This white paper presents analysis of Advisen Cyber Loss dataset (www.advisenltd.com/data/cyber-loss-data/) containing a historical view of cyber events, collected from reliable and publicly verifiable sources. The dataset analyzed in this study comprehends 132,126 cyber events during 2008-2020,...

In this study an exploration of insurance risk transfer is undertaken for the cyber insurance industry in the United States of America, based on the leading industry dataset of cyber events provided by Advisen. We seek to address two core unresolved questions. First, what factors are the most...

In this paper we demonstrate how to develop analytic closed form solutions to optimal multiple stopping time problems of direct relevance to applications in insurance for Operational Risk. Within this context we study a class of insurance products where the policy holder has the option to insure...

In this paper we study a class of insurance products where the policy holder has the option to insure $k$ of its annual Operational Risk losses in a horizon of $T$ years. This involves a choice of $k$ out of $T$ years in which to apply the insurance policy coverage by making claims against...

We set the context for capital approximation within the framework of the Basel II/III regulatory capital accords. This is particularly topical as the Basel III accord is shortly due to take effect. In this regard, we provide a summary of the role of capital adequacy in the new accord,...

The management of operational risk in the banking industry has undergone significant changes over the last decade due to substantial changes in operational risk environment. Globalization, deregulation, the use of complex financial products and changes in information technology have resulted...

Under the Basel II standards, the Operational Risk (OpRisk) advanced measurement approach is not prescriptive regarding the class of statistical model utilised to undertake capital estimation. It has however become well accepted to utlise a Loss Distributional Approach (LDA) paradigm to model...