While cyber insurance may provide some coverage for hazards that result from quantum computing, those policies may not respond to many of the risks, and insurance companies will take care to minimize their own exposure to difficult-to-predict losses in this arena by revising policy language and increasing premiums.

Because of the potential that quantum computing may cause massive cyber losses across all industries, it is likely that insurers will take steps to curtail their own quantum exposures by rewriting current cyber policies to restrict coverage.

Abstract:

Quantum computing, like artificial intelligence, is one of several emerging technologies that could either save the planet or end the world, depending on which expert is holding forth on the issue. Still mostly theoretical, quantum computing promises to turbocharge computer processing speeds, allowing future quantum computers to solve in a matter of milliseconds complex mathematical equations that would take conventional computers thousands or even millions of years to perform. It is too early to know whether the potential benefits of quantum computing will outweigh the potential risks, or how those risks may be mitigated by modern cyber insurance policies. This article explores the promise and peril of quantum computing and the potential coverage implications under cyber insurance policies.