As all our personal information is available on a digital platform used by billions of people across the globe, identity theft has become a serious problem. According to the recent reports, more than 15 million victims fall prey to this menace and have their personal details and funds misused. Amidst the ensuing chaos and bedlam, considering Identity Insurance or identity protection only comes naturally. As we will do anything to protect our sensitive information, we must also make sure that the money we invest in getting identity insurance or other forms of identity protection is worth it. For those who do not have much idea about identity theft and protection, listed below are a few things you must consider before you go shopping for identity protection.
#1 Manual Monitoring of Credit Reports
While buying good identity insurance can save you from the hassles of doing things yourself, a lot of money can be saved by regularly monitoring your bank and credit card reports. You can get a regular credit report by directly requesting it from the three bureaus. Also, if the protection plan costs are below the deductibles they offer, then it is totally pointless as you would be able to do a better job yourself.
#2 Look for Free Identity Theft Protection on Credit Cards
There are several credit card agencies that offer a free identity theft protection on their cards. This not only makes shopping with your credit card more secure but also eliminates the need of any additional insurance to protect your personal information. Since it is offered for free, this saves a lot more money and effort than looking for identity protection insurance.
#3 Your Policy must cover all the Credit Bureaus
There is no point in buying a policy that provides incomplete data. Several identity protection services will only cover one or two of the three credit bureaus that monitor your credit report. You should only be willing to spend in hiring a protection service such as that provides you a complete data about your credit reports from all the three agencies.
#4 Identity Protection must offer Fraud Alert
Most Identity protection services such as offer a fraud alert service that will notify the banks and credit agencies of any fraudulent activity and freezes your accounts. Alternatively, you can also do the same by simply setting up a 90-day fraud alert at any of the credit bureaus through a phone call. As soon as the agency gets a notification of any unlawful or unauthorized access to your personal info and funds, they would automatically remind the other two and put a freeze on your accounts.
#5 Insurance Doesn’t Cover Monetary Losses
There is no point in spending a lot of money on an identity insurance that cannot cover your monetary losses. Unfortunately, most insurance agencies do not offer any compensation for any losses arising from an identity theft. So if someone takes a loan in your name, most identity-protection services will only cover the expenses that you bear in rectifying the problem. Hence, if the identity protection service seems too pricey, you’re better off without it.
#6 Beware of the ‘Dark Web’
Not many are aware of the nefarious part of internet, where all the stolen personal information is traded. While regular users are unable to identify or access such websites, they can always hire specialized agencies that scour through the ‘Dark Web’ and will try to keep your personal information from being unlawfully exchanged at such websites.
#7 Never Completely Rely on the Insurance
In this world where everything seems to be available on the internet, simply buying an identity protection for you doesn’t cut it. You must remember that no matter how effective your identity protection is, you must always stay vigilant and protect your personal information from being stolen or misused. There is nothing better than keeping a watchful eye on your credit reports and statements for any anomalies and stay protected.
