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Self-Regulatory Organizations; The Nasdaq Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change to Establish Fees Related to Certain Historical Costs of the National Market System Plan Governing the Consolidated Audit Trail
Plain English Summary
The Nasdaq Stock Market has announced a new rule that establishes fees related to historical costs for the Consolidated Audit Trail (CAT). This change specifically affects the insurance costs associated with CAT, which totaled $880,419 during a previous evaluation period. Starting in 2020, CAT LLC explored different insurance options and ultimately decided to purchase cyber security liability insurance and directors' insurance based on their analysis of coverage and costs. Insurance agents should be aware of these changes as they may impact future insurance offerings and costs related to CAT.
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(VIII) <span class="match">Insurance</span>
The <span class="match">insurance</span> costs of $880,419 represent the cost incurred for <span class="match">insurance</span> for CAT during the Pre-FAM Period. Commencing in 2020, CAT LLC performed an evaluation of various potential alternatives for CAT <span class="match">insurance</span> policies, which included engaging in discussions with different <span class="match">insurance</span> companies and conducting cost comparisons of various alternative approaches to <span class="match">insurance</span>. Based on an analysis of a variety of factors, including coverage and premiums, CAT LLC determined to purchase cyber security liability <span class="match">insurance</span>, directors'