovery.

Sources:

  • The Harris Poll on behalf of the American Institute of CPAs (AICPA)
  • American Institute of CPAs (AICPA)