PRIVACY & NETWORK LIABILITY AND CYBER EXTENSION COVERAGE IS CHANGING
The scope of cyber claims has continued to increase in frequency and severity. Governmental entities now face a considerably higher-than-average risk of being targeted. As a result, PEP’s cyber claims have continued to increase significantly.
Considering these substantial challenges, it has become clear that better serving our members requires a cyber program that provides access to resources such as dark web monitoring, phishing campaigns, and deep scanning of member networks, along with broader coverage and expanded breach-response resources as cyber threats continue to evolve. After careful deliberation, our Board of Directors recently approved changes to the Cyber Coverage Program which will take effect January 1, 2027.
At that time, PEP will transition from our current Privacy & Network Liability and Cyber Extension coverages to partner with CFC — a leader in the global cyber insurance marketplace — to offer members a broader cyber insurance program with enhanced coverage and expanded risk management and incident response services.
The new program includes comprehensive protection for both third-party liability and first-party losses.
MEMBER ELIGIBILITY AND NEXT STEPS
Again, these changes will take effect January 1, 2027. To continue cyber coverage beyond December 31, 2026, your entity must opt in to the new program by completing and returning the Cyber Coverage Opt-in form no later than November 15, 2026.
All members with Errors or Omissions Liability Coverage have been sent a copy of a critical notice detailing the program changes along with an annual premium estimate and opt-in form.
Completed forms may be submitted by email at CyberCoverage@PEPartners.org or by mail at:
Cyber Coverage | Public Entity Partners
562 Franklin Road, Suite 200
Franklin, TN 37069
Please read all policy terms, conditions and exclusions found in the CFC specimen policy.
For questions, please contact your underwriter or member services representative.