Property Inventory Valuation

Replacement Cost Value

The amount it would take to replace
property with like property of the same
quality and construction.
Property Inventory Valuation

Actual Cash Value

Working rule-of-thumb definition:
replacement cost new at the time of loss,
less depreciation.
Property Inventory Valuation

Book Value

The dollar amount of property shown in a
company’s books.
Property Inventory Valuation

Market Value

The amount that a piece of property could
be sold for in the open market.
Property Inventory Valuation

Insurance to value

Making sure that the amount of insurance
that you carry is enough to cover all of
your property at its Replacement Cost
Value.
Extra Expense Coverage

Provides reimbursement for additional
necessary expenses incurred because of an
insured property loss.

$50,000 limit is automatically included in
all ARB policies for Extra Expense Coverage.
 Higher limits are available
Extra Expense Coverage

Do I have enough coverage?
Federated Information Security
Liability Program
Could This Happen to You
 A laptop within your organization containing
sensitive information is lost or stolen
 Sensitive information is accidentally sent to the
wrong fax number or email address
 A disgruntled employee steals sensitive information
and sells it to information thieves, or even a
competitor
 A hacker located in Nigeria hacks into your
network and sells all of your customer data leading
to customer identity fraud
 A vendor whom you outsource services to has a
breach to their network which also affects your
customer base.
What are the Risks?
The key exposure is disclosure. Examples
include the theft of customers’ names
with social security numbers, credit card
or bank account data; essentially any
personally identifiable information.
Utility Companies also have significant
exposures through their distribution /
member connection and infrastructure
systems.
Security & Privacy Liability
• Security Liability is where unencrypted
computerized information or paper documents
containing personally identifiable non-public
information is acquired or accessed by an
unauthorized person
• Privacy Liability is the violation of privacy laws
or regulations that permit individuals to control
the collection, access, transmission, use, and
accuracy of their personally identifiable
financial information.
Direct Loss of Data Breaches
Coverage
 Individual Policy limit s from 1 to 2 million
 Security/Privacy Civil Liability Coverage is
for 3rd party defenses
 Employee Privacy Coverage
 Regulatory Defense and Penalties
 Notification Cost & Crisis Management
Extended Security
 Vendor Risk Management
 Security Certifications
 Insiders may be predators
 Responsibility rests with the data collector
 Traditional insurance
Underwriting Process
 Quote Submission Process:
• Basic Application- online
• Underwriting examines the security
of the company and points out key
concerns
• Quotes turned around quickly
• Insurance sits above the client’s best
efforts
Investing in the Future of Co-ops
Each year Federated sets aside a portion of
our members’ premiums to be returned to
statewide associations in support of the
safety and training programs provided.
$2.3 Million