Identity Theft Protection Comes with Some Home Insurance Policies

7/7/2010

Homeowners who spend extended periods of time away on vacation or traveling on business may want to check whether their current home insurance policy offers any protection against identity theft.

This is because burglars are increasingly targeting computers and financial documents as well as valuables when they break into a home, and for consumers, the cost and inconvenience can be considerable.

According to the Insurance Information Institute (III), some home insurance companies will offer identity theft protection as part of a standard policy, while others sell it as an endorsement or stand-alone policy that typically costs less than $65 per year.

Identity theft protection under a home insurance policy would generally cover a variety of expenses incurred while trying to resolve the matter, including lost wages, notary costs and phone bills.

The III points out that standard homeowner insurance policies will cover losses due to theft of personal possessions, as well as damage to the house that is caused by a break-in. The insurance organization also notes that another option for home insurance customers is replacement cost coverage, where property can be replaced without accounting for depreciation.

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