This paper, has been created by the ABI Lloyd’s Cyber Working Group, made up of senior cyber (re)insurance leaders. It reflects a collaborative effort, integrating diverse and innovative commercial approaches. The insights are based on extensive research studies, modelling assessments, and thorough discussions with cyber professionals from across the market. The paper outlines key (re)insurance components for defining major cyber events, breaking them into distinct elements such as attribution, cause of loss, footprint, digital ecosystem impacts, start and duration, spreading mechanism, motive, and monetary loss.
This comprehensive framework ensures a holistic perspective, vital for grasping the full scope of a major cyber event. It facilitates clear analysis and communication among stakeholders, enhancing resilience through better coordination. The paper can be used to enhance awareness, education, and the development of risk appetite and (re)insurance solutions in managing cyber risk. While cyber risk practitioners may recognise the components of a major cyber event, this is the first time these elements have been brought together in a holistic, (re)insurance-led way.
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