Agenda Item
iii. Renewal of the District’s Property and Cyber Liability Insurance Policy (Not to exceed $3,544,904)
Summary: Presented by: Mr. H. Eric Hilton, Chief Legal Officer, Division of Legal Services
Request: It is requested that the Board of Education approve the renewal of the District’s Property and Cyber Liability Insurance coverage with Alliant Property Insurance Program (“Alliant”), for $3,544,904. This cost is an early indication of the renewal quotation. Although not anticipated, the final quotation from Alliant may exceed this figure.
Why: The DeKalb County School District (“District”) maintains Property and Cyber Liability Insurance to cover special perils to which District assets are exposed. To ensure there is no lapse in coverage, the policy must be renewed prior to July 1, 2025.
Details: This item requests that the Board of Education approve the renewal of the District’s Property and Cyber Liability Insurance. The District's property insurer for the period January 1, 2019, through January 1, 2021, was FM Global Insurance Company (“FM Global”). Notice was received in the fall of 2020 that FM Global would be imposing substantial premium increases, eliminating physical damage coverage for District vehicles, and increasing retention levels. Therefore, the District’s insurance broker, Edgewood Partners Insurance Center, Inc. (“Epic”), initiated a comprehensive remarketing of the District’s insurance program and approached insurers that have traditionally served large public school district property portfolios like the District’s portfolio. The District’s current insurer, Alliant, was included in this remarketing search. A summary of the most recent remarketing effort is contained on page 5 of the attached Property and Cyber Liability Insurance Renewal Indication, received from Epic and dated May 2, 2025, (“Indication”). Due to the current market conditions, claims submitted by the District, and an increase in the total insured value, the responses from insurance companies did not significantly differ.
As a result of Epic’s remarketing, at its December 7, 2020, meeting, the Board of Education approved the purchase of a semi-annual policy from Alliant for the period of January 1, 2021, through July 1, 2021. A semi-annual policy was purchased since the FM Global policy expired January 1, 2021, and since Alliant had a common expiration date for all members of July 1, 2021. Alliant provided a substantial savings over FM Global while including additional coverages. During the negotiations, Alliant agreed to keep the property rate flat for the first eighteen months barring any significant claims by the District or dramatic changes within the insurance industry.
Unfortunately, during the 2021 calendar year alone the insurance marketplace changed dramatically. Many insurers were no longer willing to insure public entity accounts like the District’s profile. Several reasons are given, including but not limited to, the impact of the COVID-19 pandemic, devastating winter storms, high profile cybersecurity attacks, tightening underwriting standards, and higher than expected loss developments from prior claims. In addition, mounting losses from civil unrest and wildfires on the west coast are other reasons given in response to questions of why a quote was not provided. Further, those insured entities with losses could expect to realize a rate increase more than 15%. The District, during the 2021 calendar year, experienced property losses which resulted in claims filed with its insurer.
Therefore, due to the marketplace changes that took place during the 2021 calendar year, at the June 14, 2021, meeting, the Board of Education approved the purchase of an annual insurance policy from Alliant for the period of July 1, 2021, through July 1, 2022. At its June 6, 2022, meeting, the Board of Education approved the renewal of the insurance policy with Alliant for the period of July 1, 2022, through July 1, 2023. Likewise, at its June 12, 2023, meeting, the Board of Education approved the renewal of the insurance policy with Alliant for the period of July 1, 2023, through July 1, 2024.
This agenda item seeks the renewal of the annual Property and Cyber Liability Insurance Policy with Alliant, for July 1, 2025, through July 1, 2026. The Alliant program currently provides coverage for the District’s Property, Cyber Liability, and Vehicle Physical Damage. Unfortunately, the outlook for the second quarter of 2025 remains challenging. Property insurance rate increases are slowing, but natural catastrophes, buildings with large footprints, and aging infrastructure, remain challenges.
Financial impact: This is a budgeted expense, within the Risk Management budget. The account code from which the expense will be paid is: 100.2600.552000.00011.7490.9990.8010.080.7498.
The amount of the premium is $3,544,904.
Contact: Mr. H. Eric Hilton, Chief Legal Officer, Division of Legal Services, 678-676-0159
Mr. Glinton R. Darien, Jr., Director of Legal Affairs, Division of Legal Services, 678-676-0403
Effective: July 1, 2025
Status: Approved by the Office of Legal Affairs
DEKALB COUNTY SCHOOL DISTRICT
Property & Cyber Liability Insurance Renewal
Indication
July 1, 2025 to July 1, 2026
May 2, 2025
Prepared by:
Alexis Tolbert, Account Executive
Brittany Palmquist, Account Manager
1
ACCOUNT SERVICE TEAM
ACCOUNT EXECUTIVE, PRINCIPAL LATOYA COTTON- ROBINSON, CRM, CIC, CISR
DIRECT DIAL 678.205.5949
E-MAIL – LATOYA.COTTON@EPICBROKERS.COM
ACCOUNT EXECUTIVE, PRINCIPAL ALEXIS TOLBERT, CIC, AIAM
DIRECT DIAL 678.379.1165
E-MAIL – ALEXIS.TOLBERT@EPICBROKERS.COM
ACCOUNT MANAGER BRITTANY PALMQUIST, CISR
DIRECT DIAL 678.957.2526
E-MAIL – BRITTANY.PALMQUIST@EPICBROKERS.COM
VICE PRESIDENT, CLAIMS MANAGER CHANTELLE PATTERSON
DIRECT DIAL 678.475.5706
DIRECT FAX 678.475.3858
E-MAIL - CHANTELLE.PATTERSON@EPICBROKERS.COM
RISK CONTROL MICHAEL NISCHAN, CDS, CCSP
SERVICE REPRESENTATIVES DIRECT DIAL 678.475.5720
MOBILE 678.938.2012
DIRECT FAX 678.475.3852
E-MAIL – MICHAEL.NISCHAN@EPICBROKERS.COM
MIKE FOLMER
DIRECT DIAL 678.242.1377
MOBILE 678.215.8024
E-MAIL – MIKE.FOLMER@EPICBROKERS.COM
2
EXECUTIVE SUMMARY
Edgewood Partners Insurance Center (EPIC) is pleased to represent DeKalb County School District (DCSD) in its risk management and
insurance programs. EPIC is committed to providing you with quality products and services that exceed your expectations.
Accordingly, our purpose is to assist every employee and to act on your behalf with others in protecting the human and physical
assets of DeKalb County School District and its ability to deliver education and other critical services. Like DeKalb County School
District, EPIC measures success by how well we meet the needs of our Clients. Therefore, your input is critical in shaping the quality
of services we bring to you.
Today, we are presenting DCSD with an early indication of the July 1, 2025 to July 1, 2026 Property & Cyber Insurance Renewal
Pricing. We expect to receive the final quotation between the last week of May and the first week of June. Upon receipt we will
remit the proposal expeditiously.
The U.S. property insurance market transitioned to a more competitive environment in 2024, particularly for large commercial risks.
This trend is expected to persist into 2025, with an oversupply of capacity driving rate relief and favorable renewal conditions for
many buyers. However, the market remains bifurcated, with intense competition in certain segments while others remain relatively
stable.
Insurers began 2024 reluctant to flatten renewal rates but were compelled to adjust as competition intensified throughout the year.
The oversupply of market capacity, particularly in shared and layered programs, drove significant rate relief, especially by Q4 2024.
The bifurcation in the market was most evident during the 2024 renewals, with insureds who faced steep rate increases and
restrictive terms in 2023 receiving the most competitive rate relief, particularly in the large-premium shared and layered market. In
contrast, insureds with stable terms in 2023 had limited opportunities to improve their programs in 2024, as demonstrated by the
single-carrier market, which experienced flat to low single-digit rate increases.
The 2024 Atlantic hurricane season was active but manageable for insurers, with Hurricane Helene (~$15 billion) and Milton (~$20
billion) causing significant losses without destabilizing the reinsurance market. Ample reinsurance capacity has enabled direct
insurers to purchase higher coverage levels at flat to lower rates during the recent Jan. 1 and April 1, 2025 catastrophe reinsurance
renewals.
3
EXECUTIVE SUMMARY
Risk and insurance placement for school districts and public entities is improving in some areas, but key
coverage lines are still putting pressure on community budgets. In 2025, districts and entities should focus
on risk management, accurate building valuations, and addressing aging infrastructure to secure the best
terms. The market is stabilizing compared to recent years’ tough conditions.
We’re seeing a few key trends. Property insurance rate increases are slowing, but natural catastrophes,
buildings with large footprints, and aging infrastructure remain challenges. Accurate valuations and system
updates to aging infrastructure (roofs, HVAC, plumbing, electrical) are crucial for securing favorable
coverage. Casualty premiums, especially for commercial automobile liability and umbrella, continue to rise
due to social inflation and nuclear verdicts, making risk management more important than ever. While
directors & officers (D&O) and cyber premiums are dropping, educators’ legal liability is seeing significant
increases, reflecting sector-specific risks.
The property market continues to be fragile; however, it is softening overall. We will be presenting a more
in-depth analysis of the property market in Q1 2025.
Hurricanes Helene and Milton couldn’t have been more different. While both were significant weather
events that caused a lot of property damage, Helene was primarily an inland flood event with initial loss
estimates of $6B to $12B and Milton was more of a wind event with loss estimates ranging from $15B to
$30B.
After making landfall as a Category 4 hurricane in Florida, Helene worked its way north, dropping more than
30 inches of rain in areas of western North Carolina. Not traditionally considered a hurricane impact or flood
zone, the Insurance Information Institute has estimated that only 1% of homeowners in NC who sustained
flooding from Helene were insured. As a result, state and local governments are expected to bear the brunt
of the losses and have begun to apply for and receive federal funding from FEMA for cleanup and
restoration efforts.
Milton made landfall as a Category 3 hurricane near Siesta Key, FL, after making a southward turn that
avoided what could have easily become one of the worst CAT events in U.S. history. Initially slated to make
landfall in the Tampa area, much of the damage that did occur was focused on less populated areas on the
west coast of the state and will likely be attributed to the homeowners’ market. We expect that – at the
very least – Milton will serve as a reinsurance event for Florida domestics but overall will not affect the
balance sheets of most reinsurers.
Despite pending losses from Hurricanes Helene and Milton – as well as other named and severe convective
storms (SCS) this season – the property market has continued to soften overall. New capacity continued to
enter the space in 2024, forcing existing markets to become more flexible with their pricing and overall
appetites. Many carriers also increased their line sizes, making layered and shared deals easier to place.
Rates remain softer on the East Coast than the West as well as for insureds with large TIV overall. Small TIV
accounts, however, continue to face challenges, and we expect that market will continue to harden.
While the possibility exists that the combination of Helene and Milton may affect the property market to
some extent in ‘25, it is still too early to be certain of the exact impact. For now, we view the ’24 hurricane
season as an earnings event, rather than a balance sheet event, for the vast majority of carriers.
Most early reports agree with our assessment, indicating that there is enough capacity in the marketplace
to make losses manageable for most carriers. But there are others that point to the potential argument that
water damage from Helene was the result of wind-driven water from Milton and the fact that insurers often
feel pressure after major storms to pay claims that wouldn’t typically be covered.
Regardless, as claims move through the system and projections of financial impacts become a reality, Milton
will be considered one of the top 10 costliest hurricanes in U.S. history; however, the lack of absorption
from the reinsurance marketplace means that it hasn’t dented carrier profits and there is no fear of
continued softening.
4
EXECUTIVE SUMMARY
The APIP program currently provides coverage for the District’s Property, Cyber Liability and Automobile Physical Damage
coverages. Cyber insurance continues to become more competitive as it did last year as we are seeing a decrease in premium
this year for this sector of the portion of the insurance.
As you may recall, APIP completed appraisal of 23 of the District’s facilities during the 2022- 2023 policy term. For the current
policy term, 23 additional District facilities have been appraised. Upon receipt of the appraisals, the policy will be endorsed to
amend the values of the District facilities if necessary. An additional 23 schools have been appraised but we did not endorse
this midterm but rather used the limits for this renewal. The total insured value did increase from $4,214,395,369 to
$4,391,175,295.
This amount includes the trends of 2.30% for real property and 1.51% for business personal property. This is great as the
trends are lowering per the factors of last year trends being 2.4% for the real property and 1.9% for the business personal
property.
The APIP program still is the leading program for our district municipalities as you can see markets are not able to compete
with the rate that they are providing for indications received.
Below is a synopsis of the prior marketing effort. Due to the current market conditions as well the competitiveness of the
APIP packaged policy, the results would not significantly differ.
Carrier Response
Target rate is not something the carrier is willing to comply with. Declined risk to not
Liberty Mutual Insurance Company
be competitiive for them in the market place.
Declined; Due to older exposure and older mechanical equipment, the composition is
CNA Insurance Company
not one they can support.
Not competitive. Rate would be no less than 8 cent. Can not offer Cyber or
FM Global Insurance Company- incumbent
Automobile coverage.
Declined; Will only consider on an excess or layered property basis. Lowest
OneBeacon Insurance Company
attachment would be $200M.
Great American Insurance Company Maximum Capicity still remains at $50m not able to quote
Hudson Insurance Company Declined. Not able to quote risk and do not have auto exposure
Hartford Insurance Company No longer writing public entities
Travelers Insurance Company Declined. Cannot provide Cyber or Automobile Physical Damage.
Alliant Property Insurance Program (APIP) Incumbent. Quoted.
Chubb Insurance Company Declined; Not competitive with expiring rate.
Hanover Insurance Company Declined; Not a market for Public Entities
Genesis Insurance Company- Berkshire Hathaway Declined; Can only provide coverage on a reinsurance capacity not insurance.
Allianz Insurance Company Declined; Out of appetite for ACGS HPR and Corporate Property.
Midland Management Insurance Company Declined; TIV/ Limit is too large to consider
5
PROPERTY INSURANCE
Total Insured Values: $4,391,175,295
All Risk Coverages & Limits
$300,000,000 Per Occurrence: all Perils, Coverages (subject to policy exclusions) and all Named
Insureds (as defined in the policy) combined, per Declaration, regardless of the number
of Named Insureds, coverages, extensions of coverage, or perils insured, subject to the
following per occurrence and/or aggregate sublimits as noted below.
$25,000,000 Flood Limit - Per Occurrence and in the Annual Aggregate (for those Named Insured(s)
that purchase this optional dedicated coverage).
Not Covered Per Occurrence and in the Annual Aggregate for scheduled locations in Flood Zones A &
V (inclusive of all 100 year exposures). This Sub-limit does not increase the specific flood
limit of liability for those Named Insured(s) that purchase this optional dedicated
coverage.
$25,000,000 Earthquake Shock - Per Occurrence and in the Annual Aggregate (for those Named
Insured(s) that purchase this optional dedicated coverage).
$100,000,000 Combined Business Interruption, Rental Income and Tuition Income (and related fees).
However, if specific values for such coverage have not been reported as part of the
Named Insured's schedule of values held on file with Alliant Insurance Services, Inc., this
sub-limit amount is limited to $500,000 per Named Insured subject to maximum of
$2,500,000 Per Occurrence, Per Declaration for Business Interruption, Rental Income
and Tuition Income combined. Coverage for power generating plants is excluded, unless
otherwise specified.
$50,000,000 Extra Expense
Per Bound TIV $25,000,000 Miscellaneous Unnamed Locations for existing Named Insureds with total
insurable values greater than or equal to $500,000,000 at time of binding or
$10,000,000 Miscellaneous Unnamed Locations for existing Named Insureds with total
insurable values less than $500,000,000 at time of binding. If Flood Coverage is
purchased for scheduled locations, this extension will extend to include Flood coverage
for any location not situated in Flood Zones A or V. Vacant and Unoccupied Buildings are
further sub- limited to $10,000,000.
180 Days Extended Period of Indemnity
See Policy Provisions $25,000,000 Automatic Acquisition up to $100,000,000 or a Named Insured's Policy
Limit of Liability if less than $100,000,000 for 120 days excluding licensed vehicles for
which a sub-limit of $10,000,000 applies per policy Automatic Acquisition and Reporting
Condition. Additionally, automatic coverage is granted for up to 60 days, subject to a
sub-limit of $2,500,000 for additional property and/or interests in Tier 1 Wind Counties,
Parishes and Independent Cities for the states of Virginia, North Carolina, South
Carolina, Georgia, Alabama, Mississippi, Louisiana, Texas and/or situated anywhere
within the states of Florida and Hawaii. The peril of EQ is excluded for the states of
Alaska and California. If Flood coverage is purchased for all scheduled locations, this
extension will extend to include Flood coverage for any location not situated in Flood
Zones A or V.
6
PROPERTY INSURANCE
Total Insured Values: $4,391,175,295
All Risk Coverages & Limits
$1,000,000 Unscheduled Landscaping, trees, sand traps, greens, athletic fields and artificial turf
and further subject to $25,000 / 25 gallon maximum per item for existing Named
Insureds excluding Earthquake coverage for Alaska and California locations. If Flood
coverage is purchased for scheduled locations, this extension includes Flood
coverage for any location not situated in Flood Zones A or V.
$5,000,000 or 110% of the scheduled values, whichever is greater, for Scheduled Landscaping,
tees, sand traps, greens, athletic fields and artificial turf and further subject to
$25,000 / 25 gallon maximum per item.
$50,000,000 Errors & Omissions - This extension does not increase any more specific limit stated
elsewhere in this policy or Declarations.
$25,000,000 Course of Construction and Additions (including new) for projects with completed
values not exceeding the sub-limit shown.
$500,000 Money & Securities for named perils only as referenced within the policy.
$2,500,000 Unscheduled Fine Arts.
$250,000 Accidental Contamination per occurrence and annual aggregate per Named Insured
with $500,000 annual aggregate for all Named Insureds per Declaration.
$750,000 Unscheduled infrastructure including but not limited to tunnels, bridges, dams,
catwalks (except those not for public use), roadways, highways, streets, sidewalks,
culverts, channels, levees, dikes, berms, embankments, landfills (as more fully
defined in the policy), docks, piers, wharves, street lights, traffic signals, meters,
roadway or highway fencing (including guardrails), and all similar property unless a
specific value has been declared. Unscheduled infrastructure coverage is excluded for
the peril of Earthquake and excluded for Federal Emergency Management Agency
(FEMA) and/or Office of Emergency Services (OES) declared disasters, providing said
declaration provides funding for repairs.
$50,000,000 Increased Cost of Construction due to the enforcement of building codes/ ordinance
or law (includes All Risk and Boiler & Machinery).
$25,000,000 Transit- Physical Damage Only
7
PROPERTY INSURANCE
Total Insured Values: $4,391,175,295
All Risk Coverages & Limits
$2,500,000 Unscheduled Animals; not to exceed $50,000 per Animal, per Occurrence.
$2,500,000 Unscheduled Watercraft up to 27 feet.
Included Per Occurrence for Off Premises Vehicle Physical Damage.
$25,000,000 Off Premises Services Interruption including Extra Expense resulting from a covered peril at
non-owned/operated locations.
$5,000,000 Per Occurrence Per Named Insured subject to an Annual Aggregate of $10,000,000 for
Earthquake Shock on Licensed Vehicles, Unlicensed Vehicles, Contractor's Equipment and
Fine Arts combined for all Named Insured(s) in this Declaration combined that do not
purchase optional dedicated Earthquake Shock coverage, and/or where specific values for
such items are not covered for optional dedicated Earthquake Shock coverage as part of the
Named Insured's schedule of values held on file with Alliant Insurance Services, Inc..
$5,000,000 Per Occurrence Per Named Insured subject to an Annual Aggregate of $10,000,000 for
Flood on Licensed Vehicles, Unlicensed Vehicles, Contractor's Equipment and Fine Arts
combined for all Named Insured(s) in this Declaration combined that do not purchase
optional dedicated Flood coverage, and/or where specific values for such items are not
covered for optional dedicated Flood coverage as part of the Named Insured's schedule of
values held on file with Alliant Insurance Services, Inc.
$3,000,000 Contingent Business Interruption, Contingent Extra Expense, Contingent Rental Values and
Contingent Tuition Income separately.
$3,000,000 Tax Revenue Interruption – Per Policy Provisions. However, if specific values for such
coverage have not been reported as part of the Named Insured’s schedule of values held on
file with Alliant Insurance Services, Inc., this sub-limit amount is limited to $1,000,000 Per
Occurrence – Per Policy Provisions.
$500,000 Jewelry, Furs, Precious Metals and Precious Stones Separately.
$1,000,000 Claims Preparation Expenses.
$50,000,000 Expediting Expenses
$1,000,000 Personal Property Outside of the USA
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PROPERTY INSURANCE
Total Insured Values: $4,391,175,295
All Risk Coverages & Limits
Not Covered Per Occurrence Per Declaration Upgrade to Green Coverage subject to the lesser of,
the cost of upgrade, an additional 25% of the applicable limit of liability shown in the
schedule of values or this sub limit.
Not Covered Communicable Disease.
$100,000 Per Occurrence while in Storage and In Transit coverage subject to $10,000 Deductible
for Unmanned Aircraft as more fully defined in the Policy. Not Covered while in Flight.
$100,000 Per Occurrence with a $1,000,000 Annual Aggregate per Declaration for Mold/Fungus
Resultant Damage as more fully defined in the policy.
$100,000,000 Ingress/ Egress Per Occurrence, per Named Insured for the actual loss sustained during
the period of time not exceeding 30 days when, as a direct result of physical loss or
damage caused by a covered peril(s) specified by this Policy and occurring at property
located within a 10 mile radius of covered property, ingress to or egress from the
covered property by this Policy is prevented.
$100,000,000 Interruption By Civil Authority Per Occurrence, per Named Insured for the actual loss
sustained during the period of time not exceeding 30 days wen, as a direct result of
physical loss or damage caused by a covered peril(s) specified by this Policy and
occurring at property located within a 10 mile radius of covered property, access to the
covered property is specifically prohibited by order of a civil authority.
• Repair or Replacement Cost (RCV)
• Actual Loss Sustained for Time Element Coverages
VALUATION: • Contractor’s Equipment /Vehicles either Replacement Cost or Actual Cash Value
(ACV) as declared by each member. If not declared, valuation will default to Actual
Cash Value (ACV)
EXCLUSIONS • Seepage & Contamination
(Including but not • Cost of Clean-up for Pollution
limited to): • Mold
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PROPERTY INSURANCE
Total Insured Values: $4,391,175,295
All Risk Coverages & Limits
“ALL RISK” $250,000; Except $1,000,000 for On Premises Vehicles Only Per Occurrence, which will
DEDUCTIBLE: apply in the event a more specific deductible is not applicable to a loss.
DEDUCTIBLES FOR $250,000; Except $2,500,000 at Panthersville Stadium Facility- 2817 Clifton Springs Road,
SPECIFIC PERILS Decatur, GA 30034 All Flood Zones Per Occurrence excluding Flood Zones A & V.
AND COVERAGES:
Not Covered; Per Occurrence For Flood Zones A & V (inclusive of all 100 year exposures).
$250,000 Earthquake Shock: If the stated deductible is a flat dollar amount, the deductible
will apply on a Per Occurrence basis, unless otherwise stated. If the stated deductible is on
a percentage basis, the deductible will apply Per Occurrence on a Per Unit basis, as defined
in the policy form, subject to the minimum deductible per occurrence.
$1,000 Per Occurrence for Specially Trained Animals.
$500,000 Unscheduled infrastructure including but not limited to tunnels, bridges, dams,
catwalks (except those not for public use), roadways, highways, streets, sidewalks, culverts,
channels, levees, dikes, berms, embankments, landfills (as more fully defined in the policy),
docks, piers, wharves, street lights, traffic signals, meters, roadway or highway fencing
(including guardrails), and all similar property unless a specific value has been declared.
Unscheduled infrastructure coverage is excluded for the peril of Earthquake and excluded
for Federal Emergency Management Agency (FEMA) and/or Office of Emergency Services
(OES) declared disasters, providing said declaration provides funding for repairs.
DEDUCTIBLES FOR $ 10,000 Per Vehicle or Item for Licensed Vehicles, Unlicensed Vehicles and Contractor's
SPECIFIC PERILS Equipment subject to $100,000 Maximum Per Occurrence, Per Named Insured for the peril
AND COVERAGES: of Earthquake for Named Insured(s) who do not purchase dedicated Earthquake limits.
$ 50,000 Per Occurrence Per Named Insured for this Declaration for Fine Arts for the peril
of Earthquake for Named Insured(s) who do not purchase dedicated Earthquake limits.
$ 10,000 Per Vehicle or Item for Licensed Vehicles, Unlicensed Vehicles and Contractor's
Equipment subject to $100,000 Maximum Per Occurrence, Per Named Insured for the peril
of Flood for Named Insured(s) who do not purchase dedicated Flood limits.
$ 50,000 Per Occurrence Per Named Insured for this Declaration for Fine Arts for the peril
of Flood for Named Insured(s) who do not purchase dedicated Flood limits.
24 Hour Waiting Period for Service Interruption for All Perils and Coverages.
24 Hour Waiting Period Per Occurrence for Ingress/ Egress
24 Hour Waiting Period Per Occurrence for Civil Authority
2.5% of Annual Tax Revenue Value per Location for Tax Interruption
$ 1,000,000 Per Occurrence for Off Premises Vehicle Physical Damage. If Off-Premises
coverage is included/purchased, the stated deductible will apply to vehicle physical damage
both on and off-premises on a Per Occurrence basis, unless otherwise stated. If Off-
Premises coverage is not included, On- Premises/In-Yard coverage is subject to the All Risk
(Basic) deductible.
10
Replacement Cost Vehicle Valuation Basis
PROPERTY INSURANCE
The following stand-alone coverages are provided by the APIP program but are not covered in the Limit of Liability or the Sub-Limits
of Liability above or attached to the Master Policy Form Wording. However, the coverage costs are included in the APIP Total Cost
noted below. Carriers providing these coverages are included in the Schedule of Carriers.
$100,000,000 Per Named Insured Per Occurrence subject to $200,000,000 Annual Aggregate of
Declarations 1-14, 18-30 and 32-35 combined as respects Property Damage, Business
Interruption, Rental Income and Extra Expense Combined for Terrorism (Primary
Layer).
$250,000 Except $1,000,000 for On Premise Vehicles Only Per Occurrence Deductible for
Primary Terrorism.
$600,000,000 Per Named Insured for Terrorism (Excess Layer) subject to;
$1,100,000,000 Per Occurrence, All Named Insureds combined in Declarations 1-14, 18-21, 23-30 and
32-35 for Terrorism (Excess Layer) subject to;
$1,400,000,000 Annual Aggregate shared by all Named Insureds combined in Declarations 1-14, 18-
21, 23-30 and 32-35, as respects Property Damage, Business Interruption, Rental
Income and Extra Expense combined for Terrorism (Excess Layer).
$500,000 Per Occurrence Deductible for Excess Terrorism (Applies only if the Primary Terrorism
Limit is exhausted).
Included Information Security & Privacy Insurance with Electronic Media Liability Coverage.
See attached Cyber Coverage Summary for applicable Limits. (Cyber Liability) If,
insured purchases such coverage.
Not Covered Pollution Liability Insurance Coverage. See attached Pollution Liability Insurance
Coverage Document for applicable limits and deductibles. If, insured purchases such
coverage.
11
BOILER AND MACHINERY INSURANCE
Coverages & Limits
$100,000,000 Boiler Explosion and Machinery Breakdown, (for those
Named Insureds that purchase this optional dedicated coverage) as
respects Combined Property Damage and Business
Interruption/Extra Expense (Including Bond Revenue Interest
Payments where Values Reported and excluding Business
Interruption for power generating facilities unless otherwise
specified). Limit includes loss adjustment agreement and electronic
computer or electronic data processing equipment with the
following sublimits:
Included - Jurisdictional and Inspections.
$10,000,000 Per Occurrence for Service/Utility/Off Premises Power
Interruption.
Included- Per Occurrence for Consequential Damage/Perishable
Goods/Spoilage.
$10,000,000 Per Occurrence for Electronic Data Processing Media
and Data Restoration.
$2,000,000 Per Occurrence, Per Named Insured and in the Annual
Aggregate per Declaration for Earthquake Resultant Damage for
Named Insureds who purchase Dedicated Earthquake Coverage.
10,000,000 Per Occurrence for Hazardous Substances / Pollutants /
Decontamination.
Included -Per Occurrence for Machine or Apparatus used for
Research, Diagnosis, Medication, Surgical, Therapeutic, Dental or
Pathological Purposes.
NEWLY ACQUIRED $25,000,000 Automatic Acquisition for Boiler & Machinery values at
LOCATIONS: newly acquired locations. Values greater than $25,000,000 or Power
Generating Facilities must be reported within 120 days and must
have prior underwriting approval prior to binding.
VALUATION: Repair or Replacement except Actual Loss sustained for all Time
Element Coverages
EXCLUSIONS • Testing
(Including but not • Explosion, except for steam or centrifugal explosion
limited to): • Explosion of gas or unconsumed fuel from furnace of the boiler
OBJECTS • Insulating or refractory material
EXCLUDED: • Buried Vessels or Piping
(Including but not
limited to):
12
BOILER AND MACHINERY INSURANCE
Coverages & Limits
NOTICE OF 90 days except 10 days for non-payment of premium
CANCELLATION:
DEDUCTIBLES: $250,000 Except as shown for Specific Objects or Perils.
$250,000 Electronic Data Processing Media.
$250,000 Consequential Damage.
$250,000 Objects over 200 hp, 1,000 KW/KVA/Amps or Boilers over
5,000 square feet of heating surface.
$250,000 Objects over 350 hp, 2,500 KW/KVA/Amps or Boilers over
10,000 square feet of heating surface.
$250,000 Objects over 500 hp, 5,000 KW/KVA/Amps or Boilers over
25,000 square feet of heating surface.
$250,000 Objects over 750 hp, 10,000 KW/KVA/Amps or Boilers over
75,000 square feet of heating surface.
$350,000 Objects over 25,000 hp, 25,000 KW/KVA/Amps or Boilers
over 250,000 square feet of heating surface.
$10 per foot / $2,500 Deep Water Wells.
24 Hour Waiting Period Utility Interruption.
24 Hours Business Interruption/Extra Expense Except as
noted below.
30 Days Business Interruption - Revenue Bond.
5 x 100% of Daily Value Business Interruption - All objects over 750
hp or 10,000 KW/KVA/Amps or 10,000 square feet heating surface.
5 x 100% of Daily Value Business interruption - All Objects at Waste
Water Treatment Facilities and All Utilities.
13
CYBER LIABILITY INSURANCE
Coverages & Limits
$2,000,000 Insured/Member Annual Aggregate Limit of Liability
(subject to policy exclusions) for each Insured/Member, within the
Annual Policy and Program Aggregate Limit of Liability (Aggregate for
all coverages combined, including
Claim Expenses) subject to the following limits and sublimits as
noted.
BREACH $500,000 Aggregate Limit of Liability for each Insured/Member
RESPONSE (Limit is increased to $1,000,000 if Beazley Nominated Services
Breach Response Providers are used)
Costs:
FIRST PARTY LOSS
Business $2,000,000 Aggregate Limit of Liability for each Insured/Member
Interruption
Loss Resulting from
Security Breach:
Business $500,000 Aggregate Limit of Liability for each Insured/Member
Interruption
Loss Resulting from
System Failure:
Dependent $750,000 Aggregate Limit of Liability for each Insured/Member
Business
Loss Resulting from
Security Breach:
Dependent $100,000 Aggregate Limit of Liability for each Insured/Member
Business
Loss Resulting from
System Failure:
Cyber Extortion $2,000,000 Aggregate Limit of Liability for each Insured/Member
Loss:
Data Recovery $2,000,000 Aggregate Limit of Liability for each Insured/Member
Costs:
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CYBER LIABILITY INSURANCE
Coverages & Limits
LIABILITY
Data & Network $2,000,000 Aggregate Limit of Liability for each Insured/Member for
Liability: all Damages and Claims Expenses
Regulatory $2,000,000 Aggregate Limit of Liability for each Insured/Member
Defense &
Penalties:
Payment Card $2,000,000 Aggregate Limit of Liability for each Insured/Member
Liabilities & Costs:
Media Liability: $2,000,000 Aggregate Limit of Liability for each Insured/Member for
all Damages and Claims Expenses
eCRIME
Fraudulent $75,000 Aggregate Limit of Liability for each Insured/Member
Instruction:
Funds Transfer $75,000 Aggregate Limit of Liability for each Insured/Member
Fraud:
Telephone Fraud: $75,000 Aggregate Limit of Liability for each Insured/Member
CRIMINAL REWARD
Criminal Reward: $25,000 Aggregate Limit of Liability for each Insured/Member
COVERAGE ENDORSEMENT(S)
Reputation Loss: $50,000 Aggregate Limit of Liability for each Insured/ Member
Claims Preparation $50,000 Aggregate Limit of Liability for each Insured/ Member
Costs for
Reputation Loss
Claims Only:
Computer $75,000 Aggregate Limit of Liability for each Insured/ Member
Hardware
Replacement
Costs:
Invoice $100,000 Aggregate Limit of Liability for each Insured/ Member
Manipulation:
Cryptojacking: $25,000 Aggregate Limit of Liability for each Insured/ Member
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CYBER LIABILITY INSURANCE
Coverages & Limits
RETENTION
$25,000 CSU Auxiliary Organizations only
8 Hour waiting period for Dependent/Business Interruption Loss
$ 100,000 Per Claim or Incident for each Insured/Member with TIV
greater than $500,000,000 at the time of policy inception
8 Hour waiting period for Dependent/Business Interruption Loss
Policy coverage of this policy provides coverage on a claims made and reported basis; except as otherwise
provided, coverage under noted coverage schedule applies only to claims first made against the
Insured/Member and reported to underwriters during the policy period. Claims expenses shall reduce the
applicable limit of liability and are subject to the applicable retention.
This is a shared limit policy among the Named Insureds. The per Insured/Member policy limits are on a per
claim or incident for each Insured/Member basis, sub-limits listed are aggregated per Insured/Member
and are within the total Insured/Member aggregate limit. In the event of a claim/incident with multiple
Insureds/Members exhausting the program aggregate limit provided by the Insurer to Insureds/Members,
payment to all Insureds/Members for the claim/incident will be determined by the Insurer. Where coverages
are aggregated, sub-limit and limits apply to all Insureds/Members for the entire Policy Period unless
specifically stated otherwise. The policy aggregate limit is not a per Insured/Member maximum limit.
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CYBER LIABILITY INSURANCE
Specific Coverage Provisions
A. Breach Breach Response indemnifies the Insured/Member for Breach
Response Response Costs incurred by the Insured/Member because of an
actual or reasonably suspected Data Breach or Security Breach that
the Insured first discovers during the Policy Period.
B. First Party Loss Business Interruption Loss indemnifies the Insured/Member for a
Business Interruption Loss sustained as a result of a Security Breach
or System Failure that the Insured first discovers during the Policy
Period.
Dependent Business Interruption Loss indemnifies the
Insured/Member for a Dependent Business Interruption Loss
sustained as a result of a Security Breach or a System Failure that the
Insured first discover during the Policy Period.
Cyber Extortion Loss indemnifies the Insured/Member for a Cyber
Extortion Loss incurred as a result of an Extortion Threat first made
against the Insured/Member during the Policy Period.
Data Recovery Costs indemnifies the Insured/Member for Data
Recovery Costs incurred as a direct result of a Security Breach or
System Failure that the Insured first discovers during the Policy
Period.
C. Liability Data & Network Liability pays Damages and Claims Expenses, which
the Insured is legally obligated to pay because of any Claim first
made against any Insured during the Policy Period for a Data Breach,
a Security Breach, the Insured’s failure to disclose a Data Breach or
Security Breach, or failure of the Insured to comply with the part of a
Privacy Policy that specifically is related to disclosure, access or
procedures related to Personally Identifiable Information.
Regulatory Defense & Penalties pays Penalties and Claims Expenses,
which the Insured is legally obligated to pay because of a Regulatory
Proceeding first made against any Insured during the Policy Period
for a Data Breach or a Security Breach.
Payment Card Liabilities & Costs indemnifies the Insured/Member for
PCI Fines, Expenses and Costs which it is legally obligated to pay
because of a Claim first made against any Insured during the Policy
Period.
Media Liability pays Damages and Claims Expenses, which the
Insured is legally obligated to pay because of any Claim first made
against any Insured during the Policy Period for electronic Media
Liability.
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CYBER LIABILITY INSURANCE
Specific Coverage Provisions
D. eCrime eCrime indemnifies the Insured/Member for any direct financial loss
sustained resulting from:
• Fraudulent Instruction
• Funds Transfer Fraud
• Telephone Fraud
That the Insured first discovers during the Policy Period.
E. Criminal Reward Criminal Reward indemnifies the Insured/Member for Criminal
Reward Funds.
Coverage Reputational Loss indemnifies the Insured Organization for
Endorsement(s) Reputation Loss that the Insured Organization sustains solely as a
result of an Adverse Media Event that occurs during the Policy
Period, concerning: a Data Breach, Security Breach, or Extortion
Threat that the Insured first discovers during the Policy Period.
Computer Hardware Replacement Costs is part of the Extra Expense
coverage, which includes reasonable and necessary expenses
incurred by the Insured Organization to replace computers or any
associated devices or equipment operated by, and either owned by
or leased to, the Insured Organization that are unable to function as
intended due to corruption or destruction of software or
firmware directly resulting from a Security Breach.
Invoice Manipulation indemnifies the Insured Organization for
Direct Net Loss resulting directly from the Insured Organization’s
inability to collect Payment for any goods, products or services after
such goods, products or services have been transferred to a third
party, as a result of Invoice Manipulation that the Insured first
discovers during the Policy Period. Invoice Manipulation means the
release or distribution of any fraudulent invoice or fraudulent
payment instruction to a third party as a direct result of a Security
Breach or a Data Breach.
Cryptojacking indemnifies the Insured Organization for any direct
financial loss sustained resulting from Cryptojacking that the Insured
first discovers during the Policy Period. Cryptojacking means the
Unauthorized Access or Use of Computer Systems to mine for Digital
Currency that directly results in additional costs incurred by the
Insured Organization for electricity, natural gas, oil, or internet.
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CYBER LIABILITY INSURANCE
Exclusions:
(including but not limited to)
Coverage does not apply to any claim or loss from:
• Bodily Injury or Property Damage
• Trade Practices and Antitrust
• Gathering or Distribution of Information
• Prior Known Acts & Prior Noticed Claims
• Racketeering, Benefit Plans, Employment Liability & Discrimination
• Sale or Ownership of Securities & Violation of Securities Laws
• Criminal, Intentional of Fraudulent Acts
• Patent, Software Copyright, Misappropriation of Information
• Governmental Actions
• Other Insureds & Related Enterprises
• Trading Losses, Loss of Money & Discounts
• Media-Related Exposures – Contractual liability or obligation
• Nuclear Incident
• Radioactive Contamination
• First Party Loss – with respects:
1. seizure, nationalization, confiscation, or destruction of property or data by order of any governmental or public
authority;
2. costs or expenses incurred by the Insured to identify or remediate software program errors or vulnerabilities or
update, replace, restore, assemble, reproduce, recollect or enhance data or Computer Systems to a level beyond that
which existed prior to a Security Breach, System Failure, Dependent Security Breach, Dependent System Failure or
Extortion Threat;
3. failure or malfunction of satellites or of power, utility, mechanical or telecommunications (including internet)
infrastructure or services that are not under the Insured Organization’s direct operational control; or 4. fire, flood,
earthquake, volcanic eruption, explosion, lightning, wind, hail, tidal wave, landslide, act of God or other physical
event.
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TERMS AND CONDITIONS
Terms & Conditions: Sub-limits, terms and conditions are subject to change.
25% Minimum Earned Premium and cancellations subject to 10%
penalty
Except Cyber Liability Premium is calculated on a pro-rata basis,
unless there is a claim in which case the premium is deemed fully
earned. If, insured purchases such coverage.
Notice of Cancellation: 90 Days except 10 Days for non-payment of premium
The cost reflected below is an early indication of the renewal quotation expected to be received from APIP on June 1st .
Should the final quotation totals exceed that provided below, APIP is not bound by that which is reflected in this indication.
July 1, 2025 to July 1, 2026
Expiring Rate/ TIV* May 2, 2025 Indication
Property Premium: $2,794,082.00 $3,123,154.00
Excess Boiler: $58,085.00 $60,521.00
Cyber Liability: $125,606.00 $130,874.00
ABS Fee: $26,655.00 $27,773.00
Surplus Lines Tax 4%: $127,244.44 $132,582.00
Total Costs: $3,335,010.44 $3,474,904.00
Total Insurable Values (TIV) $4,214,395,369 $4,391,175,295
:
NOTES:
• This indication is based on the current loss experience, market conditions, increases in property value and is subject to change if this
insured’s loss ratio deteriorates further and/ or if the markets suffer a catastrophic event.
• Coverage outlined in this Proposal is subject to the terms and conditions set forth in the policy.
• Please refer to the Policy for specific terms, conditions and exclusions.
• Change in total Insurable Values (TIV) will result in adjustment in premium.
• Each line of coverage is rated separately therefore increases in TIV’s on highly rated coverages such as Vehicles, Contractor’s Equipment,
EQ or 100 Year Flood Zones, etc. may increase the member average account rate.
• The flood zones provided on the Schedule of Values (SOV) are for rating purposes only. The actual flood zone will be determined at the
time of loss.
20