Cyber Risk and the Evolving Shape of the Internet
A recent paper on the future of the internet by the Centre for International Governance Innovation (See Ref:1) got me thinking about cyber insurance perils through a new lens.
The table below shows the distinct types of "internet" described in the study: four main ones, along with a fifth, subversive form. While these currently coexist and may continue to do so for some time, the authors consider that some will fall away and indeed that new models may emerge.
My quadrant diagram below shows what I think may prove to be important cyber perils and themes under each internet type. The Open and Commercial internets have been presented together given similarities in their underlying profile.
Figure: Dominant Cyber Perils under each type of Internet
As these five internets vie for dominance, will underwriters be able to adapt to the changing importance of each peril?
Cyber is an evolving class with rapidly growing demand – do let me know if you think there are other kingdoms, or other drivers of the future shape of this class, either message me directly or email me at feedback@marcuson.co and I’ll post-updates!
Reference
- Four Internets: The Geopolitics of Digital Governance; Kieron O’Hara and Wendy Hall (December 2018, CIGI Papers N. 206) - https://www.cigionline.org/sites/default/files/documents/Paper%20no.206web.pdf
