The nation’s unemployment rate is now estimated at more than 7%. With a slow economy and money tight, this is the worst time for consumers to become victims of identity theft.

Identity theft typically costs consumers thousands of dollars in losses. The Federal Trade Commission reports that 8.3 million American consumers became victims of the crime in 2005.

Homeowners have a new safety net in the fight against identity theft. State Farm has begun offering Identity Restoration Coverage. This coverage is new to homeowners in Georgia, Alabama, and Mississippi.

Beginning February 1, 2009, new and existing policyholders who choose the coverage can receive an expense reimbursement of up to $25,000. Policyholders could receive money for the reimbursement of lost wages due to time away from work along with other reasonable costs faced by the insured. The optional coverage costs just a few dollars a month.

“Identity theft is the last thing that struggling families need to face. Identity Restoration Coverage is a small price to pay for the added comfort of protecting your assets,” says State Farm spokesman Roszell Gadson.