Window Closing on Increased ‘Cyber’ Coverage Limits Option

July 29, 2019

MCIT’s data compromise and CyberOne coverage limits increased for all county members beginning in 2019, with coverage limits remaining unchanged for all noncounty members. MCIT recognizes that members’ operations and appetite for risk differ. As such, MCIT negotiated with the administrator of its cyber-coverage the ability for all members to pursue increased limits of coverage throughout 2019.

MCIT limits for counties increased because, generally, county members have a larger scope of operations with a greater exposure to loss than noncounty members.

Existing coverage is provided as part of MCIT membership and does not require an underwriting survey or questionnaire to qualify. Coverage limits for county members are $100,000 for each of the four areas of data compromise and CyberOne coverage. Noncounty members have a limit of $50,000 for each area.

Request for Higher Limits Ends Nov. 30

This year all members have the option to pursue increased coverage limits of $100,000, $250,000, $500,000 and $1 million. Requests are subject to brief eligibility questionnaires and Hartford Steam Boiler’s underwriting guidelines. HSB administers MCIT’s cyber-coverage and is a long-time partner.

Increased limits also raise many of the coverage sublimits, such as for legal review, IT forensics and loss of business expenses. And in the case of $500,000 and $1 million limits, the claim deductible increases from $2,500 to $10,000 per claim.

It is important that each member assess it operations, its propensity to accumulate personally identifying information, and its exposure to risk. Some joint powers entities in particular, among others, may be large aggregators of sensitive data that should consider higher limits.

Coverage limit changes can be requested any time through November 2019 with members being charged on a pro-rata basis. Beginning in 2020, coverage limit changes will only be allowed at the next year’s renewal, which will take effect in January 2021. Requests for increased limits are dependent on underwriting guidelines and are not guaranteed.

Contact MCIT for More Information

Members who have questions about cyber-coverage should contact their risk management consultant toll-free at 1.866.547.6516. Questions regarding the process for pursuing increased limits should contact Underwriting Manager Gary Severson at 1.866.547.6516, ext. 6410 or