cancel
Showing results for 
Show  only  | Search instead for 
Did you mean: 
cancel
Showing results for 
Show  only  | Search instead for 
Did you mean: 
Caute_cautim
Community Champion

Does this means Insurance companies will not cover Cyberinsurance claims?

Hi All

 

I know I have used in another entry, I believe the ramifications could be widely felt, especially as Insurance companies are fighting this tooth and nail:  https://www.cyberscoop.com/cyber-insurance-court-state-auto/

 

Would the Insurance companies withdraw from offering such insurance in the future?

 

Regards

 

Caute_cautim

3 Replies
CraginS
Defender I

Re: Does this means Insurance companies will not cover Cyberinsurance claims?


@Caute_cautim wrote:

...

Would the Insurance companies withdraw from offering such insurance in the future?


John,

The short answer is, yes, probably some of them will do so. However, keep in mind a couple of other factors.

 

One, insurance rates are based on actuarial calculations to forecast the likelihood of claims made and level of payment. However, there is insufficient data today to make reasonably accurate actuarial predictions suitable for setting such rates. Bruce Schneier has commented on this problem more than once:

On Cybersecurity Insurance, 9/19/2019

 

A Framework for Cyber Security Insurance, 8/30/2017

 

Two, sadly the insurance industry has had its share of companies whose profit model is based on a claims management policy of, "deny, deny, deny appeal, defend denial in court, pay only when under a court order." I seem to recall courtroom movies based on the antics of such companies

 

 

Good question.

 

Craig

 

D. Cragin Shelton, DSc
Dr.Cragin@iCloud.com
My Blog
My LinkeDin Profile
My Community Posts
Caute_cautim
Community Champion

Re: Does this means Insurance companies will not cover Cyberinsurance claims?

@CraginS   Thank you for your insightful commentary and links.

 

Perhaps we should look closely at Psychology, Cognitive Science and Cybersecurity?

 

https://www.linkedin.com/pulse/value-psychology-cognitive-science-cybersecurity-fiona-byrnes/?tracki...

 

Regards

 

Caute_cautim

CraginS
Defender I

Re: Does this means Insurance companies will not cover Cyberinsurance claims?


@Caute_cautim wrote:

@CraginS   Thank you for your insightful commentary and links.

 

Perhaps we should look closely at Psychology, Cognitive Science and Cybersecurity?

 

https://www.linkedin.com/pulse/value-psychology-cognitive-science-cybersecurity-fiona-byrnes/?tracki...

 


John,

That is one of the core reasons I am currently reading Thinking Fast and Slow by Daniel Kahneman, and have followed the books of Dan Ariely for many years.

I recommend both authors to you.

 

Craig

 

D. Cragin Shelton, DSc
Dr.Cragin@iCloud.com
My Blog
My LinkeDin Profile
My Community Posts