Deep Dive
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When Lake City, Florida, suffered a ransomware attack, its insurer Beazley estimated recovery costs could reach $1 million, and the city ultimately paid a ransom of $462,000. This case reflects the complex reality of the cyber insurance industry: Does insurance encourage attacks? What does policy coverage include? Drawing on survey data from Marsh and Microsoft, interviews with multiple experts, and the Mondelez lawsuit, this article analyzes the positioning, selection criteria, and claims disputes of cyber insurance.
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