Large banks are designated as SIFI (systemically important financial institutions, aka "too big to fail"). When they screw up, the government steps in and props

Large banks are designated as SIFI (systemically important financial institutions, aka "too big to fail"). When they screw up, the government steps in and props them up with taxpayer's money. To those banks losses from lax security are externality. In that sense they are not very different from nuclear power plants. Indian Point is owned by Entergy and it gets the money when everything works fine, but the risks are covered by the government through Price-Anderson Nuclear Industries Indemnity Act. If your house is robbed, it's your problem. But if you store personally identifiable information for everyone and it gets stolen, now it's everyone's problem.