3. Property Inventory Valuation Replacement Cost Value The amount it would take to replace property with like property of the same quality and construction.

4. Property Inventory Valuation Actual Cash Value Working rule-of-thumb definition: replacement cost new at the time of loss, less depreciation.

5. Property Inventory Valuation Book Value The dollar amount of property shown in a companys books.

6. Property Inventory Valuation Market Value The amount that a piece of property could be sold for in the open market.

7. 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.

8. 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

9. Extra Expense Coverage Do I have enough coverage?

10. Federated Information Security Liability Program

11. 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.

12. 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.

13. 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.

14. Direct Loss of Data Breaches

15. 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

16. Extended Security Vendor Risk Management Security Certifications Insiders may be predators Responsibility rests with the data collector Traditional insurance

17. 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 clients best efforts

18. Where do I go with questions? Visit our website: www.federatedrural.com Questions can be submitted electronically when you request a quote Your Federated Account Executive

19. 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