The problem with "identity theft" specifically is that, in itself, it's just a legal term for allowing banks to save on KYC by letting them transfer liability to society at large.

If someone uses your SSN to take a loan in your name, it shouldn't be your problem - in the same way that someone speeding in the same make&model of the car as yours shouldn't be your problem, just because they glued a piece of cardboard over their license plate and crayoned your numbers on it.