Economics of cyber security is an important and growing international research theme in the security domain. Its roots lie in different problem domains, such as questions of governance and incentives for cyber security, metrics for cyber security, and game-theoretic approaches to adversarial risk analysis. The central concepts involve incentives, cost-benefit analysis, and money flows.
We identified cyber insurance as key concept within the economics of cyber security that requires extra attention. There are many important questions around cyber insurance, including governance questions on its limited use and possible stimulation, questions on determining risk levels and associated premiums, and whether it increases social welfare by reducing market failures in cyber security. The initial research efforts focused on mapping the existing cyber insurance landscape.
We increased visibility by hosting the 2015 Workshop on Economics of Information Security (WEIS). For students, opportunities for (guest) lectures and joint thesis supervision are created.
Leiden-Delft-Erasmus Centre for Safety and Security seed money