http://philosecurity.org/2008/06/03/full-costs-of-information Tue, 08 Nov 2011 22:48:18 +0000 hourly 1 http://wordpress.org/?v=3.3.1 http://philosecurity.org/2008/06/03/full-costs-of-information/comment-page-1#comment-7 Scoop Thu, 10 Jul 2008 20:57:29 +0000 http://memsniff.org/?p=30#comment-7 In the absence of government intervention, the insurance industry is in the process of supplying a kind of surrogate for something like the Pigovian taxes you mention, I believe. The hospital I work for has recently begun to consider purchasing data insurance, to cover losses associated with data breaches. The cost of coverage will derive in part from an audit of our security procedures. I have no doubt that the exercise will be limited, the cost burden inefficient and the analysis in many ways faulty - but, like the daily food supply system for New York City (to borrow one of your elegant analogies) it may suffice - in this case to change corporate behaviour before the breach. ... and thanks for your interesting thoughts! In the absence of government intervention, the insurance industry is in the process of supplying a kind of surrogate for something like the Pigovian taxes you mention, I believe. The hospital I work for has recently begun to consider purchasing data insurance, to cover losses associated with data breaches. The cost of coverage will derive in part from an audit of our security procedures. I have no doubt that the exercise will be limited, the cost burden inefficient and the analysis in many ways faulty – but, like the daily food supply system for New York City (to borrow one of your elegant analogies) it may suffice – in this case to change corporate behaviour before the breach.
… and thanks for your interesting thoughts!

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