The potential loss of $ 500 due to a theoretical combination of a cyber attack , US hurricane and reinsurer failure could divest insurers of up to 120 % of their capital base , a catastrophe simulation in London found . Nine insurers and reinsurers tested catastrophe simulations ten times the damage suffered during 9/11 , including cyber attacks on power grids , category 5 crashes , failures of reinsurers and a 16 % slide in global stocks . Despite potential losses , capital raising and declining sales of insurers could harm firms in business . The simulation was led by chairman of Hiscox , & Childs , and overseen by Prudential Regulation Authority .
The potential loss of $200bn due to a theoretical combination of a cyber attack, US hurricane and reinsurer failure could divest insurers of up to 120% of their capital base, a catastrophe simulation in London found. Nine insurers and reinsurers tested catastrophe simulations ten times the damage suffered during 9/11, including cyber attacks on power grids, category 5 hurricanes, failures of reinsurers and a 16% slide in global stocks. Despite potential losses, capital raising and asset sales of insurers would keep firms in business. The simulation was led by chairman of Hiscox, Robert Childs, and overseen by Prudential Regulation Authority.