Today’s climate has cultivated a need for awareness around protecting all aspects of your health and home, but many of us overlook the vulnerability of something that is increasingly becoming more at risk: our identity. Abducting one’s information and claiming it as their own seems like something that merely happens in futuristic spy thrillers, but in 2015 alone, more than 13 million Americans became victims of identity theft at the cost of $15 billion, according to Javelin Strategy & Research. Luckily there are ways to protect yourself that help lower your chances of identity theft, and in the case that you still fall victim, recovery coverage is available to help you reclaim your financial losses.
The losses from a drained a bank account or obscure purchases on a credit card are what people usually think of when it comes to identity theft. Although those things can happen, often the impact this crime has on one’s credit score is overlooked. The role of your credit score affects your financial standing the majority of your fiscal obligations. Identity theft can generously alter the victim’s ability to get a job, rent an apartment, buy insurance, get a mortgage or get a car loan.
How do we protect ourselves from this devastating experience? To start, it’s important to be aware of all transactions that occur involving your bank account and credit card. Recurring online payments have allowed for a “set it and forget it” mentality when it comes to easily paying bills. This convenience is appreciated, but it comes with some risk. Take advantage of spending and transaction alerts that banks and credit card companies provide for their customers to be aware of all engagement.
Now that you’re aware of the significance that identity theft can have on your life and you’ve set up proactive measures, such as alerts, to protect yourself, are you completely protected? Unfortunately, even the most financially savvy and precautionary individuals are still at risk for identity theft. Since this is a reality for everyone, it’s essential to protect yourself. Identity theft recovery insurance is available at a very reasonable cost, around $20 per year, and can be added to your homeowners or renter’s insurance policy.
You will be covered for:
- Lost wages
- The costs for redoing applications for loans, grants or other credit instruments
- Some legal fees, such as defending against civil suits brought against you by creditors
- Notarizing affidavits or other documents
- Child and elder costs incurred while restoring your identity for families
You are ensuring the protection of your home, car, health and business. Be sure your identity is just as protected from a crime that impacts your financial standing by adding Identity Theft Recovery Coverage to your plan.