IDEAS home Printed from https://ideas.repec.org/a/eee/bushor/v55y2012i4p349-356.html
   My bibliography  Save this article

Should your firm invest in cyber risk insurance?

Author

Listed:
  • Shackelford, Scott J.

Abstract

Firms have increasingly been turning to cyber risk insurance in order to better manage cyber threats and any resulting legal liability from data breaches. But how useful is this tactic? Herein, I analyze the impact of cyber attacks on firms, some of the applicable U.S. law shaping private sector responses to data breaches, and the extent to which cyber risk insurance helps mitigate the cyber threat. Ultimately, I argue that firms must take a proactive stance toward managing cyber attacks—not only for their wellbeing, but also to enhance overall cybersecurity and help secure critical national infrastructure.

Suggested Citation

  • Shackelford, Scott J., 2012. "Should your firm invest in cyber risk insurance?," Business Horizons, Elsevier, vol. 55(4), pages 349-356.
    • Handle: RePEc:eee:bushor:v:55:y:2012:i:4:p:349-356
    DOI: 10.1016/j.bushor.2012.02.004
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0007681312000377
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.bushor.2012.02.004?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hayes, Darren R. & Cappa, Francesco, 2018. "Open-source intelligence for risk assessment," Business Horizons, Elsevier, vol. 61(5), pages 689-697.
    2. Tatar, Unal & Nussbaum, Brian & Gokce, Yasir & Keskin, Omer F., 2021. "Digital force majeure: The Mondelez case, insurance, and the (un)certainty of attribution in cyberattacks," Business Horizons, Elsevier, vol. 64(6), pages 775-785.
    3. Wade, Megan, 2021. "Digital hostages: Leveraging ransomware attacks in cyberspace," Business Horizons, Elsevier, vol. 64(6), pages 787-797.
    4. Md. Hamid Uddin & Md. Hakim Ali & Mohammad Kabir Hassan, 2020. "Cybersecurity hazards and financial system vulnerability: a synthesis of literature," Risk Management, Palgrave Macmillan, vol. 22(4), pages 239-309, December.
    5. Guido Smidt & Wouter Botzen, 2018. "Perceptions of Corporate Cyber Risks and Insurance Decision-Making," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 43(2), pages 239-274, April.
    6. Dirk Wrede & Tino Stegen & Johann-Matthias Schulenburg, 2020. "Affirmative and silent cyber coverage in traditional insurance policies: Qualitative content analysis of selected insurance products from the German insurance market," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 45(4), pages 657-689, October.
    7. Alexander A. Ganin & Phuoc Quach & Mahesh Panwar & Zachary A. Collier & Jeffrey M. Keisler & Dayton Marchese & Igor Linkov, 2020. "Multicriteria Decision Framework for Cybersecurity Risk Assessment and Management," Risk Analysis, John Wiley & Sons, vol. 40(1), pages 183-199, January.
    8. Mendiela, Pauline, 2021. "Information security breaches and financial market reaction: the French case," MPRA Paper 105029, University Library of Munich, Germany.
    9. Mazaher Kianpour & Stewart J. Kowalski & Harald Øverby, 2021. "Systematically Understanding Cybersecurity Economics: A Survey," Sustainability, MDPI, vol. 13(24), pages 1-28, December.
    10. Anum Khan & Muhammad Shujaat Mubarik & Navaz Naghavi, 2023. "What matters for financial inclusions? Evidence from emerging economy," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 28(1), pages 821-838, January.
    11. Christian Biener & Martin Eling & Jan Hendrik Wirfs, 2015. "Insurability of Cyber Risk: An Empirical Analysis†," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 40(1), pages 131-158, January.
    12. Monica C. LaBarge & Kristen L. Walker & Courtney Nations Azzari & Maureen Bourassa & Jesse Catlin & Stacey Finkelstein & Alexei Gloukhovtsev & James Leonhardt & Kelly Martin & Maria Rejowicz‐Quaid & M, 2022. "Digital exchange compromises: Teetering priorities of consumers and organizations at the iron triangle," Journal of Consumer Affairs, Wiley Blackwell, vol. 56(3), pages 1220-1243, September.
    13. Eling, Martin & Wirfs, Jan Hendrik, 2016. "Cyber Risk: Too Big to Insure? Risk Transfer Options for a mercurial risk class," I.VW HSG Schriftenreihe, University of St.Gallen, Institute of Insurance Economics (I.VW-HSG), volume 59, number 59.
    14. Shackelford, Scott J., 2016. "Business and cyber peace: We need you!," Business Horizons, Elsevier, vol. 59(5), pages 539-548.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:bushor:v:55:y:2012:i:4:p:349-356. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/bushor .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.