The risks related to COVID-19 and the economic havoc that are derived around the world keep executives awake.
That’s the conclusion of an Aon Plc survey of 2,344 risk managers, risk managers and CFOs conducted in the second quarter. Cyberattacks were the number one danger most cited, and more than half of the top 10 risks executives say they face today are related to the pandemic, according to survey results released Tuesday.
Many concerns are “innately interconnected and are tail risks that are not isolated circumstances”Said Lambros Lambrou, executive director of business risk solutions at Aon.
“One of the things that COVID-19 demonstrated is that long-term risks are not far on the horizon anymore. Actually, they are on the doorstep of many companies”.
COVID-related concerns cited by respondents include cyberattacks, business disruption, an economic slowdown, commodity prices and materials shortages, risks of pandemics and health crises, and failure of the supply or distribution chain.
Cyber risk has deepened during COVID, Aon found, as more people work remotely, “presenting more potential security vulnerabilities ”.
The insurance broker also identified issues that companies seem to be taking too lightly. Among them are environmental, social and corporate governance; climate change; personal responsibility linked to directors and officers; and disruptive technologies.
One caveat is that the risks companies face are rapidly evolving and diverse, requiring the insurance industry to change to combat them, Lambrou said.
“Emerging risk and future risk are moving faster than the insurance industry is capable of following right now ”, said. “As an industry, we must come together and innovate more effectively.”
.
Ricardo is a renowned author and journalist, known for his exceptional writing on top-news stories. He currently works as a writer at the 247 News Agency, where he is known for his ability to deliver breaking news and insightful analysis on the most pressing issues of the day.
