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Cyber Risk Assessment for Capital Management. (arXiv:2205.08435v1 [q-fin.RM])
May 18, 2022, 1:20 a.m. | Wing Fung Chong, Runhuan Feng, Hins Hu, Linfeng Zhang
cs.CR updates on arXiv.org arxiv.org
Cyber risk is an omnipresent risk in the increasingly digitized world that is
known to be difficult to quantify and assess. Despite the fact that cyber risk
shows distinct characteristics from conventional risks, most existing models
for cyber risk in the insurance literature have been purely based on
frequency-severity analysis, which was developed for classical property and
casualty risks. In contrast, the cybersecurity engineering literature employs
different approaches, under which cyber incidents are viewed as threats or
hacker attacks acting …
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