FAIR Insitute wants to quantify just how much a cyberattack costs

FAIR-MAM can create a unique cyber loss model for organizations and, when paired with risk quantification analysis and benchmark data, it can estimate financial risk on an ongoing basis for risk scenarios that matter most to the business.

The effort brings transparency to security incidents and helps provide estimates that can guide business decisions, according to Brandon Pugh, director of cybersecurity and emerging threats at R Street Institute. 

“This is especially relevant since a materiality decision is not concrete, but instead relies on a variety of factors and considerations,” Pugh said.

“However, I recommend it be used as one tool to aid decisions, rather than being solely relied upon since estimates are not foolproof,” Pugh said.