The Trillion-Dollar Risk Of A Cyber Attack On U.S. Power Grid

A major cyber attack on the U.S. electric grid could cause over a $1 trillion in economic impact and roughly $71.1 billion in insurance claims, said a report released Wednesday.

The report looks at the financial impact of a scenario in which 15 states and Washington, D.C. suffer a blackout as a result of a cyber attack on the power grid. The scenario is created by the University of Cambridge Centre For Risk Studies, which uses some real life, publicly known cases to create the model. The report is also co-produced by Lloyd’s, the London-based insurance service provider that has been working with the U.K. government about managing cyber security risks.

Source: [link to www.forbes.com]



Business Blackout

The threat of cyber attack reaches every part of modern society, and insurance could have an important role to play in helping organisations to manage their cyber risk exposure. However, there is a significant level of uncertainty attached to the impact of severe events. Lloyd’s has published a research report that aims to contribute to the knowledge base required to develop the next generation of insurance solutions for the digital age.

Source: [link to www.lloyds.com]