The Federal Trade Commission estimates that 10 million consumers were victimized by some form of identity theft in the past year. Victims lost $5 billion because of this crime and spent an average of 30 to 60 hours cleaning up the problem. To help consumers protect their assets and victims restore their good names and credit, General Casualty is introducing Identity Fraud Expense Coverage.
“Agents and insureds are asking for this protection, and the statistics show that it’s becoming a more prevalent issue,” said Norbert Pulver, General Casualty’s personal lines product analyst. “As insurance professionals it’s our responsibility to address our customers’ concerns and help make sure they’re adequately protected.”
For a nominal fee, policyholders will be covered up to $15,000 for costs associated with repairing their credit. This could include the cost of fixing credit records, reimbursement of lost wages, long-distance phone calls, certified mail and attorney fees. It carries a $250 deductible and does not include costs for items that were illegally acquired using a victims’ identity, since they are rarely held liable for these. The coverage is an endorsement to General Casualty’s primary homeowners, renters and condominium insurance programs.
It becomes available in Wisconsin Dec. 1 and Illinois on Jan. 1. It will be introduced in all of the company’s states of operation throughout 2004 (subject to regulatory approval).
For more information please contact Anne M. Smith.