•  
  •  
 

Abstract

I. Introduction

II. Cyber Risk Is Best Addressed by Insurance ... A. U.S. Policy Contributes to Cyber Insecurity ... 1. The United States Leads in Cyber Offense ... 2. U.S. Domestic Policy Fosters Cyber Insecurity … B. An Escalating, Dynamic, and Unique Risk ... C. State and Multinational Actors Increasingly Involved ... D. Unique Cybersecurity Issues Frustrate Policy

III. Responses to Cyber Risk Beyond Insurance Are Failing ... A. The Public Law Response Is Inadequate ... B. Private Law Is Ineffective at Addressing Cyber Losses ... C. Public and Private Law Contradict Limiting Remedies

IV. The Private Insurance Market Is Unable to Manage Cyber Risk ... A. The Market Is Undercapitalized ... 1. Current Market Capitalization ... 2. Losses Outstrip the Market ... B. Cyber Risk Management Is Uniquely Difficult … 1. From the Consumer and Business Perspective … 2. From the Insurance Perspective ... C. Current Cyber Coverage Is Inadequate ... 1. Coverage Not Widespread ... 2. Coverage Mirrors Regulation Instead of Risk ... 3. Coverage Is Difficult to Obtain ... 4. Coverage Is Expensive ... 5. Obtained Coverage Is Illusory ... 6. Adequate Coverage from the Private Market Is Unsustainable

V. Cyber Insurance Is Vital for Cyber Risk Management

VI. Federal Cyber Insurance: A Solution to Cyber Risk Management ... A. Public/Private Collaboration Is Required ... B. Defining the Threat Matrix ... C. Federal Insurance Models ... 1. Federal Backstop Insurance (TRIP and Commercial Space Law) ... 2. FDIC ... 3. NFIP ... D. General Benefits of National Cyber Insurance ... E. Counterpoint: Possible Negative Results of National Cyber Insurance

VII. Conclusion

Share

COinS