A phone rings in an upmarket residence in Mexico’s Querétaro state:
“Hello, can I help you?”
“We know where you live, what time you leave for work and when and where your child goes to school.”
“Who is this?”
“Unless you pay us US$50,000, you or one of your family might not be safe.”
“Tell me your name and why you are doing this.”
“No more conversation, you have been warned. This is where to send the money for your own protection…”
Threatening phone calls and scenarios like this are playing out on a regular basis throughout Latin America as criminals turn to extortion as an easier way to make money in comparison to other criminal acts such as kidnap for ransom. The Executive Secretariat of the National Public Security System reports that the number of extortions in Mexico’s Queretaro state increased by nearly 40% in 2024 when compared to 2023 and overall, Mexico saw more than 10,000 incidents of extortion in 2023.
“For private individuals and businesses, extortion has become a frightening and costly reality of daily life,” says Senior Consultant, Elman Myers. “While it is a risk that can never be eliminated there are some simple steps that can be taken to minimise the chances of falling victim to an extortion, while also preparing contingencies should the worst happen.”
Extortion defined
Extortion can be defined as the making of illegal threats either directly or indirectly to kill, injure or abduct the victim, or cause physical damage to or loss of property. Examples of these acts can include phone calls threatening members of the family if a payment is not made; or, a representative of a local criminal gang visiting a factory and demanding a monthly payment to ‘protect’ the business and its workers from acts of violence. “In simple terms,” says Myers, “extortion is usually a financial demand made on an individual or business in order not to carry out some form of harm or violence and Latin America has become a hotspot for such crimes.”
Easy pickings for criminals
Why has this crime increased in frequency? As extortion is a relatively simple crime to carry out, often requiring little more than a phone and access to a target’s contact details, the barriers to entry for criminals are low. “When you kidnap someone, you have the upfront costs and risk of paying for accomplices as well as holding a victim for a period until a ransom is paid. With an extortion, costs can be almost nothing and there is less risk for the criminal(s),” says Myers. “In addition, the authorities are overwhelmed by the number of extortions meaning there is little they can do to respond, resulting in more individuals and businesses paying their extortionist rather than engaging with the security services."
Don’t be a victim
Of course, there are alternatives to simply paying an extortionist. Many people and businesses can reduce the likelihood of becoming a victim in the first place by changing some of their habits and reducing the areas of vulnerability for their would-be extortionists to exploit, says Myers: “One piece of advice is, if you receive a phone call and you don’t recognise the number, don’t answer. An extortionist is often playing a numbers game and if they don’t get hold of you, they might move on to another random target. Don’t use a landline either because it can be easier for criminals to get that number. If you use a landline to contact any employees you might have working at home, for example, give them a mobile phone to use instead.”
“Should an extortionist get through,” adds Myers, “it’s important to stay calm and take a moment to think about the threat. An extortionist relies on their victim panicking and quickly giving in to their demands. If you take time to consider your options you will more likely decide not to pay and, if an extortionist does not get a quick result, they may well abandon the threat.”
Immediate support
Having external support can also be critical should you find yourself dealing with this type of crisis situation. “It’s why insurance can be a valuable support, knowing that it provides immediate assistance not just in kidnap scenarios, but in other areas like extortion,” says Myers. “A Hiscox Secure policy, for example, provides the immediate support of Control Risks, the most experienced crisis response firm in the market, across a wide range of security threats including extortion and home invasion. It provides valuable peace of mind for private individuals and businesses who know they have the crisis management expertise on hand to safely navigate a situation.”
“Falling victim to extortion can be an incredibly stressful and even dangerous time,” Myers concludes, “but there are some simple steps private individuals and businesses can, and should take to lower their risk.”
