Cyber loss could equal nat cat
Wednesday, 07 19 2017, Category: Technology, Country: World
Cyber losses could be as large as major natural catastrophe events, with worst case scenarios showing economic impacts as high as $120 billion or greater, while the aggregation risk is likened to that seen from catastrophes making reinsurance solutions and ILS ever more relevant.
A new report from Lloyd’s of London and cyber specialist Cyence shows that multi-billion dollar cyber loss events are possible and that a huge gap would be left uninsured. The report also describes cyber loss aggregation as a key risk, showing that reinsurance capital is clearly required and re/insurers could benefit from thinking about cyber as they would large catastrophe exposures.