A company decided to reduce the cost of its annual cyber insurance policy by removing the coverage for ransomware attacks.
Which of the following analysis elements did the company most likely use in making this decision?
A company decided to reduce the cost of its annual cyber insurance policy by removing the coverage for ransomware attacks.
Which of the following analysis elements did the company most likely use in making this decision?
The company most likely used the Annualized Rate of Occurrence (ARO) as the analysis element in making the decision to remove ransomware coverage. ARO estimates the frequency at which a specific risk or event is expected to occur in a year. By assessing the likelihood of ransomware attacks, the company could determine that the expected frequency of such incidents was low enough to justify the cost savings from removing the coverage.
MTTR= mean time to repair RTO=recovery time objective ARO= annualized rate of occurance MTBF= mean time between failures. ARO is it
MTTR (Mean Time to Repair): This measures the average time it takes to repair a system or component after a failure. It is used to assess how quickly an organization can respond to and fix issues. RTO (Recovery Time Objective): This is the maximum acceptable amount of time that a system or application can be down after a failure or disaster. It defines the target time for recovery. ARO (Annualized Rate of Occurrence): This estimates the frequency with which a specific risk or event is expected to occur in a year. It helps in assessing the likelihood of risks. MTBF (Mean Time Between Failures): This measures the average time between failures of a system or component. It is used to predict the reliability and performance of systems over time. In the context of the company deciding to remove ransomware coverage to reduce costs, they likely assessed the ARO (Annualized Rate of Occurrence) to determine how often ransomware attacks are expected to occur and decided the risk was low enough to justify the cost savings.