Iowa Lt. Governor Launches Senior Fraud Initiative

Calling the defrauding of seniors a “big business” and a major problem in Iowa, Lt. Gov. Sally Pederson on Thursday announced a new initiative designed to educate older Iowans about investment fraud.

The program, Seniors Against Investment Fraud, or SAIF, will be administered by the Iowa Insurance Division. Pederson said the goal would be to help elderly Iowans spot potential fraud schemes before they become a victim.

“It’s a big business…” Pederson said of defrauding the elderly. “These people are in a good financial position. They have nest eggs. They own homes. They have good credit ratings … but most don’t have the necessary skills,” to spot and prevent potential fraud.

In the past five years, Iowans were bilked out of more than $20 million, according to figures from the Iowa Insurance Division.

Susan E. Voss, the state’s insurance commissioner, said much of that was from older Iowans, who are the demographic most susceptible to such schemes.

Voss, who appeared with Pederson on the Capitol steps to announce the initiative, said the program would work to instill a healthy skepticism in seniors.

“We want to make sure they stop, call and confirm,” she said. “We want them to make sure if it’s an investment it’s a legitimate investment, and that it’s the best thing for them.”

Voss said the program will include a yearlong media campaign and in-person presentations.

SAIF also will include a variety of components, including a resource program for seniors, presentation materials on various schemes that have hooked victims in the past, a Web site and a toll-free support hot line.

Voss said the program is based off a similar effort that has found success in California.

In the first year, the program is expected to reach 70 percent of Iowans 50-year-old and older.