Private Medical Data of Thousands of Blue Cross Patients Exposed

A mailing error for Blue Cross and Blue Shield of Georgia has put thousands statewide at risk of identity theft. Blue Cross reportedly sent over 200,000 benefits letters containing personal and health information to the wrong addresses last week. The letters in the erroneous letters were primarily Explanation of Benefits letters containing an ID number, the name of the provider, and amounts charged and/or owed. Blue Cross claims that only a small percentage of the letters included Social Security numbers.

The security breach was caused by a change in computer system that had not been properly tested. Blue Cross must send a written notice to those whose names were on the list, and they are in the process of removing Social Security numbers from future mailings.

As you can see, security breaches come in all shapes and sizes. This one was caused by the careless use of an untested computer system. Even though Social Security numbers were not on all the letters, ID numbers and health care information can expose people to potential medical identity theft, where someone can use their information to obtain medical care.

New Phishing Scam Targets Investors

Sometimes it seems we receive phishing emails that seem to be fairly random. I can't count how many emails I've received supposedly regarding my account at a bank I've never heard of or a business I've never bought from. They seem like a shot in the dark hoping to find a customer of this bank or business who might fall for this scam. However random phishing scams may seem, they are try and target a certain group, and this new one is targeting investors.

According to U.S. Insurance News, investors should be warned about emails being sent on behalf of Securities Investor Protection Corporation (SIPC). The emails claim to be from a senior investment advisor who is looking to return funds to the investor by having them file an investment claim with a fake form. The form asks for specific information that would allow the scammer to withdraw funds from the investor's account.

SIPC says that these emails are from scammers and anyone receiving these emails should forward them to SIPC for investigation. Never provide account information without 100% certainty that the request is legitimate.

School Replaces SSN Identification with Hand Scans to Prevent Identity Theft

Many have wondered if perhaps biometric identification is the answer to preventing identity theft. At least one university is putting that to the test. Middle Tennessee State University is assigning new identification numbers (instead of Social Security numbers) and requiring hand scans for identification.

The school is requiring both for access to some of the university's facilities including the new recreation facility. The university stopped stopped printing Social Security numbers on ID cards years ago although some professors still had them. The new ID numbers and hand scans are moving them further from the Social Security number identification system and will hopefully aid in the prevention of identity theft.

The matter has been discussed in a number of resources on identity theft. Biometric identification is one method being seriously considered. Whether or not it will prevent identity theft on the level experts are hoping for remains to be seen. However, the method MTSU with both the identification numbers and the hand scan together is fairly limited in its use, so this appears to be a positive step for protecting both faculty and students.

Most Bank Websites Do Not Protect You from Identity Theft

Don't you love the convenience of banking on the Web? I know I do. And when I signed up, my bank's manager was raving about how secure it was. However, a recent study at the University of Michigan made me more than a little concerned.

According to the study, more than three quarters of all bank Websites have design flaws that can expose users to identity theft. Some of the flaws include login boxes or security and contact information placed on insecure pages, allowing insecure IDs and passwords, and emailing sensitive information insecurely as well as others.

Some of the issues have been addressed since their discovery, but there is still a lot of work to be done. The problems become an issue only if you are logging in from an insecure network. So one major way to protect yourself from identity theft is to log in only from your home computer with a secure cable or DSL connection, not at a coffee shop with an open wireless connection.

JG8D69D

Medicare Cards Put Seniors at Risk of Identity Theft

While a great deal is being done by both academic institutions and private businesses to remove Social Security numbers from ID cards, apparently not everyone is moving quickly on this issue. And while the government passes laws to prevent identity theft and punish identity thieves, they also contribute to it by leaving Social Security numbers on ID cards.

Many seniors have expressed concern over the years about identity theft since their Social Security numbers being displayed on their Medicare cards. And they have every right to be concerned. Apparently, Congress has caught on to this concern as well because they are introducing legislation to have Social Security numbers removed from Medicare cards.

In the mean time, the best remedy is not to carry your Medicare card with you. Yes, they encourage you to carry it at all times, but they say the same for Social Security cards. But you shouldn't be carrying that around either. Unless you are seeing a new doctor or traveling outside the country, you shouldn't need your Medicare card. Make a copy of it and black out all but the last four digits of your Social Security number. That should serve as enough for identification purposes.

Data Breaches Up 69% From 2007

Consumers should always be vigilant when it comes to keeping private information private, but as we all know, we can't completely prevent identity theft ourselves because we can't control how the companies and people we work with handle our information. Data breaches are primary examples of situations beyond the consumer's control. And according to the Identity Theft Resource Center, it's a growing problem. The ITRC Data Breach Report for 2008 reached 342 (between January 1 and June 27), which is 69% higher than the same period in 2007. The number may actually be higher since some companies don't report breaches and some single breaches affect more than one company.

The list is further broken down into subcategories such as government/military agencies, educational institutions, general businesses, health care companies, and banking/credit/financial services. The Identity Theft Resource Center has made its data breach reports available in pdf format for consumers to read.

Obviously, when companies report these breaches, they don't know whether or not the information has been used for identity theft or not. If a company you do business with announces a data breach, it would be a good to monitor your credit reports for several months just in case your information has been used fraudulently.

Online Games on Social Networking Sites Can Lead to Identity Theft

I've made multiple posts regarding social networking sites like MySpace and Facebook, and why you should keep your private data private. You should be especially cautious with online gaming accessed through these sites. If you are asked for any private information like your Social Security number or date of birth in order to play a game or gain points, this is a clue that there may be more here than meets the eye. There is no reason why you should have to provide this information to play a game.

The teenager in this news report learned this the hard way. He was downloading and playing games online from his Facebook page. One game offered extra points if he filled out an application that asked for, among other things, his Social Security number. The trouble began after he provided this information and his mother received a call regarding his "credit card application."

This is not an isolated incident. Parents need to educate their children about identity theft. Young people who know what information not to divulge online and why will be less likely to fall for a scam such as this one.

Graduates Easy Identity Theft Targets

Whether it's high school or college, graduation is always an exciting time for anyone, but according to a recent report, it's not a time to be too carefree. After all, graduates fall into the age group (between 18 and 29 years old) at high risk of identity theft. In fact, one third of identity theft victims fall into this age group.

One reason is that this age group tend to be less vigilant about protecting credit data and private information. They are more likely to divulge information online, and they think that since they don't have established credit records that no one would want to steal their identities. But as we know, it's easy to obtain a credit card, even if you have no credit.

As a recent graduate, you need to be more vigilant. The article mentioned above includes some very good tips for graduates regarding protecting your identity including shredding junk mail and credit card offers, keeping your Social Security card safe, and not carrying cards you don't use often.

Identity Theft Involving ATMs Increases

We should always be cautious at ATMs. My post on shoulder surfing gave just one reason. However, a recent news report should remind us to be extra vigilant not only about who might be watching but about which ATMs you use. Identity theft involving ATMs is increasing, and the ones you find in convenience stores are the biggest problem because they are easiest to tamper with.

According to the report, the use of skimming at ATMs in stores and other public places is on the rise. While they may seem convenient, especially when you need some quick cash at a store or restaurant that only accepts cash, they may have a skimmers attached to them. Is the convenience worth having your bank account information compromised? The best way to avoid this problem is to only use bank-owned ATMs. While they may not be perfect, they are more secure when it comes to protecting your private information.

You should always be cautious when using ATMs, but you save yourself a lot of trouble upfront if you use your bank's ATM or one owned and operated by another reputable bank.

Major Rise in Tax-Related Identity Theft

According to a news report regarding the Internal Revenue Service, tax-related identity theft has grown several times over a four year period. National Taxpayer Advocate Nina Olson reports that her office handled 644 percent more identity theft cases for 2007 than they did for 2004. Identity thieves have used stolen Social Security numbers to obtain fraudulent employment or refunds.

However, the IRS's efforts to combat the problem seem to be doing more harm to the victim than good. One of these efforts includes delayed or frozen refunds for legitimate taxpayers or collection actions against them.

Clearly, the IRS stands to lose a lot from identity theft, and more preventive measures need to be taken. However, punishing the victim for the crime is not the answer.

Identity theft and vacations

With summer in full swing, now is the time families will take vacations since the kids are out of school. However, being away from home can leave you can be just as vulnerable (actually, more so) to identity theft. There are extra precautions you should take during your vacation time to protect your identity (and the identities of your family members) from identity thieves.

This article on MarketWatch gives a few helpful tips regarding protecting oneself from identity theft while you are away from home (especially when traveling outside your home country). These should be used whether you are traveling inside or outside your home country (especially the point regarding leaving a wallet or other key identifying documents in the hotel room. Cleaning staff and other hotel staff have access to rooms, and not all of these people are going to be trustworthy.

I'd like to add a few more that my husband and I have used while traveling. One thing we keep in mind is that the villains will not just be abroad. We can be victims of identity theft in our hometown while we are away from home, so we take some preventative measures. First, if you have a subscription to a local newspaper, either temporarily cancel it or have a trusted neighbor pick up your copy of the newspaper (preferably in the morning). Nothing clues in a potential thief (identity thief or otherwise) that you are away from home than a pile of newspapers collecting on your porch.

If an important bill is scheduled to arrive during your absence, either call the post office and ask them to hold your mail or have a trusted friend or family member pick it up. (Make sure this is someone you trust. Friends and family members can be identity thieves too.) A mailbox full of mail will be an easy target for mail thieves.

Take extra precautions to protect yourself and your family from identity theft while traveling. It will make your vacation experience more pleasurable with fewer hassles to deal with when you return.

Credit Card Companies and Identity Theft

I know this is a touchy subject, and there are companies that may not appreciate this post. However, when I saw this press release, I felt it appropriate to post. One of my first posts on this blog referred to the elimination of junk mail, particularly pre-approved credit card offers, as a way to prevent identity theft. Apparently, the targets vary, and in the case of the press release, people who have spent extensive time in the hospital have become targets for identity theft. Of course, who better to target than someone whose primary concerns are their health, not their credit? Who knows how long it will be before the theft is discovered, if they even survive?

And who is being blamed? Major banks and credit card companies offering free credit to just about anyone without verifying the identity of the person applying. It's as simple as mailing in a form, filling in an online request, or making a phone call. Lending and issuing credit, after all, is quite profitable. And what about those of us affected by identity theft? Cost of doing business perhaps.

A lawsuit is going on to hold these banks issuing the credit responsible.

NextAdvisor Provides "MySpace Identity Theft Protection Guide"

I posted quite a while ago on the dangers of identity theft with social networking sites, particularly one for MySpace, which is the most popular of these sites. I gave a few tips regarding protection of privacy on these sites and how to avoid identity theft on these sites. The danger will always exist as long as some people use these sites dishonestly. Thankfully, there are companies that provide information promoting online safety, and some even make this information available for free.

NextAdvisor, for example, has released a MySpace Identity Theft Protection Guide, which they have made available on their blog for free. This along with their Facebook Identity Theft Protection Guide provide useful guidelines for using social networking sites safely. The tips in these guides should help MySpace and Facebook users keep their time online safe, private, and fun, although I don't completely agree with endorsing and encouraging identity theft protection services.

Some of the information may seem like common sense, but the guidelines would not be necessary if people have not been careless about protecting their identities on MySpace.

Another Identity Theft Scam: Smishing Scam

Since scammers tend to pattern new scams as variations of existing ones, these fraudulent activities tend receive similar names as well. By now most of us are familiar with phishing scams, and yesterday I introduced vishing scams to those who were not already familiar with them. Now, the next "offspring" of the phishing scam is called smishing (I wouldn't have believed it if I hadn't seen the term myself). This particular scam involve text messaging on cell phones. The fraudsters send text messages to cell phone users asking them to verify personal information or to sign up for a service with their cell phones (by the way, these so-called services contain viruses).

With increased technology comes not only increased convenience but also responsibility to educate ourselves in the realm of security. Identity theft is growing, and the methods used to commit identity theft increase as technology makes it easier. By all means, use the technology at your disposal, but do so with caution.

If you think you might be a victim of smishing (or vishing for that matter), do not hesitate to report it.

Vishing Scams on the Rise over the Past Few Years

Apparently, a new form of identity theft scam that has surfaced a few years ago is on the rise. I've posted in the past about phishing scams, and these slightly newer variations of these scams are quite similar. The scams are called vishing scams, or VoIP phishing scams. It involves scammers using VoIP telephone numbers to trick consumers. The most common scenario involves a recorded message from a so-called credit card company saying there is a problem with your account and asking you to call back. When you do call the number (which is a VoIP phone), you are asked to put your credit card information into the system, therefore providing information the scammer needs to steal your identity.

I've emphasized this before, and I'll say it again. Be suspicious of any company asking for credit card information through an email or voice mail message. Legitimate companies don't operate this way. You make identity theft so much easier when you willingly hand over information.

Could new cell phone legislation pose identity theft threat?

While some legislation works in favor of consumer privacy (or attempts to), other laws slowly peck away at the privacy that should be yours. Some of you may have heard that the Committee on Telecommunications, Utilities and Energy has approved legislation requiring those who sell prepaid cell phones to photograph or photocopy one or more forms of identification. This includes the store keeping record of the name and address of the purchaser for two years as well as the serial number and manufacturer of the phone and the cell phone number.

Could this pose a possible identity theft threat? Absolutely. You're leaving a copy of at least one identifying document, including your name and address with a retailer, which means employees of this retailer (some trustworthy, others possibly not so trustworthy) will have access to this information. Identity theft is definitely a possible problem here.

Granted, this is to help track down phones that are used for criminal purposes then (probably) discarded, but there has to be a way to do this without endangering the identities of honest people who also purchase these phones.

Two Million in Danger of Identity Theft after Records Are Stolen

This may seem ironic following the post regarding data breaches, but this honestly wasn't planned. This particular data theft, though, was of the low-tech variety. According to a recent news report, the billing records of more than two million people was stolen at the University of Utah Hospitals and Clinics. The theft occurred when backup information tapes were taken from a vehicle when a courier failed to take them to a storage center.

The records were said to include the Social Security numbers of more than one million people treated at the university over the past 16 years. It is reported that all those in danger of identity theft would be notified by letter, costing about $500,000 just for stamps and envelopes. The hospital has also pledged free credit monitoring. The courier, as you may have guessed, was fired.

Yes, carelessness with delicate information is costly to everyone involved. There is no guarantee that the thief was able to access the inf0rmation on the device, but that is little comfort to those who trusted the hospital with this information. While the hospital is paying quite a cost to warn its patients, any patients whose data may have been compromised may be paying as well (identity theft can take months or even years to recover one's financial status and credit). We can only hope that everyone was notified before any serious damage was done.

Could data breaches be prevented?

According to a report by Verizon Business, almost nine out of ten corporate data breaches could have been prevented if appropriate security measures been taken. The 2008 Data Breach Investigations Report covers a span of four years and over 500 forensic investigations, including three of the largest data breaches ever reported.

Some of the findings include the fact that only 18 percent of data breaches come from insider threats while most came from outside sources. Third parties discovered 75 percent of the data breaches, not the organizations that were victimized, and they can go undetected for a lengthy period. The study goes on to not only give statistics and insights behind these data breaches, but also goes on to offer companies recommendations for prevention of data theft.

While not all of the information turned up in the Verizon Business study will be surprising, prevention is key to companies looking to protect customers and associates from identity theft, and the information revealed in this study can provide guidelines for protection of private data in the future.

Relaunch of Identity Theft: Are You at Risk?

Greetings to all those concerned about privacy and identity theft. As you can guess from the title of this post, I am announcing the relaunch of Identity Theft: Are You at Risk? after a long hiatus dealing with personal and career issues. I am now back to post news and resources regarding identity theft and personal privacy.

For anyone who has a request regarding a topic or a question, I have set up new email address especially for this blog, which you can view on my profile. Please feel free to ask questions or drop me a line.

Thank you for reading

Credit Freeze to Help Prevent Identity Theft

The credit freeze is one of the best tools you can use to help prevent identity theft. A credit freeze allows you to lock the data in your credit report at the credit reporting agency until you give them permission to release it. Without access to your credit report, an identity thief will have a lot of trouble gaining credit in your name.

Until recently, a credit freeze could only be made possible by state law, and you could not block your credit report if you did not live in a state that allowed it. However, starting in October, two of the big three credit reporting agencies will allow you to freeze your credit report no matter what state you live in. TransUnion and Equifax will let you obtain a credit freeze, and you don't have to be an identity theft victim to do so. But you will have to pay for it.

This is definitely a great way to help prevent identity theft, but it will only be effective if Experian offers a similar credit freeze service. In the mean time, if you live in one of the states that allows a credit freeze, you can have a credit freeze if you are a victim of identity theft or if your information has been compromised. This will give you control over who can access your credit report at all three agencies and will help you prevent identity theft if it hasn't already happened.