As Hurricane Helene tore through the southeastern United States, reports of price gouging have surged across the affected states.
Price gouging occurs when businesses inflate prices on essential goods or services during emergencies, like natural disasters, to exploit high demand and low supply.
Business Insider reached out to the states hardest hit by the storm North Carolina, South Carolina, Georgia, Florida, Tennessee, and Virginia and found many were flooded with complaints or had to issue warnings about potential price gouging.
In South Carolina, where the storm caused about 36 deaths, the Attorney General’s office reported at least 142 complaints of price gouging since the hurricane began. Most complaints are about hotels, gasoline, gas cans, generators, ice, and eggs, said Robert Kittle, communications director for South Carolina Attorney General Alan Wilson. Kittle added that they were still reviewing 246 additional voicemails and emails.
However, not all complaints would necessarily result in investigations, as not all meet the legal definition of price gouging under South Carolina law. The state’s price-gouging law had been activated, with Attorney General Wilson cautioning that while some price fluctuations are normal, businesses or individuals attempting to take unfair advantage of the disaster would face legal consequences.
The bulk of South Carolina’s complaints came from the upstate region.
In neighboring North Carolina, which saw the highest death toll of around 56, dozens of price gouging complaints were also filed. The state’s Department of Justice received 64 complaints, mainly related to hotel rates and grocery or fuel prices, which are under investigation.
North Carolina Attorney General Josh Stein emphasized the state’s strict stance on price gouging, stating: “North Carolina has an anti-price gouging law to ensure that no bad actors exploit people’s desperation.” Stein added that more complaints could arise, as many affected residents in western North Carolina may still lack access to phones or the internet.
Florida, which had around 14 storm-related deaths, also reported multiple complaints, though no exact number was given. Kylie Mason, communications director for Attorney General Ashley Moody, stated that most reports involved fuel and water. Moody warned Floridians to be vigilant for price gouging and urged them to report any suspicious activity, highlighting that violators could face fines of $1,000 per offense.
Tennessee, with around eight deaths, and Georgia, with roughly 25, also issued warnings about price gouging, although neither state provided specific complaint data at the time. Georgia’s Consumer Protection Division reminded businesses that while normal competition drives prices, exploiting a state of emergency is illegal. Tennessee’s Attorney General Jonathan Skrmetti condemned price gouging, urging the public to report incidents to the Division of Consumer Affairs.
Meanwhile, Virginia, which reported two storm-related deaths, had not received any price-gouging complaints as of the report’s release. However, Virginia Attorney General Jason Miyares’s office assured the public that they are ready to address any concerns or complaints that may arise.
Price gouging has become a key political issue, with Vice President Kamala Harris pledging to introduce the first federal ban on the practice, particularly in the food and grocery industries, if elected president. Her proposal, aimed at combating the impacts of inflation, has sparked mixed reactions from economists.