North American Data Security RPG (the "Company") is a risk purchasing group formed in Michigan and authorized under the Liability Risk Retention Act (the "LRRA"), which is a federal law enacted in 1986 to facilitate access to liability insurance on a more cost-efficient basis. As a risk purchasing group and pursuant to the LRRA, the Company is permitted to collectively purchase liability insurance on behalf of group members to cover their similar exposures that result from the members' common practices or activities.
The Company purchases liability insurance from one or more insurance carrier(s) with an AM Best rating of "A" or better.
The Merchant Data Security Policy (the "Policy") issued to the Company generally provides $100,000 of protection for each merchant account; however, an incident and annual aggregate limit of $500,000 applies to merchants with five or more merchant accounts.
Any Level 2, 3 or 4 merchant account is eligible, provided the merchant account has not already suffered a data compromise.
Level 1 merchant accounts are not eligible.
No. However, if a merchant account experiences a breach, the merchant account must become certified compliant before that merchant can participate in coverage under the Policy.
Yes. 90% of merchant account breaches occur at small businesses with less than 1 million transactions per year.
*The information provided in this FAQ is for general information purposes only. The complete terms and conditions of the Policy are available HERE.