Cyber catastrophe bond come strumento per il trasferimento del rischio informatico

The use of the cloud, and in particular cloud services for storing personal or business data and for running programmes, is becoming increasingly popular, as it is an efficient and cost-effective practice. However, cloud services may not always be available, potentially causing significant losses for both customers and service providers. Typically, in such cases, the provider is obliged to compensate its customers in case of interruptions. However, in order to protect itself against such losses, the supplier may take out an insurance contract, transferring the risk to the insurer and paying an insurance premium. It should be noted that in situations where the cloud service is rarely available, the amount that the insurer would have to reimburse the cloud service provider could become so high as to jeopardise the insurer’s own financial stability. In this study, we propose the adoption of catastrophe bonds as a reinsurance instrument. Specifically, we develop a closed-form formula to determine cat bond prices in the presence of stochastic interest rates. Furthermore, we demonstrate the practical applicability of our pricing formula in a real-world context.