Consumer Cyber Insurance as Risk Transfer: A Coverage Analysis
Florian Schütz, Florian Rampold, Andre Kalisch, Kristin Masuch · Procedia Computer Science · 2023
The internet has become an integral part of most people's lives. Although this has many advantages, such as constant entertainment and easy access to resources, the internet also has its downsides. Studies indicate that people tend to be more concerned with the cyber risks that arise from their internet usage than before. While cyber insurance for businesses has been on the market for several years, the novel type of consumer cyber insurance (CCI) mitigates cyber risks to a residual level. However, we argue that both supply and demand sides do not have a shared understanding of CCIs due to the complexity and dynamics of cyber risks. Therefore, we conduct a content analysis regarding the coverage of CCI to (1) demonstrate the potential value of such insurance policies for private households and (2) increase consumer awareness of the dynamically changing cyber risk situation.