Unemployment Insurance
Fraud 101

WHAT IS UNEMPLOYMENT INSURANCE (UI) FRAUD?

It is considered fraud when an individual or employer knowingly misrepresents material facts that allow someone to collect UI benefits when he or she would otherwise be disqualified. Fraud also occurs when tax liabilities owed to the S.C. Department of Employment & Workforce (DEW) are misrepresented.

UNEMPLOYMENT INSURANCE FRAUD & SCAMS

Fraud comes in many forms, but there are generally two types:

1. Not being completely honest or forthcoming on a claim. For example:
   • Not reporting wages earned.
   • Refusing a viable offer of work in order to continue receiving benefits.
   • Falsely reporting the reason for separation from a job.
   • Not being able or available for work due to illness, injury, being out of town, etc.
   • Receiving benefits while incarcerated.
      
2. A claimant is a victim of a criminal or fraudster. This could occur when:
   • An individual receives a payment or check for which they did not apply.
   • Someone responds to a phishing email or text with their personally identifying or claimant information.
   • A fraudster changes information in a claim to receive someone else's benefits - also known as hijacking a claim.
   • Someone receives a 1099-G but were never unemployed or did not apply for or receive UI benefits.

HOW TO PREVENT FRAUD

Please note and be advised of the following tips to avoid fraud and scams while working with our agency:

• DEW will never charge you for services.
• Paying someone will not process your claim faster.
• Do not post your personal or claimant data to any social media platform.
• Our agency will not leave claim information on a voicemail. If we leave you a message, we will ask you to return our call to speak with you personally.
• Complete all information on a claim honestly, including any wages earned each week that you certify.
• Do not give anyone your username and password to the MyBenefits portal.
• Do not send personal or claimant information through social media comments. The agency's Facebook and Instagram accounts are verified. Any other accounts claiming to help you with your personal claim or get your benefits are a scam.
• Email and text phishing attempts have become very common. These schemes aim to trick the recipient into clicking a link and transmitting sensitive information. Do not click links or provide personally identifying information through text or email. DEW will not send text messages or emails soliciting information.

REPORTING FRAUD

Do you have a suspected case of UI Fraud? Visit the fraud page on our website at dew.sc.gov.Thank you for helping us protect you, the financial stability of the UI Trust Fund and the financial stability of the citizens of South Carolina.

WHAT HAPPENS IF YOU COMMIT UI FRAUD?

DEW partners with the SC Attorney General to fine and prosecute UI fraud. If you are found guilty of UI fraud, you will be disqualified from receiving benefits for up to 52 weeks. Providing false information is a crime and subjects you to legal action with fines up to$100,000 and imprisonment up to 10 years.

You also will have to pay back any overpayments received as a result of incorrectly reporting wages. This might mean DEW intercepting your state and federal income taxes and the withholding of future wages to settle the debt.

REMEMBER, FRAUD IS THEFT AND THEFT IS A CRIME.