Hr Idt Presentation Employee Version

America’s fastest growingwhite collar crime*

* 2003 FTC Report

youCould

be at risk?youCould

be at risk?

Dan CassinDan Cassin

CITRMS, CLTFDCITRMS, CLTFD

What is Identity Theft? The Cost of Identity Theft Industry Response The Best Answer

The Facts

What is Identity Theft?

IDentityTheft



Drivers License Identity Theft

MedicalIdentity Theft

Financial Identity Theft

Identity Theft is not just about Credit Cards!ID Theft is an international crime and access to an attorney may be critical

Social Security Identity Theft

Character / Criminal Identity Theft

Five Common Types of Identity Theft


Driver’s License Identity Theft

Thieves use your information to acquire a driver’s license in your name or claim to be you during a traffic stop

♦ You could receive DWI, DUI, and other driving-related charges

♦ Your driving privileges could be suspended or revoked

♦ You could be arrested during a routine traffic stop for crimes you did not commit



AARP Bulletin, February 2004

“An 82-year-old grandmother, quit driving during the Truman administration.” In 2001 she “suddenly found herself in what she describes as a ‘living hell’ after one of her neighbors, arrested on drunk-driving charges … pretended to be her. ‘I was told there were warrants for my arrest … I was afraid to answer the phone’.”

Social Security (SSN) Identity Theft

Thieves use your SSN Identity to gain employment or to report income under your name


Your SIN in Canada

♦ Thieves take the income, but don’t pay the taxes, leaving you with the bill

♦ Wanted criminals use your SSN Identity so they can get employment without being found

♦ Illegal immigrants use your SSN Identity to gain employment.

♦ Thieves and Criminals use your SSN for employment, medical, financial, criminal, school, and other purposes.


MSNBC, January 29, 2005

A Chicago woman “applied for a job at a local Target department store and was denied. The reason? She already worked there – or rather, her Social Security number already worked there. Follow-up investigation revealed the same Social Security Number … used to obtain work at 37 other employers.”

The Secret List of ID Theft Victims

“People need to wake up to this problem. They are destroying people’s credit, Social Security benefits, and everything else.”

Medical Identity Theft

Thieves use your information for insurance benefits, Rx, Medicare, Medicaid benefits, or for medical tests


♦ Your rates could go up or your coverage could be cancelled or used up

♦ You could owe thousands of dollars for a procedure you never had

♦ You could be unable to obtain medical or life insurance, other coverage, and/or employment because of conditions that you do not have (AIDS, Diabetes etc…)

Character / Criminal Identity Theft

♦ You could be arrested

♦ You could be denied employment because of fraudulent criminal records found during routine background checks

♦ Security checkpoints at airports could become a nightmare for you

♦ You could be denied a passport and be barred from leaving the country

Thieves mask their criminal activity behind your identity


Financial Identity Theft

♦ Thieves rob your accounts

♦ They rack up outrageous charges on credit cards, take out new loans, etc.

♦ They destroy your credit, forcing you to pay higher interest rates

♦ You can absolutely be held responsible for the debts incurred by the thieves in your name

Thieves use your information to open new accounts or to gain access to existing accounts



*Pg. 19

“The Fair Credit Billing Act establishes procedures for resolving billing errors on your credit … accounts … To Take Advantage of the law’s consumer protection, you must:”

•send your letter so that it reaches the creditor within 60 days. If an identity thief changes the address on your account and you didn’t receive the bill, your dispute letter still must reach the creditor within 60 days of when the creditor would have mailed the bill.”* … or you owe the money.

See page 13 for additional information


MSNBC, February 2004

ID Theft Victims Face Tough Bank Fights*

• In 2003, The Korinke family was sued by Homecoming Financial Network INC., a division of GMAC, for $75,000, plus attorney fees.

• In 2001, an imposter got hold of a line of credit, switched the address, and the Korinkes never received the outstanding bills.

• Homecomings … claimed the Korinkes had been negligent. “The Korinkes were slow to discover and report the identity theft … as such, Korinke is liable for any and all sums attributed to his negligence.”**

• Korinke’s attorney said “ victims who don’t have the means to find a good lawyer, may be losing out in battles with financial institutions.”***

*2/18/04 ** Pg.2 *** Pg. 3

“Each year, 7 to 10 millionAmericans fall prey to Identity

Theft… From massive data-brokerage firms

to tiny local banks, your identity

is irretrievably ‘out there.’ ”


- MSNBC

Feb '09 FTC reported 2008 ID Theft reports up 22%Feb '09 – FTC reports ID Theft reports up 22%Feb '09 – FTC reports ID Theft reports up 22%

Over 9.9 million people reported IDT Over 9.9 million people reported IDT


The DataBased You

Meet The DataBased You

™

™


Your Name1000’s of aggregators

Your Fingerprints and DNAFBI, State, and Local DBS

Your Insurance ClaimsC.L.U.E. DBS, etc...

Your Military RecordDOD DBS

Your Criminal HistoryNCIC DBS

Your Real Estate DeedsClerks of Court DBS

Your Legal HistoryState and Federal Court DBS

Your Credit HistoryCredit Repositories’ DBS

Your Birth CertificateChoice Point DBS, State, etc

…Your Phone Number and Tracking Info

1000’s of aggregators

Your Social Security NumberSSA DBS

Your Address1000’s of DBS

The DataBased You™

Your Driver’s License # and Record – DMV DBS

Your Medical RecordsMIB DBS, etc …

Your Car Registration & InfoDMV, Local Treasurer, On Star, etc … DBS

Lost, Hacked, or Stolen… Notables

You can’t control The DataBased You

ChoicePoint: 145,000

CitiFinancial: 3.9 Million

MasterCard: 40 Million

AOL: 92 Million

Veterans Admin: 26.5 Million

Bank of America: 1.2 Million

TJX: 46 Million

™What is Identity Theft?

So many laptops … we lost count i.e. Hotels.com (Ernst & Young)


*MarketWatch, October 2, 2005

“Identity thieves are increasingly finding their jackpot is not in your

mailbox or kitchen trash bag, but the computer files stored at your

chiropractor, accountant or doctor … the future is not burglaries of your home, but of dentists, CPA’s, insurers etc …”*

ID Fraudsters Stay One Step Ahead

The Facts

The Cost of Identity Theft

IDentityTheft



The Cost to IndividualsThe average dollar amount charged

in Identity Theft: $92,893

The average number of checks written in Identity Theft: 74.6

The average number of credit card applications approved through Identity Theft: 8.4

Laws hold victims partially responsible for fraudulent debt after 48 hours, and hold them fully responsible if not reported within 60 days…


Concerns of American Consumers


Concerns of American BusinessesSecurity & Privacy Challenges Facing Business Leaders Today

Customer and Vendor ID/ Data theft. Computer/ Paper Data loss and theft. Noncompliance with federal and state

data protection laws.[fines & penalties] Loss of trust ... and customers. Employee fraud and theft.

(50+% of data breaches) Costly lawsuits based on sloppy security practices. Computer damage from viruses, hackers, intruders, even

employees.

Source: Privacy & American Business.


The Cost to Businesses IIEmployees take time off, sick days,

even vacation days, to deal with Legal issues; how much more will they take off for IDT?

Studies show nearly 80% of employees with a legal problem won’t seek legal help out of fear of the system and expense. Yet 7 of 8 employees had at least 1 potential legal issue. And 50% had more than three.*

“When when dealing with ID Theft, as with any Legal matter; employees are laden with

worries, seek pity from co-workers on the job and talk on work-phones with Police, creditors,

families and friends about their loss.” – Dan Cassin, CITRMS


*Survey by FindLaw.com August, 2002

“People whose identities have been stolen can

spend months or years and thousands of dollars cleaning up the mess the

thieves have made of their good name and credit

record”“When Bad Things Happen to Your Good Name” - September 2002, Federal Trade Commission


According to the USA Today, Identity Theft is

the number one criminal concern for law

enforcement over the next decade.


- USA Today

“Thieves are so bold that they held a

conference in Kiev, Ukraine, for people interested

in breaking into this Growth Industry”


- USA Today

The Facts

Industry Response

IDentityTheft



Reimbursement Policies (ID Theft Insurance)

♦ They do not monitor and some ID Theft issues cannot be corrected after the fact (such as your arrest records, etc...)

♦ You must pay out of pocket first (up to $25,000 in some instances), then file a claim, and then hope for an underwriters approval for reimbursement. This process can take weeks or months and be very frustrating …

♦ Your insurance agent does not do the work for you…

♦ You carry the full burden of clearing your name…

These policies play a part, but they only help after you become aware of the theft…

Reimbursement policies do not pay for the fraudulent losses, yet many think they do…

Industry Response

Monitoring Services

♦ Monitoring helps primarily with FinancialIdentity Theft, not other data monitoring.

♦ Monitoring services often cover only the accounts you have with the company offering the service

♦ Monitoring services do just that, Monitor. They notify you that the nightmare is beginning but do nothing to help you recover. The real headache associated with Identity Theft is the cost of the 600 Hours* it takes you to restore your identity.

Monitoring credit activity is the single best method available to detect identity theft, but…

Industry Response

* USA Today, January 2005

Resolution Services

♦ These services only provide guidance, leaving you to clear your good name

♦ It takes you an average of 600 hours

of work to clear your name, if you can

Resolution Services provide phone consultation for you, which is vital.

but it is not enough… Professionals steal identities. Doesn’t it just make sense to have professionals restore your identities?

Industry Response

Restoration Services

♦ Restoration means that experienced professionals — not you — do the work to clear your name

♦ These services can save hundreds, to thousands of hours of effort …

Restoration Services provide tremendous relief to you

Industry Response

Restoration Services provide incredible support, but they don’t include monitoring services or legal advice, particularly 24-hour legal access in the event you are being arrested for crimes you didn’t commit.

The Best Answer

An Identity Theft –Legal Benefit Plan

for your Family and your Business

similar to a Medical, Dental Plan

IDentityTheft

The Best Answer



Access to Legal Counsel

Professional Restoration

ServicesThree Areas of Coverage for ID Theft

Continuous Credit Monitoring

The Best Answer

Identity Theft Protection

5 Areas of Coverage of the Life Events Legal Plan

VehicleDefense Legal

Counsel

Fed Audit Tax/ Legal Counsel

On All Other Legal

Counsel

2525%%

DiscouDiscountnt

The Best Answer

Pro-activeCalls/ Ltrs

& LegalCounsel

Trial DefenseCounsel- 60 hrs

The Legal Shield membership will not apply if the member is alleged to be under the influence of or impaired by alcohol, intoxicants, controlled substances, chemicals or medicines, whether prescribed or not; the member is alleged to be involved with domestic violence or stalking; and/or assistance in making, posting, or obtaining bond, bail or other security required for release. Check benefit availability in your state.

Legal Shield

The Legal Shield gives your family 24-hour access to legal advice for only $1 a month for the following situations:♦ If you are detained by a law enforcement officer♦ If you are injured in an accident♦ If authorities attempt to remove your

child from your home or custody♦ If you are served with a warrant

To contact your Provider Law Firm, simply call the toll-free number on your Legal Shield card. You will reach the Pre-Paid Legal offices, who will then put you in contact with your Provider Law Firm, so you can consult with an attorney about your detainment. It’s that easy. [DNA in DUI, Criminal Activity.]

The Best Answer

ID TheftMonitoring

Services

Life EventsLegal Plan w/ Legal Shield

Identity Restoration Services

You

A Complete Wall of Security

The Best Answer

Pre-Paid Legal Services®, Inc. and Kroll Background

America provide The Best Answer:

Harland C. StonecipherCEO and Founder,Pre-Paid Legal Services, Inc.

SHIELDIDentity Theft

TM

with the Pre-Paid Legal Employee Benefit Plan

The Best Answer

Pre-Paid Legal Services®, Inc.is the only company with a suite of

products that provides help in every phase of Identity Theft – before, during,

and after the crime occurs…

The Best Answer

A 35 year old Company A 35 year old Company NYSE: PPDNYSE: PPD

Pre-Paid Legal Services®, Inc.and subsidiariesThank Thank

You!You!

Your Next Steps: Talk w/ Dan Today

1.Sign up for Identity Theft Legal Plan.

2.Get your WILL done ASAP.

3. Call your Attorney with any questions.

The Best Answer

Documents

Hr Idt Presentation Employee Version