When it comes to voluntary benefits, you might think of dental, vision and life insurance. But have you considered offering identity theft protection to your employees?
What is Identity Theft?
Identity theft is the attempted or successful misuse of an existing account, such as a debit or credit card account; the misuse of personal information to open a new account; or the misuse of personal information for other fraudulent purposes, such as obtaining government benefits.
With the very public breaches and reports skyrocketing over recent years, identity theft is on the minds of many consumers. And for good reason. According to the Aite Group, 47 percent of Americans experienced financial identity theft in 2020 and this number is expected to grow in 2021. More facts and statistics can be found here.
Why Offer Protection to Employees?
To help combat this growing digital dilemma, more carriers are offering identity theft protection as a voluntary benefit. Unlike some of the other voluntary benefit options, identity theft appeals to all facets of your employee population because everyone has an identity to protect. 60 percent of American believe it is likely that identity theft will cause them a financial loss in the next year, according to new research conducted by The Harris Poll on behalf of AICPA. Employers can help employees feel more secure by giving the option to purchase identity theft protection through payroll deduction.
From a productivity perspective, an employee who is a victim of identity theft and trying to address the resulting problems is unlikely to be fully focused on his or her work. However, identity theft coverage can help them stay protected so the chances of a breach are drastically reduced. If one does happen, the policy can also help minimize the time, expense, and hassle it takes to deal with it by providing benefits for legal fees and lost funds.
You’re all about finding ways to retain and engage employees, while also managing financial risk. Offering identity theft coverage is one of them.
If you’d like to learn more, contact:
Richard Godshaw – VBS
Vice President, Group Benefit Solutions