Are Cyber Loss Events in the U.S. Geographically Linked?
A recent study published in the NAAJ Journal by Jaehun Cho, Prof. Dr. Martin Eling, and Prof. Dr. Kwangmin Jung examines the spatial correlation of cyber loss events across 3,132 U.S. counties from 2005 to 2020. Unlike previous research that found minimal correlation at the state level, this study reveals that counties with both high and low cyber exposure tend to cluster geographically. The analysis also shows that larger, wealthier counties are more vulnerable to cyber risks, while neighboring counties experience fewer events. These findings offer valuable insights for risk managers, cyber insurers, and policymakers to better target high-risk regions and develop more effective risk management strategies.