Cyber risk is one of the risks that companies should be aware of. Not only can a cyber attack result in the loss of assets, but other costs such as compensation or lawsuits can also threaten the business.

Insurance can mitigate these risks through risk distribution or mutual aid. Our research into these risks includes the following:

• Cyber loss prediction
• Measurement of financial impact
• Analysis of extreme cyber loss events

Digitalization and InsurTech are reshaping the insurance ecosystem, affecting distribution channels, customer experience, and operational efficiency.

These changes introduce both opportunities and risks, requiring new actuarial and risk management approaches. Our research into these topics includes the following:

• Machine learning techniques in actuarial modeling
• Study on business disruption by InsurTech

Estimation of loss caused by extreme events is important to prevent bankruptcy. However, it is challenging due to not only lack of historical data but also continously changed system causing the events.

Our research into these risks includes the following:

• Natural disaster reduction
• Man-made catastrophe management
• Probable maximum loss estimation

Insurance companies measure risk based on historical data. However, some risks, such as climate change and cyber risk, have only recently emerged, so there is no related data. These risks are called emerging risks. Our research into these risks includes the following:

• Loss modelling of emerging risks
• Insurance customer behaviour in the pandemic era
• Digital risks as operational risks

Many statistical analyses assume that the samples are independent. However, some risks, such as the spread of infectious diseases, affect other samples, and these kinds of risk are called systemic risks.

Understanding the structures of dependency is important for correctly estimating losses. Our research into these risks includes the following:

• Understanding interdependency in risks (heterogeneous risks)
• Copula approaches in actuarial modelling
• Risk aggregation in insurance regulatory models

Climate risk affects underwriting, investments, and enterprise risk management through both physical and transition channels. However, it is challenging to measure the risk due to complexity of the nature and climate change.

Our research into these risks includes the following:

• Physical risk modeling (acute & chronic hazards)
• Stress test under climate change