Identity Theft

Many of us are familiar with stories of identity theft involving someone we know. I have experienced it on a minor level, and it's possible you have too, perhaps without realizing it.

Identity theft insurance helps cover the costs associated with restoring your identity. While policies can vary, typical coverages include:

• Loss of wages

• Notary fees

• Certified mailing fees

• Public records searches

• Monitoring chat rooms and black market websites for information

However, these policies typically do not cover the loss of funds from your accounts. Is this coverage necessary on your home policy? Not necessarily, as many financial institutions have incorporated such protections into their services for a fee.

I advise freezing your credit file to prevent unauthorized access until you choose to use it, at which point it can be unfrozen. This can be managed through the Experian app and similar platforms. Additionally, consider using a free credit monitoring tool like Credit Karma to keep track of any unauthorized loans or credit cards. Regularly review your bank statements, as thieves often start with small transactions, such as $5 purchases, before gradually increasing the amounts.