RGS Limited, LLC Products

Compromised Data Security Protection for Merchants
Protecting your merchants. Securing their assets.
Saving their businesses—and yours.

$1.24 billion. According to the Nilson Report, that’s how much Visa, MasterCard, American Express, and Discover lost due to credit card fraud in 2006 alone.

What does that mean for your merchants’ businesses? Well, when you consider that the $1.24 billion really equals 6.75¢ lost on every $100 in credit card volume, it becomes clear just how much they stand to lose.

It’s also clear that the major card sponsors will do whatever it takes to protect themselves. That means enforcing merchant compliance with the Payment Card Industry Data Security Standard (PCI DSS) and hitting merchants with heavy audit costs and fines in the case of a data breach. The bottom line? More money your merchants can’t afford to lose.

That’s why we’re offering the Compromised Data Security Program for Merchants, a new and unique insurance product from RGS Limited, LLC. This program is designed specifically to help your merchants meet the expenses resulting from a suspected or actual data breach—expenses that could jeopardize the future of their businesses—all for less each month than you’ll probably spend on lunch today! And remember, if your merchants can’t pay the fines, you pay them!

The Compromised Data Security Program:
Protects small and medium-sized merchants. Many business owners mistakenly believe that thieves and hackers target only large merchants with high sales. Nothing could be further from the truth. Thieves know that large businesses have the resources to spend on sophisticated security precautions and instead target smaller merchants with an ever-changing arsenal of scams. Eduardo Perez, Visa’s vice president of payment systems and risk, confirms; "Hackers are concentrating on smaller merchants…that’s where we see the greatest vulnerability."
Protects merchants who are already PCI compliant. If your merchants are already PCI compliant, congratulations! They’ve taken a major step forward in protecting themselves—and you—from credit card fraud. Unfortunately, while PCI compliance provides an additional level of security (and may even save you and your merchants from some of those heavy fines assessed by card sponsors in the case of a breach), it’s not enough to prevent fraud completely. In fact, any system that relies on people-run processes is vulnerable to breach, whether through deliberate employee wrongdoing or an unintentional—but inevitable—human error.
Protects merchants from loss in three ways. The program covers the following expenses resulting from actual or suspected data breaches, regardless of your merchants’ PCI compliance status and as long as the business owner is not involved in the breach:
  1. A forensic audit when a data breach is suspected
  2. Card replacement costs and related expenses
  3. Assessments and fines levied by card sponsors for data breaches
Coverage for network breaches and physical losses. The coverage includes protection from data breaches due to network hacking, skimming, and even physical losses resulting from employee dishonesty or third-party theft of computer or paper records.

And although we highly recommend that all merchants comply with PCI DSS, the program covers merchants regardless of compliance.

To meet the specific needs of your merchants, policy limits are available from $50,000 all the way up to $1,000,000 per MID! You can mix-and-match coverage to fit the needs of your portfolio, and there is never any deductible!

Here’s how the program works:
As soon as your merchant receives notice of a suspected data breach, three easy steps trigger the policy coverage. The merchant simply:

  1. Fills out an online claim form
  2. Faxes the notice that stipulates there has been a suspected or actual breach at the merchant’s location and chooses an authorized PCI DSS auditor
  3. When the forensic audit is complete, the merchant sends us a copy of the invoice

That’s it. We’ll process the claim for payment and, assuming all documents are in order, the merchant will receive a check for the expenses incurred from the forensic audit (up to policy limits) within 30 days.

We’ll also pay for card replacement costs (and related expenses) and for any fines your merchant incurs (up to policy limits)—in fact, we offer the only insurance program that pays for fines resulting from a data breach, with a $0 deductible.

Unfortunately, the reality of credit card fraud is not if, but when. Let us help you protect your merchants, their assets, and the future of their businesses—and yours.