AR HB1780

Establishes the Arkansas Self-Funded Cyber Response Program to provide coverage for cybersecurity incidents affecting counties, municipalities, and school districts, with mandatory participation for all such entities.

Creates the Arkansas Cyber Response Board composed of governor-appointed members representing counties and municipalities, plus designees from the Department of Education, Division of Information Systems, Division of Emergency Management, Legislative Audit, and the Insurance Commissioner.

Provides coverage up to $100,000 for actual losses from cyberattacks including hardware and software damage, with reduced coverage of $50,000 maximum for entities not meeting minimum cybersecurity standards established by the board.

Establishes the Arkansas Self-Funded Cyber Response Program Trust Fund to receive premiums capped at $900,000 total during the first two years ($300,000 each for municipalities, counties, and school districts), with funds managed by the Insurance Commissioner under board direction.

Requires participating governmental entities to procure annual audits of books, records, and information systems, and allows the State of Arkansas and higher education entities to voluntarily join the program beginning July 1, 2024.