Burglary, stolen wallets and IDs are top causes of ID fraud
Burglary, stolen wallets and pilfered identifications continue to top the list of the most common known causes of identity fraud for Travelers Insurance customers, accounting for 76 percent of all cases, according to a comprehensive study of its 2009 claims data.
The findings mirror last year’s report on Travelers’ 2008 claims data which indicated that the majority of identity fraud cases reported by customers were from burglaries and stolen wallets. This underscores how thieves still prefer more low-tech means of identity fraud over online-related thefts and data breaches that garner significant media attention.
“This study suggests once again that more traditional means of identity fraud are prevalent today and continue to pose significant risks to consumers,” said Joe Reynolds, Identity Fraud Product Manager for Travelers, in a statement. “Knowing this, it is critical that consumers take steps to protect themselves and their property.”
Travelers identified the following as the top known causes of identity fraud for its customers:
- 76 percent – burglary and theft of wallet/purse/personal identification/computer
- 9 percent – online or data breach
- 9 percent – forgery
- 6 percent – change of address/postal fraud
The study also revealed what criminals do with the stolen information. According to the Travelers study, 74 percent of the time criminals use the stolen personal information from Travelers customers to open new credit card accounts or use the existing credit cards to make charges. Of that 74 percent, 26 percent of identity thieves access existing credit/debit cards, 21 percent open new cards and make charges in the victim’s name, and 18 percent access and withdraw funds from existing checking, savings and online retail accounts.
