R-24-30VILLAGE OF DEERFIELD
RESOLUTION NO. 2024- R-24-30
APPROVING A MEMORANDUM OF UNDERSTANDING WITH NATIONAL
INSURANCE CRIME BUREAU FOR
ACCESS TO INSURANCE CLAIM INFORMATION
WHEREAS, the Village of Deerfield ("Village") is a home rule municipality in
accordance with Article VII, Section 6 of the Constitution of the State of Illinois of 1970; and
WHEREAS, the National Insurance Crime Bureau (".NICB") is a not -for -profit
corporation that provides information through a free database to fight insurance -related
crime and fraud ("Services"); and
WHEREAS, the Village desires to enter int on MOU with NICB to obtain the Services
(WOU'); and
WHEREAS, the Mayor and Board of Trustees have determined that entering into the
MOU with NICB will serve and be in the best interest of the Village and its residents;
NOW, THEREFORE, BE IT RESOLVED BY THE VILLAGE BOARD OF
DEERFIELD, LAKE AND COOK COUNTIES, ILLINOIS, as follows:
SECTION 1: RECITALS. The Village Board hereby adopts the foregoing recitals as
its findings, as if fully set forth herein.
SECTION 2: APPROVAL OF MOU. Pursuant to the Village's home rule authority,
the MOU by and between the Village and NICB is hereby approved in substantially the form
attached to this Resolution as Exhibit A, and in a final form and substance acceptable to the
Village Manager and the Village Attorney.
SECTION 3: AUTHORIZATION TO EXECUTE MOU. The Mayor and the Village
Clerk are hereby authorized and directed to execute and attest, on behalf of the Village, the
final MOU upon receipt by the Village Clerk of at least one original copy of the final MOU
executed by NICB; provided, however, that if the executed copy of the final MOU is not
received by the Village Clerk within 60 days after the effective date of this Resolution, then
this authority to execute and attest will, at the option of the Mayor and Board of Trustees,
be null and void.
SECTION 4: EFFECTIVE DATE. This Resolution shall be in full force and effect
from and after its passage and approval according to law.
[SIGNATURE PAGE FOLLOWS]
4894-2687-9925, v. 1
AYES: Benton, Berg, Goldstone, Jacoby, Metts-Childers, Oppenheim
NAYS: None
ABSTAIN: None
ABSENT: None
PASSED: April 15, 2024
APPROVED: April 15, 2024
RESOLUTION NO: R-24-30
Daniel C. Shapiro, Mayor
ATTEST:
AA,Lj
Andrew S. Lichterman, Deputy Village Clerk
EXHIBIT A
4894-2687-9925, v, 1
LAW ENFORCEMENT ISO CLAIMSEARCH ACCESS
MEMORANDUM OF UNDERSTANDING
This Law Enforcement ISO ClaimSearch Access Memorandum of Understanding ("MOLT")
is made and entered into by and between the National Insurance Crime Bureau ("NICB"),
an Illinois not -for -profit corporation located at 1515 W. 22nd Street, Suite 1300W, Oak
Brook, Illinois 60523 and the law enforcement agency identified on the signature page
hereto ("Agency") ("NICB" and, together with "Agency," hereafter referred to from time to
time individually as "Party" or collectively as "the Parties") and is effective as of the date of
the last signature to this Agreement ("Effective Date").
RECITALS
WHEREAS, NICB is an Illinois not -for -profit corporation dedicated to fighting insurance -
related crime and fraud, and gathering and disseminating information related to insurance
crime and fraud for the benefit of NICB member companies, law enforcement, regulatory
authorities and the general public; and
WHEREAS, Verisk Analytics Inc. ("Verisk") owns ISO ClaimSearch, and NICB contracts
with Verisk in order to credential and provide law enforcement agencies and their
personnel access to ISO ClaimSearch on the condition that NICB pass through certain
terms to the law enforcement agency;
WHEREAS, Agency is a law enforcement agency whose mission is to protect and serve the
people of the applicable jurisdiction; and
WHEREAS, NICB and Agency desire to work together to exchange information and data
that will allow both Parties to more easily detect and prevent insurance -related crime and
fraud;
NOW THEREFORE, in consideration of the promises and obligations contained in this
MOU, and other good and valuable consideration the receipt and sufficiency of which are
hereby acknowledged, the Parties agree as follows:
1. Access. Subject to the terms of this MOU, during the Term, NICB hereby
grants to Agency a non-exclusive, non -transferable, non -assignable, limited,
revocable right to allow employees with access credentials within their
organization the right to access and use the ISO ClaimSearch for: (1)
investigating or prosecuting crime, including but not limited to insurance -
related crime and fraud; and (2) investigating or prosecuting individuals
relevant to homeland security activity. (collectively the "Purpose").
2. Access Credentials. In order to access the ISO ClaimSearch, Agency must
appoint an administrator ("Administrator") to receive access credentials to
the ISO ClaimSearch. The Administrator, in turn, may designate individuals
employed by Agency ("Designees") to receive access credentials to ISO
ClaimSearch.
3. Confidentiality.
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A. All non-public information and data contained within ISO
C1aimSearch pursuant to this Agreement shall be considered as
confidential information ("Confidential Information"). Confidential
Information shall be held in the strictest confidence and shall not be
released, disseminated, used, accessed, copied, shared, transferred, or
disclosed by Agency, except as strictly necessary for the Purpose.
B. Confidential Information shall not include any information, however
designated or marked, that: (i) is publicly available, or subsequently
becomes publicly available, after the time it was communicated to the
recipient through no breach of this MOU by the recipient; (ii) was in
the recipient's possession free of any obligation of confidence prior to
being communicated to the recipient by the disclosing party, or is in
the recipient's possession free of any obligation of confidence
subsequent to the time it was communicated to the recipient by the
disclosing party; (iii) is independently developed by employees or
agents, without use of the data contained in the ISO C1aimSearch, of
the recipient and can be so proven by recipient; or (iv) is obtained by
the receiving party from a third party lawfully in possession of such
information and without a breach of such third party's obligations of
confidentiality.
C. It shall not be a violation of Section 3 of this MOU for Agency to
disclose Confidential Information as required by standard legal
procedure in order to prosecute crime. Further, disclosure is permitted
in response to a lawful subpoena or other legal process served upon
Agency or where applicable law requires the disclosure of Confidential
Information, provided that: (i) if not prohibited under applicable law,
Agency, prior to disclosing such information, gives reasonable written
notice to NICB sufficient to permit NICB to seek a protective order if
it so chooses; and (ii) in all cases, Agency discloses only that
information that is legally required to be disclosed. For clarity, any of
the Confidential Information Agency discloses pursuant to this Section
3. c. shall remain subject to the confidentiality requirements under
this MOU for all other purposes.
4. Agency Obligations. In exchange for access to ISO C1aimSearch, the Agency
agrees to comply with the following obligations:
A. Administrator. Agency shall appoint an Administrator who shall be
identified to NICB and shall be responsible for adding or removing
Designees, as appropriate, as well as maintaining a list of active
Designees. No Designee may be granted access to ISO C1aimSearch
without Administrator approval. The Administrator shall be the
Agency contact responsible for fulfilling Agency obligations required
under this MOU.
B. Designees. Designees shall be restricted to active Agency employees
who: (1) are in good standing and not under suspension for any
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criminal or civil violation, or under active criminal investigation or
indictment ("Good Standing"); and (2) have a need to know the
Confidential Information for the Purpose.
C. Vetting. Agency shall have in place a vetting process to ensure
minimum standards for each Designee to qualify for access to ISO
ClaimSearch are met, including the following determinations for each
Designee:
i. the Designee's need for access;
ii. which level of access is required for the Designee and for what
purpose;
iii. ensuring Designee's access conforms to this Agreement;
iv. ensuring Designee's access is based on the Designee's need to
know in order to carry out the Purpose; and
V. documenting the above determinations.
D. Responsibility. The Administrator shall be responsible for, and shall
supervise and control, all Designee access to ISO ClaimSearch. The
Administrator shall implement an internal process whereby Designee
usage is documented and monitored to ensure that that Designee
usage conforms with the Purpose and this MOU. Agency shall
immediately notify NICB of any access or usage of ISO ClaimSearch
that does not comply with this Agreement and shall prohibit Designee
from any further access or usage of ISO ClaimSearch until future
access is expressly approved, in writing, by NICB.
E. Training. Agency shall ensure that Designees complete all training
and certifications required in order to gain access; and all periodic
training either assigned by NICB, the ISO ClaimSearch platform, or
otherwise in order to maintain access.
F. Termination of Access. Agency shall immediately terminate
Designee's access to ISO ClaimSearch:
i. when Designee's is no longer employed by Agency;
ii. when Designee no longer has a legitimate Purpose to have
access to ISO ClaimSearch; or
ill. if a Designee is no longer in Good Standing.
G. Privacy and Security Policies. Agency will, at all times, ensure that
access and use of ISO ClaimSearch complies with the NICB Privacy
and Security Policy, and the ISO Privacy and Security Policies,
including any updates and amendments that may be issued from time
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to time.
H. Controls for the Protection of Confidential Information. Agency shall
maintain during the term of this MOU, and at all times thereafter in
which Agency maintains Confidential Information in its possession or
control, an information security program that provides for the
administrative, technical, and physical safeguards designed to
adequately protect the security and confidentiality of Confidential
Information in Agency's possession or control in accordance with
applicable federal, state and local laws, rules, and regulations. At a
minimum, Agency's safeguards for the protection of Confidential
Information shall include:
i. limiting access of Confidential Information to authorized
employees;
ii. maintaining an adequate network firewall;
iii. securing business facilities, data centers, paper files, servers,
backup systems, and computing equipment,including but not
limited to devices with information storage capability;
iv. implementing secure storage and disposal of Confidential
Information;
V. implementing authentication, and access controls within
operating systems and equipment; and
vi. implementing appropriate personnel security and integrity
procedures and practices, including conducting background
checks consistent with applicable law and providing
appropriate privacy and information security training to
Agency employees.
5. Audits. NICB may issue a security assessment questionnaire and conduct
independent onsite security assessments of Agency related to Agency's
compliance this Agreement. For any onsite inspection, NICB will provide at
least 30 days prior written notice. Such assessments shall not occur more
than once per calendar year, at a time that minimizes operational
interruptions to Agency. Agency's failure to adequately respond in a timely
manner to a security assessment questionnaire, timely submit to an onsite
inspection, or timely or adequately, in NICB's sole determination, remedy
any compliance or security concern raised by NICB, may result in immediate
suspension of Agency's ISO C1aimSearch access pursuant to Section 10 of the
MOU.
6. Security Breach.
A. Notification. Agency shall promptly, but in no case later than 48
4
hours, notify NICB of any confirmed or based on a good faith
determination by NICB or Agency there is a significant risk to
Confidential Information unauthorized or improper access to or use or
disclosure of Confidential Information while in the possession or
control of Agency, its Administrator or its Designees ("Security
Breach").
B. Mitigation and Cooperation. Agency shall promptly implement steps
to remediate and mitigate the effects of any Security Breach. Agency
shall cooperate with reasonable requests for information from NICB or
its representatives regarding the Security Breach. To the extent
possible, Agency shall promptly provide a written description of the
-number of individuals' data involved, the location (i.e., State) of the
individuals, the amount of data involved, the type of data involved and
any other relevant information reasonably requested by NICB or as
otherwise required to be provided by applicable law.
7. Re. resentations and Warranties. Agency represents and warrants the
following:
A. Agency is a professional, reputable, and trustworthy
organization that serves the public.
B. Agency is not under suspension for any criminal or civil
violation; or under active criminal investigation or indictment.
C. Agency will not provide access to any Designee who is not in
Good Standing.
D. Agency, its Administrator, and its Designees have a justifiable
reason for requiring access to ISO C1aimSearch that is
consistent with the Purpose.
E. Agency either (a) has an established working relationship with
NICB, or (b) will take steps in order to establish a new
relationship with NICB.
F. Agency agrees to comply with all applicable federal, state, and
local data privacy and security laws, rules and regulations, and
applicable industry standards related to or concerning the
protection of data.
S. Indemnity. To the extent permissible by law, Agency shall indemnify, defend
and hold NICB harmless from all third -party lawsuits, claims, liabilities,
damages, settlements, judgments, or expenses, including NICB's costs and
reasonable attorney fees, which arise as a result of Agency's material breach
of this Agreement, negligent acts or omissions, or willful misconduct.
9. Disclaimer of Warranties. Limited Use; No Reliance. Information contained
5
within ISO C1aimSearch is provided "AS IS, WHERE IS" and intended to be
used as investigative leads only, in support of investigations of criminal
activity in accordance with the Purpose. Agency should not make prosecution
decisions based solely upon information contained in ISO C1aimSearch. NICB
HEREBY DISCLAIMS ALL WARRANTIES EXPRESS, IMPLIED, OR
STATUTORY, INCLUDING BUT NOT LIMITED TO IMPLIED
WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A
PARTICULAR PURPOSE, WITH RESPECT TO THE INFORMATION
CONTAINED WITHIN ISO CLAIMSEARCH.
10. Term and Termination.
A. Term. This MOU . shall commence as of the Effective Date and will
remain in effect until either Party terminates this MOU by providing
30 days' written notice to the other party of the termination
whereupon the MOU will terminate at the end of the 30-day notice
period.
B. Immediate Termination. Either party may immediately terminate this
MOU if the other party materially breaches its obligations under this
MOU.
11. Survival. Upon termination of this MOU, the provisions of this MOU
concerning the ongoing interests of the parties shall continue and survive in
full force and effect.
12. Assianment. Neither Party may assign or transfer any rights or obligations
under this MOU without the prior written consent of the other Party. Any
attempt to transfer all or part of either Party's rights or obligations without
such consent is null and void and of no effect.
13. Notices. All notices between the parties will be in writing and will be
delivered as follows, with notice deemed given as indicated (a) by personal
delivery, when delivered personally; or (b) by overnight courier, upon the
courier's confirmation of delivery. In either case, a copy shall be sent via
email. Notices to the Agency will be sent to the email and address provided
by Agency at the time of application for credentialing. Notices to NICB will
be sent to the addresses, including e-mail addresses, set forth as follows, or
such other address as is provided by notice as set forth herein:
National Insurance Crime Bureau
1515 W. 22nd Street, Ste. 130OW
Oak Brook, Illinois 60523
Attn: General Counsel
Email: NICBGeneralCounsel@nicb.org
14. Severability. Any term or provision of this MOU held to be illegal or
unenforceable will, if possible, be interpreted so as to be construed as valid,
but in any event the validity or enforceability of the remainder hereof will not
C*I
be affected.
15. No Waiver. The waiver of, or failure to enforce, any breach or default
hereunder will not constitute the waiver of any other or subsequent breach or
default.
16. No Joint Venture. The relationship of the parties hereunder will be that of
two independent contracting parties, and nothing herein will be deemed to
create a joint venture, partnership, agency or employer/employee
relationship. In no event will either party be permitted to make any MOU, or
represent that it is authorized to make any MOU, on behalf of the other
party, without the prior written consent of such other party.
17. Entire Agreement. This MOU sets forth the entire agreement between the
parties related to the subject matter herein, and supersedes any and all prior
agreements, proposals, understandings, discussions, MOUs, and
representations between them, whether written or oral. This MOU may be
changed only by mutual MOU of the parties in writing. This MOU may be
executed in counter -parts with electronic signatures to be deemed valid and
binding.
[Signatures immediately to follow on page 8 of 81
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IN WITNESS WHEREOF, the parties hereto have caused this MOU to be executed
by their duly authorized representatives.
National Insurance Crime Bureau Agency: Village of Deerfield, an Illinois
home rule municipality
Signed:
ORI(s) to which this MOU applies:
Signed:
Name: Name:
Title: Title:
Date: Date:
-� Deerfield 1 ' office .Department
Date: April 9, 2024
To: Kent Street, Village Manager
From: John J. Sliozis, Chief of Police
CC: Brian J. Budny, Deputy Chief of Police
Subject: Request for Board Action — Approval of a Resolution approving the
Intergovernmental Agreement with the National Insurance Crime
Bureau.
On Monday, April 15, 2024, at the regularly scheduled meeting of the Mayor and Board of
Trustees, the Police Department will seek Approval of a Resolution (attached) authorizing an
Intergovernmental Agreement By and Between the Village of Deerfield and National Insurance
Crime Bureau (NICB) as an investigation resource.
BACKGROUND
The Village of Deerfield has utilized National Insurance Crime Bureau (NICB) for in excess of
thirty years as one of the resources to help identify insurance fraud and locate subjects who are
under investigation using their database. In the past, Investigators have had to contact an NICB
agent. They are now allowing law enforcement agents, to use their data base without having to
contact an agent.
NICE was formed in 1992 and focus their investigations on multi -carrier investigations of major
criminal activities, including: Medical provider fraud, interdiction and repatriation of stolen
vehicles, theft rings, and commercial fraud investigations. NICB make several resources
available to law enforcement including: claim file exchange, assistance with case preparation,
regional task forces, and financial and material support for law enforcement operations.
The information and assistance provided by NICB during investigations is extremely helpful.
The agreement and resolution were reviewed by counsel.
RECOMMENDATION
Staff recommends approval of the Resolution authorizing the Intergovernmental Agreement
between the Village and National Insurance Crime Bureau.
c9J
John J. Sliozis
Chief of Police