How to Identify if Identity Theft Protection is a Policy You Should Add to Your Portfolio
When it comes to talking about insurance, there are a lot of policies that are generally considered “essential” — protecting your home, your life, and your car can all feel like a no brainer, but what about your identity. Identity theft is a real problem that millions of people deal with every year, but is identity theft protection worth it?
Identity theft protection is designed to help you recover financially if your identity and personal information are compromised. On average, getting your identity back once it’s been stolen can cost thousands of dollars. However, most victims of identity theft cite the time and emotional toll that getting things back to normal can take is the hardest. Going through identity theft is frustrating and even frightening, and for some, that’s enough to make identity theft protection worth it.
At its core, identity theft insurance is a way to ensure that you’ll have the financial backing to cover any costs that you’re burdened with in the effort to recover your identity. You can also obtain coverage for services that can monitor your credit to alert you when fraudulent activity occurs. There are also add-on services that can help with specific types of identity theft or preventative measures specific to your situation. They can also help with various situations regarding your personal identification information, like data, travel documents, or IDs.
Who Should Use Identity Theft Protection?
So, who should consider using identity theft protection insurance? It might be best for people who are already at high risk for identity theft. For example, if your information has been exposed as part of a massive data breach like the ones recently seen with Target and Marriott. In situations like these, it can be helpful to gain some peace of mind when your personal information has been exposed and the situation is completely out of your control. Taking preventative measures to be alerted as soon as something happens, and knowing you have the financial support to manage a stolen identity might just make identity theft protection worth it.
Identity theft protection might also be worth it if you’ve already been a victim of identity theft and you don’t want to go through that process again. Having an identity theft insurance policy created for your needs can ensure that you never have to go through the struggle of recovering your identity and personal identification again.
One alternative to obtaining identity theft protection is freezing your credit to prevent any fraudulent activity on your account. Usually, this is only necessary if you’re worried that fraudulent activity could occur, like if your information was part of a data breach. But if you don’t want to do that, identity theft protection is how you can rest assured that you’re protected.
Identity theft protection can also be worth it if you can’t or won’t be actively monitoring your credit reports. This isn’t something that you have to do, but it is a key way to identify if there is any suspicious activity going on. With identity theft protection and insurance services, you’ll be notified when fraudulent activity occurs, and be able to cover the cost of recovering your information.
You can monitor your personal information and credit reports for signs of fraudulent activity yourself, but what would happen if you missed something? Or if you stopped checking as often as you should? Letting identity theft go unnoticed can wreak havoc on your finances and put you into deep trouble. With identity theft protection, you don’t have to worry about things spiraling out of control.
Whether identity theft protection is worth it is ultimately up to you. If this coverage is something you’re interested in exploring more, start a conversation with your insurance agent. They’ll be most familiar with the specific risks that you face, and be able to make an educated recommendation on what your best next step would be, and also help you find the identity theft insurance that’s right for your financial situation.
You wouldn’t leave your house or your life unprotected, so why leave your personal information out? The numbers and data behind your most important assets shouldn’t go without some sort of coverage. Talk to an experienced insurance agent today to learn more about how coverage can help you in the event of identity theft.