Published: September 2014
Identity theft is a very real problem in today’s society, with a reported 13.1 million victims in 2013 alone, according to a report from Javelin Strategy & Research. The rise of new technology presents new challenges every day in keeping your financial records, personal documents and information secure. There are many steps you can take to help avoid having your identity stolen, but there's an additional step you can take in proactively protecting yourself and your family — purchasing identity restoration coverage.
According to the Insurance Information Institute, identity restoration coverage can help you recover costs that are often associated with having your identity or credit accounts compromised. Depending on your policy, it may cover expenses such as legal fees, lost wages or costs you may incur while mailing documents. Some policies may also provide access to fraud specialists who can help you replace the critical identification and documents you will need to rebuild your identity — and work toward keeping you protected in the future. IDT911 states that certain policies may offer specialists who can help proactively protect your identity in the future by placing fraud alerts on your account to flag any suspicious behavior. You should speak to your insurance agent about specific coverage as it relates to your policy.
According to the III, some situations that can lead to potential misuse of your identity include:
- Theft of credit card numbers
- Phishing scams
- Dumpster diving, or the theft of identification information from your garbage
- Shoulder surfing, or people looking over your shoulder at the ATM or when you enter your PIN at a checkout line
- Using your credit card on websites of whose authenticity you aren't certain
According to the Federal Trade Commission’s Annual Report, identity theft topped the list of consumer complaints in 2013, and consumers reported losing more than $1.6 billion. Buying identity restoration coverage will not prevent your identity from being stolen, but it may help you recover the costs of re-establishing your identity in the unfortunate event it is stolen. Call your insurance agent today for more information on how identity restoration coverage can help you.