Definition
Financial engineering is the discipline which deals with the design and development of innovative financial products. Financial engineering attempts to cater to the needs of market participants to facilitate elimination, transfer, or management of financial and/or business risks. Thus, “Financial engineering is the process of designing and manufacturing financial products using applicable structured system processes so as to satisfy a stated need relating principally, but not exclusively, to the management of financial risks” (Piquito 1999).
Cyber insurance refers to the financial products designed with the objective of providing a risk transfer mechanism for a broad range of risks related to cyber security. Cyber insurance contracts have been structured to cover risks such as liability, loss and theft of computing machines, damage and theft of data, loss of income from...
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Pandey, P. (2021). Cyber Risk, Risk Transfer, and Financial Innovation. In: Jajodia, S., Samarati, P., Yung, M. (eds) Encyclopedia of Cryptography, Security and Privacy. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-27739-9_1617-1
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DOI: https://doi.org/10.1007/978-3-642-27739-9_1617-1
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