alfonsi: did you think you were okay?: sure. i mean, that's what you pay insurance for. >> alfonsi: the city condemned kaible's home, saying it was damaged beyond repair. the house had been knocked off its foundation. his insurance company-- wright flood-- sent an engineer to inspect the damage. three weeks later, the kaibles couldn't have been more surprised. >> kaible: i get the engineering report that there's no structural damage to the house. so i'm going like, "what do you mean there's no structural damage? the house is not what it was before." so between my wife and myself we made about 30 to 40 phone calls to different people-- the adjuster, the engineering firm to our flood insurance carrier. >> alfonsi: what are you trying to get from them? >> kaible: just that this report is wrong. we'd like to get another engineer back. >> alfonsi: the insurance company agreed to send someone back out to the house. surprisingly, it was the same engineer, george hernemar, who worked for a company called u.s. forensic. >> kaible:

engineer andrew braum told our sharyn alfonsi, it happened to the damage reports he wrote. >> alfonsi those reports were doctored? >> andrew braum: at least 175 of them, or approximately 96% is the number that i calculated. >> alfonsi: 175 of your reports were doctored? >> braum: correct, they were altered. >> alfonsi: and the ones that weren't changed? >> braum: the one's that weren't changed, interestingly, were ones where i recommended that no repairs are required. >> stahl: following our story, fema, the federal emergency management agency, agreed to reopen every flood insurance claim filed by sandy's victims. one fema flood insurance manager resigned. another retired, and more heads may roll soon. i'm lesley stahl. we'll be back next week with another edition of "60 minutes." and tomorrow, be sure to watch "cbs this morning." ♪ ♪ ♪ (under loud music) this is the place. ♪ ♪ ♪ their beard salve is made from ♪ ♪ ♪ sustainable tea tree oil and kale... you, my friend, recognize when a trend has reached critical mass. yes, when others focus on one thing you see what's coming next. you

berry zito is going to get a captioning funded by cbs and ford >> alfonsi: superstorm sandy killed 117eople and caused more than $60 billion worth of damage in 2012. and thousands of families that survived sandy say they've been hit by a second wave of fraud. >> i was like, how can you tell me that you can't even cover this, i'm not going to get the full amount of my insurance? i said, you got my payments every month. >> alfonsi: tonight an investigation into why so many families didn't get the help they deserved and what's being done about it. are you going to make it right? >> cooper: you want the company to remove all the flooring... >> every single board at their cost and replace it with clean flooring. >> cooper: for months "60

captioning funded by cbs and ford >> alfonsi: superstorm sandy killed 117 people and caused more than $60 billion worth of damage in 2012. and thousands of families that survived sandy say they've been hit by a second wave of fraud. >> i was like, how can you tell me that you can't even cover this, i'm not going to get the full amount of my insurance? i said you got my payments every month. >> alfonsi: tonight an investigation into why so many families didn't get the help they deserved and what's being done about it. are you going to make it right? >> cooper: you want the company to remove all the flooring... >> every single board at their cost and replace it with clean flooring. >> cooper: for months "60

bob kaible told sharyn alfonsi on "60 minutes" that his house in long beach, new york, was knocked off its foundation and condemned, but the insurance company's engineering report concluded there was no structural damage. >> i'm like, what do you mean there's no structural damage? the house is not what it was before. >> reporter: new york senator kristen gillibrand says she's heard similar stories from dozens of constituents. >> based on the documents i've seen, it looks like large-scale fraud. it's rigging the system against home owners to make sure insurance claims are not paid out. >> reporter: 40 phone calls later kaible was finally granted a re-inspection by the same engineer. i said, "george, how could you write a report like that?" he goes, "it's not my report." his report, they discovered, has been altered. engineer andrew braum, who works at a different company, says the same thing happened to him. 175 of your reports were doctored? >> correct. >> reporter: and the ones that weren't changed? >> the ones that weren't changed, interestingly, were ones where i recommended no repa