Identity theft risk management will soon be available from GuideOne as an endorsement to your home policy. Contact us for info on this important coverage for today.
Risk Management : The process of making and implementing decisions that will minimize the effects of loss.
Identity theft, the problem today: Identity theft is an increasing concern today with the following startling facts:
- Identity theft increased by 81% in 2002
- 9.9 Million victims reported identity theft in 2003
- 90% of homeowners fear identity theft, but few know much about preventing it
- According to the Federal Bureau of Investigation, identity theft is one of the fastest growing crimes in America.
- Identity theft occurs when a criminal obtains a victim's name, Social Security number, address, credit card number, or other personal information, and then uses the information to commit fraud, or other crimes.
- A person's identity can be stolen in a variety of ways. Someone's billfold might be lost or stolen.
- A person may unknowingly give out personal information on the internet or over the phone.
- A criminal may steal someone's mail, or even dig through their trash to find personal documents.
- Once the criminal has the proper info, he or she is able to access the victim's bank accounts, use credit cards, apply for new credit cards, take out loans, and conduct other criminal activity.
- Not only can the victim of identity theft lose property and cash, but large debts can be run up in the victim's name and their credit rating destroyed.
- It can cost thousands of dollars in legal fees, lost wages, and other related expenses to resolve it.
- Victims can for months, and at times, years, trying to restore their identity, financial records, and credit. They may also lose job opportunities and even get arrested for crimes not committed.
Tips that can help you prevent identity theft:
- Order a copy of your credit report from one of the major credit bureaus on a regular basis. Note contact info: Equifax: www.equifax.com or 1-800-685-1111, Experian: www.experian.com or 1-800-397-3742, Trans Union: www.transunion.com, 1-800-888-4213
- Use passwords on your bank, credit card, and phone accounts.
- Check your mailbox each day, and ask the Post office to hold your mail when you are unable to check your mailbox.
- Deposit outgoing mail in Post Office collection boxes or at the Post Office instead of unsecured mailboxes.
- Guard your Social Security number (SSN) and do not carry your Social Security card or birth certificate with you. Plus, check to see if your SSN appears on other cards, such as your medical insurance card. If so, only carry them when needed.
- Do not give out personal information over the phone or internet.
- Be aware of "phishing scams" by checking company websites or calling the customer service phone number.
- Update virus protection software often, and use a secure browser.
- Shred bank statements or other sensitive information with personal account numbers before throwing them away.
What to do if your identity has been stolen:
- Contact the fraud department at any of the three major credit bureaus to place a fraud alert on your credit file. The fraud alert requests creditors to contact you before opening any new accounts or making any changes to existing accounts. The other two credit bureaus will be automatically notified to place fraud alerts, and your will receive credit reports from all three bureaus.
- Close the accounts that you know or believe have been tampered with or opened fraudulently. Use an ID Theft Affidavit when disputing new unauthorized accounts.
- File a police report. Get a copy of the report to submit to your creditors and other organizations that may require proof of the crime.
- File your complaint with the FTC. They can maintain a database of identity theft cases used by law enforcement agencies for investigations and can provide assistance.
- Contact your insurance agent or company.
For more information on identity theft, visit the following websites:
- Federal Trade Commission (FTC), The National Resource of ID theft: www.consumer.gov/idtheft/
- "Id theft: When Bad Things Happen to Your Good Name" from the FTC. This a downloadable PDF, which includes an ID Theft Affidavit: www.ftc.gov/bcp/conline/pubs/credit/idtheft.htm
- Privacy Rights Clearinghouse: www.privacyrights.org
- Identity Theft Prevention and Survival: www.identitytheft.org