TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 3, 2026
COMMITTEE ON PROCUREMENT
Mr. John P. Murray, Executive Director
Title
Issue purchase order to Willis Towers Watson Midwest, Inc. to Furnish Cyber Insurance Coverage for the District in an amount not to exceed $114,989.00, Account 101-25000-612290, Requisition 1662449
Body
Dear Sir:
At the Board Meeting of December 1, 2022, in accordance with Contract 22-RFP-12, the Board of Commissioners awarded a purchase order to Willis Towers Watson Midwest, Inc. (Willis) to serve as the District's broker-of-record for cyber insurance and related services for a three-year period. As allowed by Contract, the District elected to extend the term for an additional two years to expire on December 31, 2027. In this capacity, Willis has responsibility for securing quotes from the insurance market for cyber insurance for the District.
On July 21, 2026, the District received certain quotes and market responses which Willis solicited pursuant to the detailed specifications for cyber insurance including an aggregate policy limit of $5,000,000.00, and a self-insured retention of $500,000.00 for a one-year period to be effective on October 4, 2026.
For the 2026 placement, eight insurance carriers were approached. Five carriers provided quotes, and one carrier provided an indication, at the limits and retention level requested. The other two carriers declined to quote, citing inability to provide competitive pricing.
The quotes were evaluated by Willis, the Risk Manager, and the Senior Risk Analyst. It is recommended that the District purchase cyber insurance coverage from AXIS Insurance Company, through Willis, with an aggregate policy limit of $5,000,000.00 and a self-insured retention of $500,000.00 at a cost of $114,989.00, which is an increase of $429.00 (0.37%) over the prior year’s premium.
AXIS policy offers competitive coverage terms and conditions. It also includes priority access to a panel of pre-vetted service providers, which the District is required to use to respond in the event of a cyber incident.
The Diversity Section has reviewed the contract for Willis Towers Watson Midwest, Inc., which serves as the District’s intermediary, as required by the State of Illinois, for the purchase of cyber insurance, and determined that it has met the requirements of Appendix A. The Minority-owned Business Enterprise (MBE), Women-owned Business Enterprise (WBE) and/or Small Business Enterprise (SBE) goals are: 20% MBE, 10% WBE and 10% SBE.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to issue a purchase order to Willis Towers Watson Midwest, Inc., in an amount not to exceed $114,989.00.
Funds are available in Account 101-25000-612290.
Requested, James E. Fisher, Director of Human Resources, JEF: BLW
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Precious Brady-Davis, Chairperson Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for September 3, 2026
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