Who I have the same questioned this topic

When I log into Verizon and select Privacy settings, there is one setting that I don't understand:

Identity Verification Settings

With your authorization, Verizon provides certain account, device, and profile data related to your Verizon account to third parties for the purpose of helping companies you do business with verify your identity and help protect you against identity theft and account takeover.

You can opt-out of sharing your information with third parties for this purpose below. By opting out, your information will not be sent to companies requesting the information. These third party services may be disrupted or may not work.

How can I learn more about this setting and what it does? Which "third parties" are getting what information through this service? What will improve if I turn this on? What will break if I turn this off?

Thank you.