The Cost of Identity Theft
The statistics are staggering. According to a report released by Javelin Strategy & Research, 16.7 million people fell victim to identity fraud in 2017 alone. And the average out-of-pocket cost to rectify identity theft exceeds $1,000. Of course, this number swells incredibly high for those who don’t detect the fraud early on. In many cases, it happens that the fraudster causes catastrophic financial damage to the unwitting victim.
But identity theft is more than just a cash grab. It also takes a high mental and emotional toll on the victim. For instance, a good-standing credit score is integral to our livelihood. It’s how we purchase cars, homes, take out lines of credit, you name it. So when a cyber-criminal causes our credit score to plummet by hundreds of points, there’s no telling the far-reaching impacts this has on our lives and our families’ lives.
In some instances it goes beyond financial and credit damage. Fraudsters have been known to use other people’s identities upon arrest or when in trouble with the law. Imagine waking up to see your name in the news linked to an atrocious crime. And truly, this only scratches the surface of the high cost that identity theft and credit fraud can have on innocent Americans. So you can see how critical it is to safeguard your name and accounts with an identity theft protection service.
Investing in Identity Theft Protection with Restoration Services
Unfortunately, many people think that identity theft protection services completely prevent all instances of fraud. This couldn’t be further from the truth. In reality, an identity theft protection plan works to detect fraud and attempts to catch it as early as possible. This allows the user to quickly fix the situation and mitigate damages, or ‘stop the bleeding’, so to speak. With that said, fraud still happens. And it even happens to those who sign-up with a protection plan.
For this reason, it’s incredibly important to invest in identity theft protection with restoration services. Many of the plans we highlight above offer full-service restoration. And restoration happens after-the-fact, post-fraud, when you actually need the service most. A restoration team is typically available 24/7 to talk you through the impacts and best course of action to resolve the fraud and return to pre-fraud status.
A comprehensive identity theft restoration service will almost literally bend over backwards to make the necessary calls to the major credit bureaus, fill out any paperwork, complete legal filings if necessary, and the list goes on. Let’s face it, most people have no clue where to start. So having a team of experts in your corner during this vulnerable time is worth its weight in gold.
Another major benefit of ID theft restoration services is the financial coverage and compensation that comes with it. Many companies offer upwards of $1 million (or more!) of coverage for lost wages and resolution expenses. This is cash in your pocket if you have to miss work, hire lawyers, ship documents, and pay for other miscellaneous restoration-related expenses. But we’ll talk more about this in the next section. When all is said and done, the importance of signing on with identity theft restoration cannot be overstated.
Identity Theft Insurance Coverage
Today’s best identity theft protection services include at least some insurance coverage. And it’s highly recommended to find a service with coverage of at least $500k to $1 million. This typically doesn’t cost much extra monthly, and it offers the peace of mind of knowing that if your identity were compromised, you wouldn’t be left picking up the pieces out-of-pocket.
The costs related to identity theft range from phone bills, to legal expenses, lost wages, and more. Restoring credit is another major expense altogether. The costs can add up fast, but for those with identity theft insurance, it’s no sweat off their backs.
However, it’s also important to know what identity theft insurance does not cover. Most people (rightfully) believe that insurance covers stolen funds. But ‘stolen funds reimbursement’ is typically a separate offer altogether. So if a fraudster hacks your bank account and drains thousands of dollars, your identity theft insurance plan probably won’t cover your losses. That’s why it’s always important to read the fine print of each service offering that you’re considering.
Identity theft restoration services can really save the day — especially considering that ID theft and credit fraud is at an all time high. The affordable service won’t set you back more than $20-$30/mo., and they monitor billions of data points to keep a close-eye on your sensitive information.
The services we showcased above offer identity and credit monitoring. The full-service offerings deliver peace of mind with generous insurance plans, ranging from $25k to $1 million in coverage. Many companies take it a step further and offer comprehensive restoration and recovery should your identity or credit ever become compromised.
Signing up with identity theft restoration is by no means 100% necessary. There are other more pressing and important things in life. But remember, upwards of 16 million people are victimized annually, and the last thing you want is to have the headache and financial burden of fixing identity theft on your own, while also trying to balance life’s other responsibilities.
Disclaimer: This content is not provided or commissioned by the companies referenced in this article. Opinions expressed here are the author’s alone and have not been reviewed, approved or otherwise endorsed by the companies mentioned. We may be compensated through advertiser affiliate programs.