We have seen it many times now: credit card numbers being hacked, actually millions of customers of huge retailers such as Target and more recently Home Depot have been co Although identity theft insurance won’t deter identity thieves, it can, in certain circumstances, minimize losses if an identity theft occurs. This security breach represents a huge problem for those corporations, the U.S government, investors and other stakeholders.
But none stands to bear the grunt of this crime than the American consumer. Have you ever had your identity stolen? Can you imagine for a second how it would feel like? If somebody had your credit card or driver license yet worse again your social security number? According to Javelin Strategy & Research a top risk management consulting firm “Every two seconds, another American becomes a victim of identity fraud”. A rather scary statistic, even scarier the number of identity fraud victims jumped to 13.1 million in 2013. representing an increase of nearly 500,000 from the previous year.
Criminals waging this cyber warfare are becoming increasing sophisticated as we have seen it with Home Depot data breach where millions of credit cards numbers were stolen and then resold on a pirate website somewhere in the Eastern Block of the cyberspace. If you want to take an educated guess be my guest! What was more telling is that our comrades of the Cyberspace have delved in their sophistication of remarking these very same credit card numbers in the zip code where they originate. Thereby bypassing the very first fraud alert systems. All the of these criminal activities amounted for losses amounted to losses totaling direct and indirect losses of $24.7 billion in 2012 alone and needless to say the number is on the rise.
Which now brings us to the recommendations or possible ways to tackle such a gargantuan problem. Even though there is no magical pill to this problem identity theft insurance can mitigate some of the losses that may occur as a result of identity theft. Identity theft Insurance typically provides its beneficiary with credit monitoring services as well as an on time personal credit score. The beneficiary can just access a secure web platform where they can view up-to-date credit reporting based on all three credit reporting agencies for the optimum plan for example. The report will also include a detailed analysis of your personal credit score. Moreover the service will also offer continuous monitoring and safety alerts so you can receive prompt emails on any activity on your credit file.
Another added benefit of the identity theft insurance offered by LegalShield through Kroll Advisory Solutions are the identity consultation and restoration services.