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Information sharing among organizations has been gaining attention as a method for improving cybersecurity. However, the associated disclosure costs act as deterrents for firms' voluntary cooperation. In this work, we take a game-theoretic…

Computer Science and Game Theory · Computer Science 2020-01-20 Parinaz Naghizadeh , Mingyan Liu

With the recent growing number of cyberattacks and the constant lack of effective defense methods, cyber risks become ubiquitous in enterprise networks, manufacturing plants, and government computer systems. Cyber-insurance provides a…

Cryptography and Security · Computer Science 2019-05-08 Rui Zhang , Quanyan Zhu

Quantifying cyber risks is essential for organizations to grasp their vulnerability to threats and make informed decisions. However, current approaches still need to work on blending economic viewpoints to provide insightful analysis. To…

Cryptography and Security · Computer Science 2024-05-07 Muriel Figueredo Franco , Aiatur Rahaman Mullick , Santosh Jha

Technology trends as digitalization and Industry 4.0 initiate a growing demand for new business models. Most of this models requires a fundamental shift of operational and financial risks between seller and buyer. A key question is…

Mathematical Finance · Quantitative Finance 2022-12-20 Roger Knecktys , Henrik Bette , Rüdiger Kiesel , Thomas Guhr

Traditional insurance pricing relies on risk-based principles that ensure actuarial fairness and solvency but do not explicitly account for policyholders' price sensitivity. We formulate insurance pricing as a decision-making problem and…

Machine Learning · Statistics 2026-05-29 Sascha Günther , Dimitri Semenovich , Mario V. Wüthrich

We introduce a decision-making framework tailored for the management of systemic risk in networks. This framework is constructed upon three fundamental components: (1) a set of acceptable network configurations, (2) a set of interventions…

Risk Management · Quantitative Finance 2024-10-28 Gregor Svindland , Alexander Voß

Uncertainties in renewable energy resources (RES) and load variations can lead to elevated system operational costs. Moreover, the emergence of large-scale distributed threats, such as load-altering attacks (LAAs), can induce substantial…

Systems and Control · Electrical Eng. & Systems 2025-12-02 Shijie Pan , Zaint A. Alexakis , S Subhash Lakshminarayana , Charalambos Konstantinou

With the rise of emerging risks, model uncertainty poses a fundamental challenge in the insurance industry, making robust pricing a first-order question. This paper investigates how insurers' robustness preferences shape competitive…

Risk Management · Quantitative Finance 2025-10-20 Shunzhi Pang

Cyber risk classifications are widely used in the modeling of cyber event distributions, yet their effectiveness in out of sample forecasting performance remains underexplored. In this paper, we analyse the most commonly used…

Cryptography and Security · Computer Science 2024-10-10 Matteo Malavasi , Gareth W. Peters , Stefan Treuck , Pavel V. Shevchenko , Jiwook Jang , Georgy Sofronov

Recent transformative and disruptive advancements in the insurance industry have embraced various InsurTech innovations. In particular, with the rapid progress in data science and computational capabilities, InsurTech is able to integrate a…

Risk Management · Quantitative Finance 2024-01-31 Zhiyu Quan , Changyue Hu , Panyi Dong , Emiliano A. Valdez

This paper investigates the benefits of incorporating diversification effects into the pricing process of insurance policies from two different business lines. The paper shows that, for the same risk reduction, insurers pricing policies…

Theoretical Economics · Economics 2025-08-20 Hamza Hanbali

Cloud computing as a fairly new commercial paradigm, widely investigated by different researchers, already has a great range of challenges. Pricing is a major problem in Cloud computing marketplace; as providers are competing to attract…

Computer Science and Game Theory · Computer Science 2023-09-21 S. Ghasemi , M. R. Meybodi , M. Dehghan , A. M. Rahmani

Existing approaches to asset-pricing under model-uncertainty adapt classical utility-maximization frameworks and seek theoretical comprehensiveness. We move toward practice by considering binary model-risks and by emphasizing 'constraints'…

Mathematical Finance · Quantitative Finance 2025-10-10 Ken Kangda Wren

Cyberattacks in the energy sector are commonplace. Load-altering cyberattacks launched via the manipulations of high-wattage appliances and assets are particularly alarming, as they are not continuously monitored by electric power…

Systems and Control · Electrical Eng. & Systems 2021-12-07 Samrat Acharya , Robert Mieth , Charalambos Konstantinou , Ramesh Karri , Yury Dvorkin

We study the impact of data sharing policies on cyber insurance markets. These policies have been proposed to address the scarcity of data about cyber threats, which is essential to manage cyber risks. We propose a Cournot duopoly…

Theoretical Economics · Economics 2023-08-03 Carlos Barreto , Olof Reinert , Tobias Wiesinger , Ulrik Franke

There are two strategic and longstanding questions about cyber risk that organizations largely have been unable to answer: What is an organization's estimated risk exposure and how does its security compare with peers? Answering both…

Cryptography and Security · Computer Science 2024-02-12 Taylor Reynolds , Sarah Scheffler , Daniel J. Weitzner , Angelina Wu

Though the sharing of medical data has the potential to lead to breakthroughs in health care, the sharing process itself exposes patients and health care providers to various risks. Patients face risks due to the possible loss in privacy or…

Computer Science and Game Theory · Computer Science 2022-09-21 Yoon Lee , Anil Aswani

Cyber risk has become a critical financial threat in today's interconnected digital economy. This paper introduces a cyber-risk management framework for networked digital systems that combines the strategic behavior of players with…

Cryptography and Security · Computer Science 2026-01-26 Elisa Botteghi , Martino S. Centonze , Davide Pastorello , Daniele Tantari

The availability of public computing resources in the cloud has revolutionized data analysis, but requesting cloud resources often involves complex decisions for consumers. Under the current pricing mechanisms, cloud service providers offer…

Databases · Computer Science 2017-06-20 Yue Wang , Alexandra Meliou , Gerome Miklau

Cyber security threats to the payment and banking system have become a worldwide menace. The phenomenon has forced financial institutions to take risks as part of their business model. Hence, deliberate investment in sophisticated…

Cryptography and Security · Computer Science 2022-12-26 Williams Haruna , Toyin Ajiboro Aremu , Yetunde Ajao Modupe