Finance Specials

January 22, 2013

Identity Theft Insurance

When somebody takes ownership of private data like your name, driver’s license, credit card, social security number, address and other vital information, he commits identity theft. The intent behind committing this crime is to take illegal advantage of your identity, and your assets.

Specifically, there are several sorts of identity theft that are usually performed than other forms. When somebody makes use of your personal data to purchase products, merchandize, services, get loans without settling the accountability, credit identity theft is being committed. Medical identity theft is when someone uses a persons current medical insurance policy to obtain medical care or prescription drugs. In case somebody has private information with the support of valid ID’s like driver’s license of another individual, criminal identity theft takes place. Culprits use private information of their victims so they won’t have records of criminal acts and instead, their victims would appear that they are the wrongdoers. Using your identity and name in any SS related transactions would fall under Social Security identity theft. The thief’s employer reports wages and the victim is forced into paying income taxes on those earnings.

Identity theft is one of the fastest growing crimes in the world today and it is getting more and more common. Victims of this criminal act are spending hours and large amounts of dollars in order for them to recapture their identity especially in the financial aspect. The majority of finance-related institutions like banks and credit card companies will be giving back what you have paid because of the identity theft and nothing more will be offered.

Now, there’s something that you can resort to so you would be protected from any unpredicted expenditures and that’s identity theft insurance. An insurance for any identity fraud related incidents will repay the victim for those expenditures incurred in repairing credit standing which are not shouldered by the companies that hold the accounts. For example, you can recover the wages you lost taking time away from work to deal with repairing your credit. Other expenditures that you incurred can also be recovered including those that you spent in mailing legitimate documents, phone charges due to long distance calls related to the offense, payment for notarial and services of a lawyer.

The Importance of Prevention

Keep an eye on the reports that are related to your credit standing. With this, you will be aware of any problem that may arise. It is very important that your private information will not be divulged on the net, through phone, or via mail except when you trust the one that you are having dealings with. It might be an old style piece of advice, but it is so helpful if any documents containing your name or any other personal information be shredded first before throwing them in the bin. And don’t carry all your important identification with you unless it is absolutely necessary.

For more detailed information, visit Calgary home insurance. Or stop by our Home Insurance for Alberta resource page for related topics and money saving ideas.

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Filed under Insurance by Josephine Wittem

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