Identity Theft is Alive- Are you Protecting Yourself?

Picture this. You sit down one morning to check your online banking account and you see a number of charges that you don’t recognize—some are even out of state and you have not been traveling! You also check your credit card statement and find that you have no available balance because of purchases made that you don’t remember making.

The sinking suspicion you feel is correct- you are a victim of identity theft!

Out of every 100,000 people, roughly 67 report an identity theft claim. Identity theft scams are on the rise and, despite the perception, it is not just the elderly who fall victim to them. The criminals that want your information and intend to assume your identity have proven that they will go to any length to get it- some by stealing mail, some by using internet pop-ups, and some get it from the most reliable source- YOU. Many identity theft situations can be traced back to the victim giving out their own information over the phone!

The effects of identity theft can be horrifying. Your previously well-protected credit score can be ruined, leading to further financial troubles in the future.

It is extremely important that we counteract this criminal activity by protecting ourselves. Here are some suggestions on how to protect yourself from identity theft:

· Protect your Social Security Number. Do not carry your social security card in your wallet and do not print your driver’s license or social security number on your checks.

· Protect your passwords. Do not share them with others or write them down. Be sure to have a different password for each account and do not make the passwords something obvious like date of birth or your mother’s maiden name.

· Protect your mail. Opt out of pre-approved credit card applications by calling 1-800-5-OPT-OUT. Do not leave incoming or outgoing mail in an unsecured mailbox that is easily accessible to criminals.

· Review your credit reports annually. Execute a Security Freeze to stop criminals from getting new credit in your name.

· Know the scams. Never give out your personal information over the phone unless you are certain of who is on the other end. Visit www.noscamnc.gov for more information.

· Invest in Identity Theft Insurance. Sometimes even taking the proper steps to protecting yourself does not always prevent someone from stealing your information. Identity Theft insurance can be purchased from your credit card vendors or through your insurance agent and can help to pay for restoring your personal identity information and reinstate correct credit report information.

Most insurance companies now offer an identity theft endorsement that can be purchased for $25 a year or less.

Every company’s product is different but here is what identity fraud endorsements typically provide you:

Coverage for Identity Fraud Coverage Includes:

· Attorney’s fees incurred in defense of lawsuits brought against an insured by merchants or their collection agencies and removal of any criminal or civil judgments wrongly entered against you that challenge the accuracy or completeness of data in a consumer credit report.

· Lost income as a result of time taken off work to meet with, or talk to, law enforcement agencies, credit agencies, legal counsel, or to complete fraud affidavits (up to $500 per week for a maximum period of four weeks).

· Loan application fees when insured must re-apply for loans when the issuing company rejects solely because of incorrect credit information.

· Long distance phone charges to merchants, law enforcement agencies, financial institutions or similar credit grantors or credit agencies to report or discuss an actual identity fraud.

· Notary and certified mailing costs for completing and delivering fraud affidavits.

If you haven’t taken the opportunity to add this valuable coverage to your insurance policy- do it today! Isn’t this worth the $25 bucks a year? Call your insurance agent today!