The report, co-written with risk-modeling firm Cyence, examined potential economic losses from the hypothetical hacking of a cloud service provider and cyber-attacks on computer operating systems run by businesses worldwide.
Insurers are struggling to estimate their potential exposure to cyber-related losses amid mounting cyber risks and interest in cyber insurance. A lack of historical data on which insurers can base assumptions is a key challenge.
“Because cyber is virtual, it is such a difficult task to understand how it will accumulate in a big event,” Lloyd’s of London Chief Executive Inga Beale told Reuters.
Economic costs in the hypothetical cloud provider attack dwarf the $8 billion global cost of the “WannaCry” ransomware attack in May, which spread to more than 100 countries, according to Cyence.