SEC Warns Investors about Louisiana Flood-Related Insurance Scams

The SEC Division of Investor Education and Advocacy alerted investors to various insurance scams that may arise from recent flooding in and around Louisiana. In an updated Investor Alert, the SEC warned that "[I]ndividuals, including those receiving lump sum insurance payouts, should be extremely wary of potential scams related to the recent historic rainfall and flooding."

In particular, the SEC reminded individuals to "check the registration status and background of anyone recommending or selling an investment" at this time and to use the SEC’s Investment Adviser Public Disclosure (IAPD) database, which is available on Investor.gov.