If you do not love the insurance business, you have to respect it: It sells nothing more than peace-of-mind at a guaranteed profit. Insurance is gambling's good twin: You lay some money on the table, and in case something bad happens, you "win," beating the house (the insurance policy writer). Insurance is one of the best businesses around.
As is the case with gambling, the odds are heavily stacked against the customer, the policy holder. Insurance companies use mind-boggling math to generate actuarial tables that guarantee that they will profit. The payouts will always total less than the premiums paid in.
You buy insurance for your family's peace of mind, but the chances will always be stacked against your needing it.
Think about fire insurance. About 400,000 house fires happen in the United States every year. That sounds like a lot (and it is too many), but the reality, is that in a country with over 100 million private residences, the chances are only .4 percent that any given house will be lost or damaged by fire. If you live to 200, there is a good chance that your home will burn down at some point during your lifetime. Even so, you gladly pay a premium every month for fire insurance just for the peace of mind. Insurance companies make out like bandits by playing good odds.
The odds of becoming a victim of identity theft are quite high. The FTC estimates that in 2009 over 10 million people will become brand new victims of identity theft. In other words, the chances of becoming an ID theft victim are roughly three percent, 10 times higher than the odds of any given house burning down. That is why there is no such thing as identity theft insurance, as big a problem as the crime is.
Much like flood insurance for those who live next to a river, it will be difficult or expensive to obtain ID theft insurance. In the area of traditional insurance, there is little to protect us against a real threat! Oh, sure, fraud insurance is available, but not identity theft insurance.
Give those insurance companies credit for being smart!
Fortunately, proven ways to protect your family and yourself from identity theft exist. Products have been developed to help families monitor their identities. This is the only defense because if your identity is stolen, early detection is your best bet for quick and easy resolution. The best of these products even have fraud insurance built in.
The best part? You can protect your family for less than ten bucks a month!
You would not walk your family down a dark alley in a bad neighborhood unprotected. Do not walk them down the dark alley of identity theft! Get more information and
protect your family!!
