Cyber Risk Quantification

In a world that is increasingly interconnected, cyber risk is an inevitable part of doing business. Despite continual increases in cyber risk, many organizations lack the tools to quantify and consider it at the board and executive level. Too often, cyber risk is discussed only in highly technical jargon or in remediation plans after security incidents. With a top priority to mitigate, transfer, avoid, or accept risk, security leaders struggle to contextualize cyber risk.

To address cyber risk effectively, organizations need ways to quantify risk insights in financial terms, helping non-technical stakeholders understand how cyber risk translates to business risk. BitSight’s Financial Quantification for Enterprise Cyber Risk provides a framework to assess cyber risk in business terms. This solution for cyber risk quantification empowers you to provide the business context for cyber risk through data-driven metrics that reveal your organization’s security program performance over time.

Why quantify cyber risk?

Cyber risk quantification is the process of analyzing and assigning data-driven metrics to cyber risks that have been previously identified. The ultimate objective of cyber risk quantification is to present risk data in business terms, providing critical context for business leaders and board members as they make decisions about cybersecurity matters and financial priorities. It transforms the intangible nature of risk into tangible business impacts, giving business leaders a better handle on various risk factors so they can make smarter decisions and prioritize remediation efforts.

Cyber risk quantification may be based on KPIs, security ratings, or modeling techniques that are common to cyber insurers as they gauge potential financial exposure.

The right strategy for cyber risk quantification enables organizations to:

  • Track tangible and intangible implications of risk from a financial standpoint.
  • Clearly identify the organization’s probable cyber exposure and its impact.
  • Promote informed discussions around accepting, mitigating, or transferring risk through insurance.
  • Increase cybersecurity awareness beyond the IT team to the rest of the organization.
  • Make smarter investments that reduce overall cyber exposure.
    Financial Quantification of Cyber Risk eBook

    Learn how BitSight Financial Quantification for Enterprise Cyber Risk empowers you to streamline your process for quantifying risk, make more informed business decisions, and report to the board effectively.

    Read The eBook
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    BitSight Financial Quantification for Enterprise Cyber Risk

    BitSight Financial Quantification for Enterprise Cyber Risk makes easy to quantify cyber risk financially with the resources you have today. Powered by Kovrr’s proven models for cyber insurance, this cyber risk quantification solution is an essential part of any effective security performance management program.

    With BitSight’s technology, you can analyze potential financial exposure across multiple types of cyber events and scenarios without needing the input of outside consultants or engaging in long processes to collect data. With insight from BitSight, you can make smarter and faster decisions about priorities for new technology investments to reduce risk, helping you leverage limited budgets to achieve the strongest impact on security performance.

    Features of BitSight’s cyber risk quantification solution include:

    • An intuitive graphical view that lets you drill into details of the distribution of financial risk magnitude against probability.
    • Historical views that allow you to financially quantify risk over time.
    • Reports that let you understand the quantification of business units and subsidiaries.
    • On-demand, ad-hoc analysis of cyber risk qualification based on changes within your organization or risk environments.
    • Analysis of the business impact of cyber risk scenarios such as ransomware and third-party liability.
    • Multiple modeling technologies that differentiate between systemic or targeted attacks and failures.
    • Analysis of results covering hundreds of thousands of simulated events.
    • Tools to assess the ROI of programs and initiatives and to elevate cyber risk management in organizational risk discussions.
    • Built-in reports to share with board and executive stakeholders.
    3 Steps to Getting Started With Cyber Risk Quantification

    There’s no question about it: cybersecurity is top of mind for the financial services industry — a high-profile target for malicious actors. Download our ebook for:

    • Insights into why it’s more important than ever to be able to quantify cyber risk
    • An overview of different cyber risk quantification KPIs and frameworks
    • A step-by-step guide on how to start quantifying cyber risk in business terms
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    Benefits of cyber risk quantification with BitSight

    Easily quantify cyber risk with existing resources

    Manage cyber risk quantification without additional headcount or resources. BitSight’s quantified view of cyber risk complements BitSight Security Ratings to simulate the financial impact of risk across multiple cyber scenarios.

    Rely on proven models

    The underlying model that drives BitSight’s Financial Quantification is based on models developed by Kovrr to serve the world’s largest insurance and reinsurance carriers. By leveraging multiple cyber risk models, this approach enables cyber risk managers to efficiently price risk and manage billions of dollars of cyber exposure with a high degree of confidence.

    Quantify risk on-demand

    In contrast to traditional consulting engagements or internal projects, BitSight’s Financial Quantification is available on demand and is easily repeatable. With the ability to drill down into cyber event examples, quickly and efficiently diagnose the underlying causes that may impact financial exposure.

    Transform cyber risk discussions

    By financially quantifying cyber risk, business leaders and board members intuitively understand risk in financial terms and evaluate the effectiveness of cybersecurity programs.

    Why customers love BitSight

    As the world’s leading Security Rating Service, BitSight transforms how companies manage information security risk. BitSight’s objective, verifiable, and actionable security ratings provide a dynamic measure of the security performance of organizations and their vendors. Through continuous controls monitoring and assessment, BitSight helps organizations make faster, more strategic decisions about cybersecurity policy and third-party risk management. Governments rely on BitSight to enhance critical infrastructures cybersecurity, while enterprises use BitSight to improve cyber resilience and strengthen cyber threat intelligence.

    Founded in 2011, BitSight today is trusted by some of the world’s largest organizations to gain a clearer picture of their security posture. BitSight’s 2,400+ customers worldwide include 7 of the top 10 largest cyber insurers, four of the top five investment banks, and all of the Big 4 accounting firms. Fully 20% of the world’s countries trust BitSight to help protect national security, and 20% of Fortune 1000 companies rely on BitSight as well.

    Schedule a demo today to see how BitSight can help you translate cyber risk to business impact.