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Federal Insurance Policy

for Identity Fraud Financial Reimbursement

These Terms and Conditions are provided to inform you that as a customer of AllClearID or its affiliates who are enrolled in an AllClearID identity protection membership program that includes identity theft insurance, you are entitled to benefits under the Policy as issued to AllClearID and described in these Terms and Conditions. Various provisions in these Terms and Conditions restrict coverage. Read the entire Terms and Conditions carefully to determine rights, duties and what is and is not covered.

These Terms and Conditions do not state all the terms, conditions, exclusions and definitions within the AllClear ID, Inc. Policy. Your benefits will be subject to all the terms, conditions, exclusions and definitions of the Policy as issued to AllClear ID, Inc. A complete copy of the Policy will be available upon request. If the Policy issued to AllClear ID, Inc. is terminated, your benefits under the Policy as issued by AllClear ID, Inc. will cease effective that date. It is the obligation of AllClear ID, Inc. to inform you of any termination of the Policy.

The Identity Fraud Expense Reimbursement benefit is underwritten and administered by American Bankers Insurance Company of Florida, an Assurant company, under a blanket policy issued to AllClear ID, Inc. for the benefit of its Members. To obtain a complete copy of the Policy as issued to AllClear ID, Inc., contact AllClear ID, Inc. at 1 (855) 434-8077. American Bankers Insurance Company of Florida administers all claims and AllClear ID, Inc. shall have no responsibility to Members with respect to the Identity Fraud Expense Reimbursement benefit.

All references to WeUs, and Our throughout this Summary of Benefit means American Bankers Insurance Company of Florida.

I. Limit of Insurance

    • Coverage

    • Expense Reimbursement with Cash Recovery:

    • Aggregate Limit of Liability

    • $1,000,000 per Membership per 12 Month Period

 II. Duties When Loss Occurs

Upon knowledge or discovery of loss or of an occurrence which may give rise to a claim under the terms of this coverage, the policyholder is responsible for notifying the member of the following requirements:

Give notice as soon as practicable to:

(1) the appropriate authority and affected institutions, if applicable; and

(2) call 1 (855) 434-8077 to make a valid claim within 90 days of the discovery of loss, or as soon as reasonably possible.  If the claim is reported after 90 days of the discovery of lossmember’s claim may be denied.

For Cash Recovery claims, the member must provide documentation from the financial institution that the funds were fraudulently removed and are non-recoverable from the financial institution.

If the loss involves a violation of law, the member shall also notify the police.  The member must submit a copy of the police report when filing a claim;

The member shall keep books, receipts, bills and other records in such manner that we can accurately determine the amount of any loss.  At any time subsequent to the reporting of the loss to uswe may examine and audit the member’s books and records as they relate to a loss under the Policy.

III. Coverage

We will reimburse the member for expenses and legal costs incurred by the member, up to the Aggregate Limit of Liability as shown on the Limits of Insurance section of these Terms and Conditions from the direct result of the following:

  1. Fraud or Embezzlement

For loss arising out of fraud or embezzlement perpetrated against the member, with an occurrence date during the term of the membership.  Fraud or Embezzlement includes electronic, telegraphic cable, teletype tele facsimile, telephone or written instructions which: purports to have been transmitted or written by the member, but which was in fact fraudulently transmitted or altered by someone else without member’s knowledge or consent; or received by the member which purports to have been transmitted by an employee but which was in fact fraudulently transmitted by someone else without member’s or employee’s knowledge or consent. 

  1. Theft

For loss resulting directly from theft of property related to the member’s information, checkbook, savings record, ATM access or securities from the member, with an occurrence date during the term of the membership, by a person from whom the member purchased goods or services.

  1. Forgery

For loss, with an occurrence date during the term of the membership, resulting directly from forgery or alteration of checks, drafts, promissory notes, or similar written promises, orders or directions to pay money that are:

  1. Made or drawn by or drawn upon the member’s account; or
  2. Made or drawn by one purporting to act as the member’s agent.
  1. Data Breach

For loss, with an occurrence date during the term of the membership, resulting directly from the misuse of the member’s information as a result of a data compromise of information from a financial institution, a credit reporting agency, a credit grantor, a securities firm, employer or other institution/company maintaining the member’s personal information, that results in monies stolen from the member’s accounts or misuse of data to obtain property, credit or monies using the member’s information.

  1. Stolen Identity Event

For loss resulting from a stolen identity event, including but not limited to a stolen identity event occurring on or arising out of the use of the Internet. The occurrence date must be during the term of the membership.  stolen identity event means the theft, unauthorized, or illegal use of the member’s name, social security number, or other method of identifying the member.

  1. Cash Recovery

For recovery of traditional credit cards, pre-paid credit cards and debit card deductibles or in the event of an unauthorized electronic fund transfer, reimbursement for unrecoverable funds, exclusive of interest, directly drawn from or removed through an unauthorized electronic fund transfer from the member’s mobile device (smart phone) or other financial account due to an act of fraudembezzlementtheftforgery or other data breachwhich have not been recovered.  The Cash Recovery benefit is limited to payment for one (1) occurrence within any twelve (12) consecutive months of the term of the membership, not to exceed the Aggregate Limit of Liability as shown on the Limits of Insurance section of these Terms and Conditions.

Cash Recovery does not cover unrecoverable funds for which the member did not seek reimbursement from the financial institution, or other provider which issued the access device and holds the account from which funds were stolen, and for which the member has not received reimbursement from any other source.  An Unauthorized Electronic Fund Transfer (UEFT) means an electronic fund transfer from the member’s account initiated by a person other than the member without the actual authority to initiate such transfer and from which the member receives no benefit. 

An unauthorized electronic fund transfer does not include an electronic fund transfer initiated:

  1. by a person who was furnished the access device to the member’s account, unless the member had given prior notification to the financial institution that transfers by such person(s) are no longer authorized;
  2. with fraudulent intent by the member or any person acting in concert with the member;
  3. by the financial institution or its employees; or
  4. from any business or commercial account.

The member will only be covered from an unauthorized removal of funds or an unauthorized electronic fund transfer if the loss first occurs on or after the effective date of the Policy under which this coverage is provided, while the member is an active and paid member of the policyholder, and the loss is reported to us within ninety (90) days of discovery.

The member is not covered if the unauthorized removal of funds or unauthorized electronic fund transfer first occurs after the termination of the Policy under which this coverage is provided, or the member is not an active and paid member of the policyholder.

The Cash Recovery benefit is part of, and not in addition to the Expense Reimbursement Aggregate Limit of Liability.  We will pay up to the Aggregate Limit of Liability as shown on the Limits of Insurance section of these Terms and Conditions.

Occurrence date means the earliest possible date of discovery which occurs when the member first becomes aware of facts which would cause member to assume that a loss covered by this insurance has been or will be incurred, even though the exact amount or details of the loss may not be known, or when member receives notice of an actual or potential claim involving loss covered under this insurance.

Legal Costs

Subject to the Aggregate Limit of Liability as shown on the Limits of Insurance section of these Terms and Conditions, the following are included as legal costs covered under the policy:

Legal Costs means costs, up to a maximum of $350 per hour, for reasonable fees for an attorney selected by the member and related court fees, incurred by the member with our consent, for:

1. Defense of any legal action brought against the member by a merchant, creditor or collection agency or entity acting on their behalf for non-payment of goods or services or default on a loan as a result of the identity fraud;

2. Defense of or the removal of any civil judgments wrongly entered against the member as a result of identity fraud;

3. Challenging the accuracy or completeness of any information in a member’s consumer credit report, medical history or tax history, as a result of identity fraud; and

4.   Member’s initial consultation with a lawyer to determine the severity of and appropriate response to an identity fraud.

IV. Expenses

Subject to the Aggregate Limit of Liability as shown on the Limits of Insurance section of these Terms and Conditions, the following are included as expenses covered under the policy:

  1. Costs incurred by the member for re-filing applications for loans, grants, or other credit that are rejected solely because the lender received from any source incorrect information as a result of the identity fraud;

2. Costs for notarizing affidavits or other similar documents, long distance telephone calls, travel and postage reasonably incurred as a result of the member’s efforts to report an identity fraud or amend or rectify records as to the member’s true name or identity as a result of an identity fraud;

3 Reasonable costs incurred by the member for up to six (6) credit reports from established credit bureaus (with no more than two (2) reports from any one credit bureau) dated within twelve (12) months after the member’s discovery of an identity fraud, and costs incurred for contesting the accuracy or completeness of any information contained in a credit report following an identity fraud;

4. Payment for reasonable expenses incurred for the placement of up to twelve (12) credit freezes or credit thaws per 12 month period as a result of being notified of a data breach in which the member’s personal information was compromised and payment for expenses that were a result of recovery from an identity fraud such as; credit freeze, credit thaw costs, transcript costs, appeal bond, court filing fees, expert witness or courier fees;

5. Actual lost base wages that would have been earned, for time reasonably and necessarily taken off work solely as a result of efforts to amend or rectify records as to the member’s true name or identity as a result of an identity fraud. Actual lost wages includes remuneration for vacation days, discretionary days, floating holidays, and paid personal days and excludes sick days, business interruption and future earnings of a self-employed professional.  Coverage is limited to base wages within twelve (12) months after discovery of an identity fraud. Base wages must be supported by and based on the prior year tax return.

  1. Child or elderly care costs that would have otherwise not been incurred, resulting from time reasonably and necessarily taken away from providing such care as a result of efforts to amend or rectify records as to the member’s identity as a result of an identity fraud.
  1. Reasonable and necessary costs incurred by the member for ordering medical records for the purpose of amending and/or rectifying these documents as a result of an identity fraud.
  1. Reasonable and necessary costs incurred by member for the replacement of identification cards, driver licenses and passports as a result of an identity fraud.
  1. Reasonable and necessary costs, up to a maximum of $125 per hour, incurred by the member for use of any investigative agency or private investigator engaged to amend or rectify records as to the member’s true name or identity as a result of an identity fraud.  We reserve the right to select such investigative agency or private investigator; however, with our express prior written consent, member may elect such investigative agency or private investigator.
  1. Reasonable and necessary costs, up to a maximum of $125 per hour, incurred by the member associated with the use of any certified public accountant engaged to amend or rectify records as to the member’s true name or identity as a result of an identity fraud.  We reserve the right to select such certified public accountant; however, with our express prior written consent, member may elect such certified public accountant.

V. Conditions

1. Limits of Insurance – Our maximum limit of liability for loss under these Terms and Conditions shall not exceed the applicable limit stated on the Limits of Insurance section of these Terms and Conditions.    

All loss incidental to an actual or attempted fraudulent, dishonest or criminal act or series of related acts, whether committed by one or more persons, shall be deemed to arise out of one occurrence.

Our total aggregate limit of liability shown on the Limits of Insurance section of these Terms and Conditions will be the maximum amount we will pay for all covered losses per primary member or family plan membershipregardless of the number of losses that occur for any one member per twelve (12) month period.

2. Loss Payment

We will pay any loss covered under the Policy under which this coverage is provided, within thirty (30) days after:

  1. We reach agreement with the member; or
  2. The entry of final judgment.

3. Notice of Claim must be given to us by the member:

  1. in writing; and
  2. within a reasonable time period after the date of discovery.

4. Settlement of Claims

We will pay all covered claims within ninety (90) days from the date we receive acceptable proof of loss at our office.