Mother Nature’s been hitting harder in recent years, and Newfoundland and Labrador haven’t been spared. From hurricane-force winds to flash floods, we’ve seen the damage first-hand. In fact, disaster recovery scams in Newfoundland have become a growing concern as more severe weather events push homeowners into urgent rebuilds. In 2024, Canada hit a bleak milestone—insured losses from extreme weather topped $8 billion for the first time ever, according to CatIQ.
Insurance Bureau of Canada
But as if the storm wasn’t bad enough, some folks face a second blow: scammers and shady contractors who swoop in after the chaos, promising fast fixes and leaving empty pockets behind. That’s why it’s so important to work with reputable companies, especially those who are members of the Canadian Home Builders Association – Newfoundland and Labrador (CHBA-NL). These members are committed to industry standards and accountability, which adds an extra layer of trust during stressful times.
What Happens After the Weather Clears?
After a major weather event, people are focused on getting back on their feet—fixing their homes, checking in on family, and trying to restore some sense of normal. That’s when fraudsters move in. They target our communities with door-knocks, texts, and emails, offering too-good-to-be-true deals or pretending to be affiliated with your insurer.
Here’s the Bottom Line: Call Your Broker First
We’ve been helping Newfoundlanders and Labradorians navigate insurance claims for over 45 years at Wedgwood Insurance. When disaster strikes, your first call should be to your local broker. We’re here to explain your coverage, help with your claim, and ensure you deal with trusted professionals—not fly-by-night operators.
Spotting the Fakes: What to Watch For
Unfortunately, some scammers will even say they’re “working with“ your insurer. Don’t buy it. Never hand over your policy number, SIN, or banking info to someone you haven’t verified. And don’t sign anything without reading the fine print.
Look out for these red flags:
- The contractor doesn’t have a license or dodges questions about it
- They ask for full payment upfront—or worse, in cash, crypto, or gift cards
- They pressure you to sign immediately or “sign over“ your insurance cheque
- They offer to “help“ you access government relief for a fee
Tips to Stay Protected
- Stick with local: Choose contractors based in Newfoundland and Labrador. They’ve got a reputation to maintain.
- Get it in writing: Collect quotes from a few contractors, and make sure any contract outlines what work will be done, timelines, materials, and payment schedule.
- Check credentials: Ask for proof of liability insurance, and if in doubt, reach out to your broker or local licensing body.
We’re in This Together
Rebuilding after a storm isn’t just fixing shingles and drying out basements. It’s about looking after each other. At Wedgwood, we care about more than just your policy—we’re your neighbours, too. If you’re ever unsure who to trust after a disaster, give us a call. We’ll help you rebuild with confidence avoiding disaster recovery scams in Newfoundland.
About Wedgwood Insurance
Wedgwood Insurance has offices in St. John’s & Corner Brook and is Newfoundland & Labrador’s largest independent insurance broker. We provide straightforward home, auto & business insurance advice.
With over 315 Google My Business reviews, experience the Wedgwood difference with expert advice from our dedicated team. We ensure that every client has the coverage that best suits their needs through upfront complimentary consultations and midterm reviews.
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