RE: Lloyds to offer hacker insurance

["Todd Radermacher" <Todd.Radermacher () digitivity com>]

On Wednesday, April 29, 1998 7:36 AM, Kevin Tyrrell 
[SMTP:tyrrell () foremost com] wrote:
> all at once. I don't see how Lloyds can calculate the odds of loss
> from an exposure they don't even know exists. At least we're pretty 
sure we
> won't see a bunch of mobile homes destroyed by volcanoes erupting in 
Tampa.

Never underestimate statistics!   ;-)

What we are really talking about here is a lack of actuarial data in 
regards to
computer security (break-in stats).  What we are lacking is the data 
that says
"if you employ security technique X - your risk of breach is Y".

By evaluating the "secureness" factor (y) of many networks and 
recording the
incidence of breach, the statisticians should be able to determine the
appropriate premium to charge that will produce a profit for the 
insuring agency.


                                        --tr