Wire Fraud Is a Growing Source of Theft

Wire transfers have become an increasing source of fraud lately due to multiple factors:

• Growth in global financial transactions
• Public health concerns causing people to do more online banking
• Uptick in real estate buying and selling

As more people participate in wiring funds domestically and internationally, the opportunities increase for scammers to take advantage of vulnerabilities in these transactions.

Personal wire fraud insurance is a way to protect yourself in the event you become an unwitting victim of wire fraud crime. Many businesses have this protection, but individuals should consider this coverage too, as they are equally at risk. In fact, many businesses are able to weather an incident of wire fraud, but what would happen if a criminal illegally drained your bank account? How would you replace the funds?

How Do Scammers Steal Money with Wire Fraud?

There are literally thousands of ways thieves use wire fraud to take money that does not belong to them. Law enforcement agencies struggle to keep up with and alert people about the newest scams being perpetrated:

• Cyberattacks and hacking (often from outside the USA and/or including ransom demands)
• Phishing emails from scammers claiming to be the IRS or a business entity with whom the recipient is familiar, such as their employer
• Piggybacking on government assistance programs, like pandemic or stimulus payments
• Counterfeit real estate transactions
• Overpaying for a product, service, or job sign-on bonus, then requesting the difference be wired to the scammer before the funds are officially deposited
• Taking advantage of seniors, students, and people with developmental disabilities who are less suspicious of fraud attempts
• Scam personal and payday loans

In most cases, the targeted individual wires money to the thieves without realizing they’ve been a victim of wire fraud. Banks cannot be relied on to catch these incidents, as statistically, they have a poor record of verifying information when they should. And in some instances, the scams are so sophisticated that banks fall prey too.

Protect Yourself and Your Family with Personal Cyber Insurance

A personal cyber insurance policy can protect you and the members of your household should you become a target of wire fraud. Instead of having to replace lost funds yourself, your insurance policy covers the loss.

If you make a lot of wire transfers normally or if someone in your household is likely to be a target by falling more easily for these scams, wire fraud insurance is vital. Our independent agents can help you find the right policy for your needs and budget, and you get the benefit of personalized service that you won’t find with big insurance companies.

To learn more about how you can protect yourself from financial disaster, call Davidson & Associates Insurance at 360-514-9550 today, or bind today coverage in less than 2 minutes here.