Quantify financial losses arising from cyber incidents and measure the extent that they are protected by insurance.
The economic impact from cyber events can threaten the financial health of an organisation and its ability to operate sustainably. The insights from our analysis enable firms to truly understand their financial exposure to cyber losses, which is key to an effective risk management strategy.
Our exercise consists of three steps:
1. Identify Scenarios
We conduct workshops with key stakeholders to develop risk scenarios that understand an organisaton’s unique business model, technology profile, industry environment, and event history to deliver a highly-tailored view of cyber exposures.
2. Define Impact
We model financial losses arising from those scenarios, delivering a thoughtful analysis with insights to improve investment allocation and balance sheet protection.
3. Evaluate Insurance Position
Aon’s experts conduct an insurance policy response assessment, mapping scenarios and key exposures against in-force insurance policies to understand the level of risk currently being retained. This stage highlights areas that can benefit from potential coverage enhancements and also evaluates how a standalone cyber insurance policy will respond.
The output of this exercise empowers organisations to direct and strengthen the case to invest in information security, business continuity, and cyber insurance. Should a cyber incident occur, these models demonstrate to key stakeholders that an appropriately sophisticated approach was undertaken and reasonable efforts were made to protect shareholder equity, customers, and the public.