American Family expands product line with identity fraud coverage

Madison, Wis. (Jan. 12, 2004) - American Family Insurance has added identity fraud coverage to its list of homeowners insurance products, the Madison-based insurer announced today.

"Identify fraud is a growing concern for our customers," says Vice President of Personal Lines Joe Zwettler. "This new product allows us to expand our promise of insurance protection, meet customer demand and stay competitive in the marketplace."

American Family policyholders can purchase identify fraud coverage as a separate endorsement to their homeowners policy. The endorsement, which costs $25 per year, provides up to $15,000 in coverage for expenses the policyholder may incur to address acts of identify fraud.

Covered expenses include attorney fees, loan reapplication fees, telephone and certified mail charges, notary expenses and lost wages for time taken off work to correct the fraud.

The endorsement does not provide reimbursement for expenses charged by the thief under the policyholder's name, such as credit card purchases or loans. These expenses are usually absorbed by banks and other credit grantors.

Following are several tips from the Federal Trade Commission (FTC) to help prevent identity fraud:

• Do not give out your Social Security number unless absolutely necessary, and do not carry your Social Security card.
• Obtain a copy of your credit report from each of the three major credit bureaus - Equifax, Experian and TransUnion - annually.
• Do not give out personal information on the phone, through the mail or over the Internet unless you initiated the contact or you know who you're dealing with. If you do give out personal information, find out how it will be used and secured, and whether it will be shared with others.
• Shred all personal documents before placing them in the trash.
• Keep your financial records out of sight at home, in addition to your purse or wallet. Burglars are sometimes just as interested in credit card and bank statements as they are in cash, jewelry or TVs.
• Do not use easily deciphered account passwords, such as your mother's maiden name or children's names.
• Pay attention to your billing cycles and follow up with creditors if your bills don't arrive on time.
• Mail all payments at the post office and pick up new checks at the bank. If these are left in an unprotected mailbox, a thief can scoop them out and easily obtain your financial information.
• Carry only the credit cards you plan to use and cancel those you don't use, cutting up old cards before discarding.

If your identity is stolen, immediately notify all creditors and financial institutions (in writing and by phone) that your name and accounts have been used without your permission. Report the crime to local police and the FTC. Ask utility companies to watch out for anyone ordering services in your name. Close any accounts that have been tampered with. And contact the fraud units of the three credit reporting agencies to request the placement of a fraud alert on your credit report.

Contact

Ken Muth
Media Relations Director
American Family Insurance
Tel: (608) 242-4100, ext. 30680
E-mail: mediarelations@amfam.com