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as is undertaken by the Vendor in this agreement and shall include, but not be limited to, <br />claims involving security breach, system failure, data recovery, business interruption, <br />cyber extortion, social engineering, infringement of intellectual property, including but not <br />limited to infringement of copyright, trademark, trade dress, invasion of privacy violations, <br />information theft, damage to or destruction of electronic information, release of private <br />information, and alteration of electronic information. The policy shall provide coverage for <br />breach response costs, regulatory fines and penalties as well as credit monitoring <br />expenses. <br />The Policy shall include, or be endorsed to include, property damage liability <br />coverage for damage to, alteration of, loss of, or destruction of electronic data and/or <br />information “property” of the Agency in the care, custody, or control of the Vendor. If not <br />covered under the Vendor’s liability policy, such “property” coverage of the Agency may <br />be endorsed onto the Vendor’s Cyber Liability Policy as covered property as follows: <br />a. The Policy shall include or be endorsed to include property damage <br />liability coverage for damage to, alteration of, loss of, or destruction of electronic data <br />and/or information “property” of the Agency in the care, custody, or control of the <br />Vendor. If not covered under the Vendor’s liability policy, such “property” coverage of <br />the Agency may be endorsed onto the Vendor’s Cyber Liability Policy as covered <br />property as follows: <br />1. Cyber Liability coverage in an amount sufficient to cover the full <br />replacement value of damage to, alteration of, loss of, or destruction of electronic data <br />and/or information “property” of the Agency that will be in the care, custody, or control <br />of Vendor. <br />2. The Insurance obligations under this agreement shall be the <br />greater of 1—all the Insurance coverage and limits carried by or available to the <br />Vendor; or 2—the minimum Insurance requirements shown in this agreement. Any <br />insurance proceeds in excess of the specified limits and coverage required, which are <br />applicable to a given loss, shall be available to Agency. No representation is made that <br />the minimum Insurance requirements of this agreement are sufficient to cover the <br />indemnity or other obligations of the Vendor under this agreement. <br />If the Vendor maintains broader coverage and/or higher limits than the minimums shown <br />above, the Customer requires and shall be entitled to the broader coverage and/or the <br />higher limits maintained by the contractor. Any available insurance proceeds in excess of <br />the specified minimum limits of insurance and coverage shall be available to the <br />Customer. <br /> <br /> <br /> <br />EXHIBIT 1