I bought some items shopping online, and my credit card information was stolen. Am I covered for this under my homeowners policy?

When it comes to e-commerce, it can be difficult to determine if a home insurance policy is appropriate for the situation. Although shopping online may be covered by some insurers, your homeowners policy may limit the amount that is available or may not provide coverage for certain situations.

Coverage for a Home

In general, homeowners insurance is designed to address the concerns associated with your house and the personal belongings that you keep in your house. When you compare quotes online, you may discover that certain items are covered by your policy while other items are not.

Depending on your insurer, you may or may not be covered for identity theft. The circumstances surrounding when you are covered may also vary. For example, you might be covered if your credit card is stolen from your house after a break-in, but your insurer may not cover you against identity theft if it relates to an online purchase.

Solutions After Identity Theft

If your insurer does offer coverage against theft from your credit cards, then you may make a claim on your policy. Read the plan carefully to determine if the situation is covered and that you do not have any clauses that may prevent your claim from being processed.

Since identity theft is a concern, you may discover that your credit card company has solutions available to reduce your financial liability. Inform your credit card company immediately if you notice strange activity or charges that you did not approve. The credit card company can freeze your account and then take steps to eliminate those charges. In many cases, you are not liable for any charged to your account from an unauthorized source.

It is bothersome when shopping online results in the loss of personal data, but that does not mean you have no options available. Even though your homeowners plan may not cover the situation, your credit card company may have options available to limit your financial risk. An independent agency can help you compare quotes and find solutions that are available. Contact us to talk to an agent for more information.