1. What is Single Loss Expectancy?

Single Loss Expectancy (SLE) is a risk assessment value that represents the expected monetary loss each time a risk occurs. It's calculated by multiplying the asset value by the exposure factor.

2. How Does the Calculator Work?

The calculator uses the SLE formula:

Where:

• \( AV \) — Asset Value in dollars
• \( EF \) — Exposure Factor (decimal between 0 and 1)

Explanation: The exposure factor represents the percentage of asset value that would be lost if a specific threat occurred.

3. Importance of SLE Calculation

Details: SLE is fundamental to risk analysis and helps organizations understand potential financial impacts of security incidents. It's used to calculate Annualized Loss Expectancy (ALE).

4. Using the Calculator

Tips: Enter asset value in dollars and exposure factor as a decimal (e.g., 0.3 for 30%). Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between SLE and ALE?
A: SLE calculates loss per incident, while ALE (Annualized Loss Expectancy) calculates expected annual loss by multiplying SLE by Annual Rate of Occurrence (ARO).

Q2: How do I determine exposure factor?
A: EF is typically estimated based on historical data or expert judgment. For example, if a fire would destroy 40% of an asset's value, EF would be 0.4.

Q3: What assets should be included?
A: Include tangible assets (equipment, inventory) and intangible assets (data, reputation) that could be affected by security incidents.

Q4: Is SLE only for cybersecurity?
A: No, SLE can be used for any type of risk assessment including physical security, natural disasters, and operational risks.

Q5: How accurate is SLE?
A: SLE is an estimate based on available data. Accuracy improves with better data on asset values and realistic exposure factors.